All Forum Posts by: Garison Clemens

@Jay Hinrichs would you happen to know if there’s anything different from raising capital up front to buy the deal?

@Jay Hinrichs they put long term fixed debt on it so a refi is out of the question. Had to move quickly so they placed their own cash to take the entire deal down

Has anybody placed/raised capital for a deal that has already closed but the owners are looking to pull their capital out after the fact? Other than deal flow and having a proven business plan so far (1 year of ownership so far), what are the pros and cons?

Congrats on the closing, Omar. Great post, and a perfect example of what I also like to call a "speed bump" handled with experience, and a positive, will get it done mindset. Cheers!

@Sam Grooms does the roof have any kind of warranty? Or did the seller use a “find what’s cheapest” just to get a new roof on the property before listing? 

I agree with the seller being responsible. I think the conversation should at least be had, you never know what could come out of it. I think at least raise the concern, and it will at least get the idea in their Head you know of the issues, $50k is no small amount, no matter the size of the deal. I’m not sure how you guys are structuring it, but maybe asking the seller to do a seller finance on maybe the repair amount at least so it won’t cost you as much as raising capital, and technically you’re not asking for a credit or concession at closing for the repair amount. 

Are you guys closing in the early part of the month too? Or at least planning on it?

@Sam Grooms we usually include a certain percentage for construction contingencies for these kinds of situations, but that’s certainly a case by case basis based on the severity of the repairs. I agree with you not really looking to do a retrade on the deal. I saw that you said the property manager has a lot of experience with turning units to get them reno’d so maybe the additional 6 months to a year of rental premiums could be your hedge on that $50k in repairs that needs to be completed, as long as it makes sense for you guys. Just an idea since that is just them saying it could be done. You never know. 

Very nice. @Ben Leybovich @Sam Grooms Now the real work starts! Keep us updated through the process. I know the pain of going through the Best and Final rounds, certainly is stressful. Lost a deal yesterday in B&F as a matter of fact, but onto the next!

Keep up the good work.

Congrats Ben! Awesome news. What market is this located in?

So I want to hear from the BP community.. How have you made your LOI more "competitive" to the seller and broker when sending it in? I know increasing offer price helps of course. But are there any personal touches you have seen that work in your offer being accepted?

Thanks!

I need some advice on how to structure my business and partnership. Please respond here and I will send you a DM or we can setup a quick call. 

Thanks

Garison Clemens