All Forum Posts by: Greg Scully

@Wesley Williams - Community bank financing comes to mind.  They are more likely to recognize the future upside.  I would also try to reach out to whoever holds the note now.  They have already approved the property once.

Not sure if owner financing is an option.  The existing lender may not allow for a second position.

@Brett Merrill- Tweak the 10 minute offer to your market data.  Use $/unit instead of an expense %.  10% vacancy is a good conservative number, but if the market is at 3% vacancy you're leaving a lot on the table.  You're right on track with the rest of the approach.  If you analyze 20-30 properties a week, the trends will start to develop -assuming they are in the same general market.

Your PM should be a good resource for determining the $/unit.  

@Tyler Bobo - I'm in Palmer.  I've been involved in a couple of syndications.  Let's grab some coffee and I'll try to help you out.

@Jeff Quinlan In our markets we shoot for an average of 9% COC over the hold (5-7 years).

@Caleb Bryant Sent you a message on IG.

@Justin Eaton - We do both as well.  The rehab/labor/scope of work experience should serve you well.  Flips help provide the capital for long term cash flow.  Best of luck to you.

@Shafi Noss Seems like a good strategy to me.  In the 5-10 unit range you may still find some good value add opportunity without even looking for it.  There are a lot of mom and pop operators in that space with properties that are run as a hobby instead of a business.  

Make sure your returns are fair for everyone, you deserve to be compensated for your effort.  If it's a low risk, non value add deal, the returns to investors should reflect that.  Similar to investing in a CD as opposed to an IPO.

@Abraham Ward - Best I've seen in our market (East TN) is 15% from a small community bank. You may want to approach smaller institutions that are very familiar with the market.

@Mitchell Pollard - There are other variables to consider besides demographics.  For instance 1 beds may turn over more often, but they may have lower make ready costs because of the sqft and tenant mix (children and associated repairs not as likely).  2 and 3 beds may bring higher rents (maybe not on sqft basis) but they will often have at least one additional bathroom and the associated costs.  Also with more people in a unit, you generally have more wear and tear. 

@Ryan Carr - You may want to try Facebook Marketplace.  I'm not speaking from experience, however it is getting a lot of attention.



https://money.cnn.com/2017/11/09/technology/facebook-marketplace-housing-rentals/index.html