All Forum Posts by: Greg Kasmer

 @Daniel Sabato - Ensuring that you have accurate market rents is probably the biggest driver of pro formas and ensuring that you hit your investing criteria. Easier ways I do this are using a site like rentometer.com - which is a subscription service that provides market rents by address with comps OR using zillow and/or craigslist to see what rents are in the area/zip code. However, the best way to get market rents is to call local competitors of multifamily buildings and "secret shop" them as if you were a renter. You can ask the rents as well as other details on the listing such as utilities, amenities, etc... You'll get a real feel for the market! I'm near Philly and also investing in multifamily so let me know if you want to connect!

@John Friendas - Are you talking about a second mortgage on your owner-occupied property or your existing quadraplex? Getting a second loan on an investment property will be more difficult than the property you live in. 

@William Johnny - I'm local to Philadelphia suburbs and have been investing in SFH for a while and within the past two years investing in small-mid sized multifamily. I would say that Philalephia is general is not a "sexy MF market" like you hear about in the SunBelt or South and I think there is less inventory in general. However, I have seem some deals after a LOT of looking and networking. Let me know if you'd like to talk!

John - I would check with Steadily (associated with Bigger Pockets). I used them earlier this year for an insurance quote with a quad I purchased and was very happy with their service and price point. Good Luck!

@Karolina Powell - I am also targeting 10-30 unit properties and have underwritten 75-100 or so... It would be interesting to share some information and maybe we could underwrite it together and/or compare notes. Let me know!

Andrew - Could you comment more on how you used your HELOC to buy multifamily properties? Did you keep that money in the multifamily or were you able to pull it out after driving up the value of the properties? Curious as to how you utilized those funds repeatedly. Thanks!

@Shay Sherbotseli - I invest in the PHiladelphia suburbs, but mostly in Delaware and Montgomery Counties. I don't really think too much of how my tenants commute into the city. Most of my tenants work locally and typically focus in their town because it's relatively close to where they work. As other suggested the places you mention above are a broad spectrum, so I would first take a look at / underwrite 10-15 properties in each area. You'll likely find that some areas don't cash flow based on their rent amount compared to price points. (i.e. Old 1% rule) I would start there and let that inform your decision making. Assuming you narrow it down to 2-3 areas I would then speak to several property management companies and/or investors to develop you 1-2 target markets. Then, it just becomes a numbers game.... You'll likely need to look at 50-100 properties to find that first deal. Good Luck!

How about "Beyond The Pro Forma" - Hidden expenses and revenues/opportunities as you operate/asset manage a property.... Digging into operations and what changed from the original assumptions.

Micah - I think the loan size mentioned by EJ is real... I would call 10-15 local banks and credit unions and ask to speak to their business banker about business loans in LLCs. They should be able to let you know about their general terms as well as loan size. I have two locally that I can call for that loan amount, but I had to sift through a lot of "Nos" before I found one. Good Luck!