All Forum Posts by: Gregory Schwartz

You don't need off-market deals to successfully invest in real estate. I could explain why, but I feel that @Dave Meyer and Dan Nelson do a great job on the podcast. 

https://www.biggerpockets.com/blog/real-estate-1043

@Jonathan Greene thanks. It's a messy niche, working with some investors buying duplexes, some buying portfolios of duplexes, and others looking for small MF 12-24 units. One foot in residential and the other in CRE.

Quote from @Jonathan Greene:

I like DealMachine because they have skiptracing including in Pro now, but I still think of it more for neighborhood canvassing and mailing (aka driving for dollars) than multifamily acquisition opportunities. But off-market it's just about getting the correct info so it could work. I don't know that Crexi has any information on the owners, just data on multi and apartments.

Based on a Zoom call I was on last week it sounds like Crexi is stepping its game up trying to compete in the CRE world. I'm in the messy middle as a residential agent who works mostly with investors and specializes in the small MF space.
 

Pro Tip: Airbnb provides a level of protection if you end up with a "problem" tenant. However Zillow and Furnish finder are simply going to give you a lead. Make sure you are properly screening your leads the same as you would for long term renters. 

Dont cut corners just because they're only staying for 2-3 months

@Padam Neopane this is a very localized topic. Here in College Station, TX I'd say its no big deal just cross your T's dot your I's, and head on down to the local justice of the peace. 

If no one chimes in that is from NJ then I would recommend contacting local investors and asking for guidance. I'd hate for you to spend thousands on a simple paperwork drill but I also dont want to you to get in over your head.

Good luck 

I'm looking to pull a list of all multifamily property owners in my town, specifically targeting properties with 2 to 50 units. I've heard that DealMachine is becoming the go-to tool for this kind of data, but I've also noticed some strong results coming from Crexi lately.

It seems like Crexi has a more multifamily-focused platform, while DealMachine is often geared toward wholesalers. As an investor and agent, my goal is to build connections with local multifamily owners. If anyone has experience with these tools—or recommendations for others—I’d love to hear your insights on the best approach for connecting with local multifamily owners.

That classic case of "it depends." 

My reserve is nearly $90k for 19 units. We have 2-3 large projects coming up so we built up a large reserve. Normally we keep 20-30k.

So, how old is the water heater? Is the roof? Is the siding in good shape? Will you need to upgrade the units to keep up with market demand and market rent? 

Get a job in the industry. It will be the fastest way to go from "too young" to "that kid whos crushing it"

We don't allow people to apply before viewing the property. Because we don't refund application fees. Our process,

1. 4 months renewal notice. 4 months to find a new tenant. 

2. Pre-screening: On 3 different occasions the potential applicant is asked if he/she meets or surpasses our minimum screening criteria. 

3. Show

4. Have them apply with a $50 app fee. If all criteria are not met then deny and move on. 

5. Set a move-in date no more than 2 weeks from the move-out date of the previous tenant (3.8% vacancy for that year. Most tenants stay for 2 years bringing our vacancy rate to 1.9%) 

Give the seller 2 options.

1. Accept a lower price due to the increased risk of the tenant 

2. Extend closing and have the condition of the sale that the seller provides the unit vacant. This gets you an unoccupied home and hedges against the downside of an expensive eviction. Also forces the seller to deal with the deposit reconciliation.