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All Forum Posts by: Account Closed

Account Closed has started 1 posts and replied 73 times.

Post: Real Estate Agent forming an LLC w/ S-Corp Status

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

Thanks!

Post: Avg Cap Rate in Arizona

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

6%, but that also depends on what class and type of property, etc.  I have a new 10 unit listing coming that should be well above this coming in more in the 7%+ cap rate.  It's C class and 100% government guaranteed rents.  

Post: Commercial C-2 Zoned in Phoenix AZ

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

The only way to see real comps data is to work with a Broker who has Costar.  As far as the rest, you have inspection(s) done once you are in escrow.

Post: Arizona turnkey 4plex for sale

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

$85k a unit or for all 4?

Post: Changing the Prefab Game

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

Oh and the sweet gal, I'll be meeting her in person (believe it or not we haven't met in person yet).  She is also selling a gorgeous lot in the area for 25,000 euros ($30k), which was what mine cost.  Closing costs were $3,000 without a lawyer.  If you'd like more info on the lot let me know! This is her land for sale.

Post: Changing the Prefab Game

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28
Originally posted by @Thomas Musser:

@Account Closed  You have a very valid concern.  Much of the construction world currently operates off of the IBC (international building code).  I imagine that M.A.Di. and other prefab companies comply with IBC regulations but every country, county, city, and township have their own codes and its important to check with local officials before building.  I will say that because the M.A.Di. home can be assembled and deconstructed in such a short time that in some places it may fall under a non-permanent building designation which is typically exempt from many codes.  Obviously, this is a gray area and you would be wise to dig into the matter deeper.

I am very interested in your land in Portugal.  I just did a motorcycle tour of the country and absolutely loved it.  Where in the country is your property located? What was the international purchasing process like?

Thanks and sorry for the late reply.  That's cool that you just toured Portugal.  I'm going back in a week for two weeks!  I'm meeting with an architect and going to the city to find out more about what I can actually build on the lot.  It's in Central Portugal, if you went to Tomar it's about 20 minutes from there or 35 minutes from Coimbra.  That's 1.5 hours to both Lisbon and Porto.  I'm going to Porto and the Douro Valley for the first time this trip!  

The buying process was a little crazy and included me in a panic grabbing a Brazilian Uber driver to register me in the right office for a Fiscal Number which is required in person to buy.  Thankfully, I befriended a seller of land in the town I'll be in and she was able to communicate with the Uber guy, attorney's office to certify my passport and signature and also she signed for me locally and assisted with the money transfer!  Without her, it wouldn't have happened.  The "agent" was all but useless, aside from showing me the property itself.  I suppose that's all they do there, so maybe that's nasty to say!?  The land was inherited by the kids of the lady who passed away and nothing is built there or has been, but it does have power and water to the lot.  It's approved for a certain size home already, although where on the lot and configuration is really what I want to find out now.  I'd like to fully design it and basically have it approved.  It may be ten years before it's build time, but at least that will be out of the way and speed things up when I do have the funds!

Post: Real Estate Agent forming an LLC w/ S-Corp Status

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28
Originally posted by @Stanley Bronstein:

@Account Closed All it takes is an economy where you're making some commissions (grin) ...

Truth! Although, I was just going to move my license to the LLC before the end of the year and my broker said my 1099 would have to all be issued in the non-LLC and so basically I'm screwed until Jan 1st to get started right. Sadly, I really did need to do this for 2018, but was so busy I didn't get to it!

Post: Quadplex Question for a newb

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28
Originally posted by @Chris C.:
Originally posted by @Account Closed:
@Joey Newton that sounds pretty great to me... But, I'd hire an agent experienced in the area who could properly advise you and handle the transaction. You can probably find an agent willing to do that for a discount, since you already have the properties. Also, if are are buying 8 units you will need Commercial financing vs 2 4 unit purchases which could go residential if on different parcels (see lender). See rent roll history to determine vacancy rate and a market overview for the same.

 Can't u just do two Comvential loans? The interest would be cheaper but the closing costs might be higher

Sorry for the late reply, but that really depends on how the property is with the county/city.  Is it two 4 plexes or one 8 plex.  Will a lender qualify you for two 4 plex residential loans at the same time or do they want it packages as 8 units regardless and it would be commercial.  Your local lender would need to truly answer these questions and title.

Post: Advice on buying Commercial Bldg, without broker, owner to occupy

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28
Originally posted by @Kirsten Ostby:
Originally posted by @Account Closed:

I am glad this worked for you, but don't underestimate the value of a good Commercial Broker (and yes, that's part of the negotiation the seller will pay if structured right and they are reasonable) and an attorney on these deals.  There's no way that low amount of fees got you full protection, but hopefully, you will continue not to have larger issues.

 That seems to be commonly stated @Heather Binder; the value a good Commercial Broker can bring. I live in a small area, and we only have a few options for commercial agents. I had a few red flags with the broker I was working with and after they let me negotiate their commission down to 2%, I decided I didn't want them representing me in a purchase negotiation. they also encouraged me to get the property under contract for the $700k the seller was asking. Hard pass...

I may have made mistakes in this whole process not hiring all the professionals to guide each step, but I would bet on myself any day over a professional that is giving me reasons not to trust their credibility. After all, I care WAY more about this deal than any professional representing me would. For the record, My attorney did help me with the areas I needed guidance on. 

Not having a credible agent you can trust and have confidence in I completely understand avoiding that! Sounds like your options were limited and you did quite well for yourself! It's the rare agent who cares as much as you do, but we do exist- I'm a little different though, as I came from twenty years in residential and brokerage management, instructor, etc. I even answer my phone on the weekends and nights, which is definitely rare in the CRE world. Glad you have done so well.

Post: Advice on buying Commercial Bldg, without broker, owner to occupy

Account ClosedPosted
  • Real Estate Broker
  • Phoenix, AZ
  • Posts 83
  • Votes 28

I am glad this worked for you, but don't underestimate the value of a good Commercial Broker (and yes, that's part of the negotiation the seller will pay if structured right and they are reasonable) and an attorney on these deals.  There's no way that low amount of fees got you full protection, but hopefully, you will continue not to have larger issues.