All Forum Posts by: Ify (Bobby) Anizoba

Any bank account would work, but this isn’t 2001 and with the amount of technology available, you need an account that fits the times. Something that offers a bit more than a place to put your money. Look into Baselane it’s designed specifically for real estate investors, You get automated rent collection, expense tracking, it makes it easier to manage properties, stay organized, and keep up with your finances. 

@James Hamling This is the realest thing I’ve read in a while. Broke it down and made it simple

@Jefferey Eutsay

Got it! Here's a revised response with a more structured format:

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Hey Jeff

It sounds like you’ve got a solid deal in the works, but I totally understand your concerns about the 5-year seller carry. Those short-term loans can definitely create a lot of uncertainty in today’s market, especially with rising interest rates. Here are a few thoughts that might help make the deal work better:

1. Refinancing Options

If you’re planning to hold the property long-term, refinancing the seller carry into a more stable, fixed-rate loan could give you more predictability. With the large down payment, you’ll likely have built up enough equity to secure better terms. This could help smooth out cash flow in the long run by locking in a lower rate and reducing future payment pressure.

2. Negotiating the Seller Carry Terms

You might also consider renegotiating the terms of the seller carry. If you’re comfortable with it, you could ask to extend the term beyond five years or potentially even adjust the interest rate for a longer payoff. Sellers can sometimes be flexible with these terms, especially if it means closing the deal.

3. Cash Flow Planning

Managing your cash flow will be crucial with this deal. Since the assumable financing and seller carry combined could put a strain on your monthly expenses, it’s important to model different scenarios for vacancy, maintenance, and management costs. If you decide to move into one of the units, that could help with your personal expenses and ease some of the pressure, but ensure you account for all the fixed and variable costs in your projections.

4. Market Conditions

Keep a close eye on the market, both locally and in terms of refinancing opportunities. If rents rise over the next few years, that could help cover some of the higher payments if interest rates continue to climb. Additionally, if the market conditions improve, you might have a better opportunity to refinance at a more favorable rate.

5. Clear Exit Strategy

Since you’re dealing with a short-term loan structure, having a clear exit strategy is key. Whether that’s refinancing in five years or eventually selling the property, you’ll want to know how you plan to handle the seller carry when it comes due. Having that strategy in place will help you avoid potential stress when the time comes.

Overall, I think this deal has a lot of potential, but it’s crucial to have a strategy in place for managing the short-term financing risks. Would love to hear more about your thoughts on the refinancing options you’re considering or if you’re looking at any other ways to structure the financing to minimize those risks.

@Jarrod Ochsenbein Response:

Hey Jarrod,

First off, congrats on your success with the pad-split system! It’s great to see how creative approaches to house hacking are working well for you. I’m really interested in learning more about your experience.

I’m curious about the potential downsides and challenges you’ve encountered with this system, especially when it comes to picking neighborhoods. Are there specific factors you look for in an area to make sure it’s a good fit for this type of rental setup? It seems like location would be especially critical with pad-split (and similar systems), but I’d love to hear your thoughts on what to watch out for in terms of zoning, safety, or demand.

Also, I’ve traditionally rented out units the regular way, so I’m curious how screening tenants works for you with the pad-split (and similar) model. Are there any unique considerations or red flags you look for compared to the traditional rental process? I imagine there’s a different dynamic with tenants sharing common spaces, so I’d love to get your insights on how to manage this aspect effectively.

Thanks for sharing your experience, looking forward to learning more!

Real Estate, Wellness, and Community Impact

As I move into 2025, I’m focused on deepening my faith and prioritizing wellness, mental health, self-control, and discipline. This year, I’m committed to creating balance in my life, letting faith guide my decisions both personally and professionally.

In my real estate journey, I combine my tech background with a passion for community-centered development. My focus is on affordable housing, especially mixed-use projects that serve both residential and community needs. I also diversify into alternative real estate, like self-storage, to stay ahead of emerging trends.

I’ve learned valuable lessons over the years, particularly the importance of clear communication and aligning expectations in partnerships. Today, I seek out like-minded individuals who share my values, focused on long-term success and making a meaningful impact.

What sets me apart is my dedication to creating real-world, tech-driven solutions that improve efficiency while benefiting both investors and the communities we serve. I'm passionate about teaching real estate in underserved communities and helping others build wealth through knowledge.

Looking Ahead: I’m seeking local and out of state investors, lenders, and professionals in the Atlanta area for STRs and MTRs, and in Birmingham, Phoenix, Columbus, Macon, and Augusta, GA for long-term rentals and small multifamily deals.

Let’s connect if you share my vision for creating real estate that not only generates wealth but also builds lasting, positive change.

If you're just starting out in real estate, finding the right tools to manage your finances is crucial. One platform I highly recommend is Baselane. It’s an excellent bookkeeping, accounting, and rent collection tool specifically designed for landlords and investors. With Baselane, you can easily track income, expenses, and rent payments, which gives you clear insights into your financial health.

What makes Baselane stand out is its ability to help you qualify for refinancing or new loans. Since the platform has direct access to your financial data, it can prequalify you for loans, streamlining the process when you’re ready to expand or refinance your portfolio. I recommend this cause I’ve done everything from using excel spreadsheets to other softwares and nothing was as seamless or complete as this platform.

@Chris Seveney

The reality is, you can risk some of your equity when you have plenty, but you can't risk all of it and over-leverage. This investor over-leveraged, relying on appreciation and rent increases that likely never materialized. I sincerely wish him the best.

@Michael Gonda If you’re not interested in selling your properties, consider selling a portion of your equity instead. You can bring in cash partners—silent partners who stay in the background—who will invest and receive a share of the cash flow, while you benefit from the upfront cash infusion. Another strong option is to refinance. The money you receive from refinancing isn’t taxed as income, since it’s considered a loan, making it a very tax-efficient strategy.

For potential partners, focus on individuals with cash looking for returns, inflows, and tax benefits. When pitching the deal, highlight these aspects. Whether through refinancing or bringing on partners, it’s ideal to play in the multifamily market or look for distressed single family package deals to continue expanding your portfolio.

@Chris Seveney It seems like there's increasing pressure for people to acquire more rental units, even though many don't have the cash on hand to do so. With the economy being tight for a while, we're seeing a rise in posts about HELOCs and cash-out refinances. It's important to scale your business and grow your portfolio, but be cautious not to overextend yourself. Everyone should please be mindful of the risks so you don’t end up losing everything.

This is still one of the crazier things I’ve read on this platform.