All Forum Posts by: James Rey

250 per unit per year is the average we use. Most of ours are 50 units and up so if yours is below that you might require more.  

15% but your results may vary.  Not sure what they are in Hagerstown.

My partner has a bunch of properties in Cumberland and when we were looking to expand it seemed like the obvious choice as it is close enough to be accessible (I'm in Ellicott City) but far enough from DC/Baltimore that the cap rates were reasonable.    Due to the higher than usual vacancy rate in Cumberland (at least for these properties) and the negative population growth, we are moving on to other markets.  Does not mean you have a bad deal, just something to be aware of.

I think there may be some value in an MBA but I think experience and partnering with a successful investor that is where you want to be might be an alternative.

Hi Brian,

Great read and very motivating!

James

Brian,

Azeez really nailed it in his recommendations! Nicely done!! All I would add is this is a relationship business so you are going to want to start reaching out to some brokers at some point per #5 above. You are in a spot that is covered by both commercial and residential brokers (you can find many of the 10 and below building in the MLS even though they are considered commercial technically). I'd start there and once you are more comfortable per Azeez's recommendations above, I'd start reaching out to some commercial brokers as well. This is a business that is learned best by doing it. A good foundation is desirable in this business but don't get so caught up in feeling you have to know everything before getting out there and testing the waters.

You can do this!

Hi Marc,

You are definitely tracking correctly.  Another possibility might be adding additional sources of income - renting out the common space/room in the office if you have one, to the tenants for birthday parties etc, vending machines, coin operated laundry, pet fees, pet non refundable pet deposits.  You can also check with cell phone carriers to see if they think your buildings might be a good area to put up a cell tower and rent the space from you (though I believe that space is mostly for high rises?)

Hope that helps a bit,

James

Hey Neil, 

That's great that your Dad is looking to buy an apartment complexI  Dallas has gotten very expensive with very low cap rates over the last few years.  I have 140 units in Ft. Worth that I bought about a year ago, and I would not be able to but that same product today in Dallas. There might still be some deals left though so you never know till you try.  Also, I echo Rob's comment above.  Loop net is a great way to find brokers for whatever area of the country you are looking for.

Good Luck!  

Hi Deborah,

Like you, I just found BP very recently, but it is already paying off in networking.  As they say, real estate is a team sport, and what better what to find them than a forum specifically for that.

James

Jessie,

We recently bought 5 MHP's in Middle Georgia and are running it from DC/Baltimore Metro.  It's a value add  project so more management intense from up here but it can be done.  Key is good people on the ground!

Hope that helps a little bit.

James