All Forum Posts by: Jared Bonner

yes, we pay as soon as we get the invoice....hard to know if we are getting scammed on pricing though...for example just had 2 bath sink faucets installed with under counter shut off valves, and replaced a defective smoke detector...charge was $433,  of which $48 was parts  (not including the faucets....)

do you all make your handyman charge by the hour or by the job?

Greg, thank you.  This is the kind of solid advice we need.  I'm thinking you are correct.  A partner would add that extra cushion making the deal more solid.  Thank you for this.  Now to find a partner....the hard part.  :) 

Hello BP'ers

We have a large multifamily deal we are in the first phase of pursuing.  Its the largest deal we've ever attempted and need some "big fish" advice.

deal basics:    purchase price:  estimated  $7,500,000
                    # units:                around 70
                         80% loan            $6,000,000
                         20%  dp               $1,500,000
                       
My question is this for the big kahunas out there.....  we have the $1,500,000 down payment (mostly in other various real estate assets in multiple legal entities),  however,  this deal would "tie up"  a good portion of what is now our FREE and clear net worth....into this one deal.  It would tie up about 80% of our net worth. (and place it "at risk" I'm assuming )    Assuming the deal is at least  "average"  for a high end , lower cap rate facility, and assuming that cash flow is sufficient to produce excess "cushion" cash flow at the end of every month -   is this too much net worth to tie up into one property?   Should we be looking to tackle some smaller deals first to build up that net worth higher ?  is there a rule of thumb before pursuing these larger deals?   Looking for some advice from those that have been down this path before...

thoughts?

Thanks All!

So grateful for all the great responses!  Very Helpful. Thank you to all!!

thanks all for the good advice...

we have a pretty stringent operating plan in place.  we send late notices quickly, and add late fees etc. we have a tenant who has been chronically late, then is VERY late,and  at that last possible moment before we turn over to the eviction attorney ,  he pays.  with all late fees etc.  this is super frustrating.  but we are getting alot of late fees. we also state that we only accept : certified bank check or money order for that last late  payment if it gets to that point.  this time, he called and asked if he could pay cash.  my question:  should we allow this?  any pitfalls to accepting cash under this situation?  thanks all.

Quote from @Emily Germain:

@Ricardo R. That would be great, thank you!

 Any chance I could get a copy? I’m in the same boat looking for a way to analyze small apartment complex’s.   Thank you in advance.

how do you all track expenses and income in your books using the "MASTER LLC - and serial sub LLC" model? we have one master and 4 serial, can we use quickbooks online and setup the master llc, then the sub llc's as "classes" ? will this stand the test of not "piercing" the veil?