All Forum Posts by: Javier D.

@Mica Moore

When you are patching leaks continuously. The roof will tell you when it needs replacing. Save your money in a cd or something allocated for cap ex.

@Henry Lazerow

Depends on your tattoo selection. I wouldn’t reward bad taste.

@Ryan Hazelwood

35 years old. Own 72 doors.

Free and clear 12 SFH

Rest comprise of 4plexes, a couple of duplexes and 10,12,21 unit buildings all within 5 miles of each other.

@Phillip Rosin

Maybe sell it and install a tankless? Might be cheaper option than that buildout.

Hello bp fam,

Last week I closed on a 12 unit building 100% occupied with under market rents. Market is 1100-1200 currently all units are rented at 750. I sent a letter Stating rents will be increasing to 1000.00 starting August 1st. Local law doesnt require me to give this much of a heads up as tenants are currently month to month. Here is where it gets interesting:

Unit 6 previous manager who is paying 550 decided to not pay and threaten legal action. She brought 4 tenants on with her. Usually When I stabilize a property I would just commence eviction process but here enter pandemic eviction moratorium. I figured I would get some resistance but this is a little more extreme than I’ve encountered before. My plan of action as of today is to tell these tenants 850(100 increase) continuing month to month. The tenants whom agreed to 1000 will be getting annual leases. Local market has waiting list and I own a 40 unit across the street 100% occupied. What would you guys do? How would you handle it?

@Joe S.

Hi Joe,

I used the appreciation and some of the initial investment from my sfr investments via 1031 for down payment on MF.

I started with one of my 14 sfr to buy 2 4plex side by side. Had bought a house for 100k in 2011 and sold for 240 in 2018 . The 4plexes were 290 each so 70k down. Currently refinancing those to take out those 70k to reinvest.

Same year I sold 3 houses and used that money plus some capital to purchase a 37 unit bldg. 600k down.

I think maybe you need to speak to a local commercial lender. If the property cash flows then it shouldnt be an issue as all they care about is if your net worth justfifies the purchase and does the deal make sense 1.2 dcsr and all that.

I currently have 70 units. Closed on a 12 owner financed yesterday. 300k down 15 year fixed 6% . Was originally a 1031 pivot but couldnt close on a house sale in time. At this point im not too concerned with capital gains as all my deppreciation off sets alot of my income.

@Andrew Carlson

Repairs are a little low. Id do 750 per door per year or 5-10% of gross income depending how new property is.

Vacancy 5% .

Cap ex 250 per door per year.

@Janelle Hicks

Can you swing both A and C at same time?

@Minka Sha

If you’ve appreciated 15% maybe refi to remove pmi and see what numbers look like then.

@Armand Soto

Install some safety bollards just in case.