All Forum Posts by: Jeff Roberts

Yes, I am open to just about any funding source, and trying to get my ducks in a row.  The seller is a long time friend, and approached me about the opportunity.  I will try to get back with those of you that have reached out to me.  Part of my questions right now is around available terms.  I have heard numbers between 6.5 and 8%.  Lengths between 20 and 30 years.  Down payments between 20 and 30%.  It is tough to underwrite anything with those kind of variances.  I have extensive residential rental experience, but almost none with 5+ units.  Thanks!

Hello, I have an excellent off market opportunity to purchase an apartment complex here in the Cincinnati area.  Can anyone with experience recommend a financing source? We are looking for $2M -$3M.

Thanks

Jeff

Ronnie, I have used Terrie Monnie of Terrie Monnie Title several times for things like this.  He was inexpensive and experienced with creative deals.  Best of luck. -- Jeff

Chris, that is exactly my plan.  I have too much going on right now, so if I got a better offer I would take it.  But as soon as I can get some spare time, I am going to mount it myself.  One place online sells a complete DIY solution.  I think that I am in the wrong business...

That is what I did.  But unfortunately, that means that I am still looking for a reasonable installer.

Kurtis,  I am curious:  which of the above expenses were you underestimating?

I could nit-pick, but in general none of that looks crazy to me Kurtis.  I think whether any potential property is a "good deal" or not will depend upon your expectations for total return.  My own perspective is that rental property should return a premium over the stock market in order to account for the increased risk, lower liquidity, and higher personal involvement.  How much of a premium?  For me the answer is at least 5-10% more than the long-term average return of the S&P 500.  Based on that, I don't see many good deals these days.

I should also say the obvious: the numbers you cite above vary tremendously by neighborhood and by the condition of the specific property relative to that neighborhood.  

Hey Jim,

I am not a wholesaler myself, but the difficulties that you cite are the very reasons that I do not mind paying one of them a reasonable fee for finding houses for me.  My experience is that nine times out of ten even if you can find these people they will not talk to you or there will be some other issue that prevents you from actually acquiring the property.  There certainly is no harm in trying though.  Good luck!

That sounds like a lot of labor for an afternoon's work!