All Forum Posts by: Jeff Wydra

@Jacob Beg gut feeling goes a long way. Always go with the gut.

I had one prospective tenant show up, a nice family, everyone was dressed up nice, even the kids. But too nice. Like the kids were wearing suits and a bowtie, it was super cute, but a little weird. Then the husband turned out to only be a "friend" who was helping her out. Then when I called her referral something seemed off. It was too good and too casual, like he was expecting my call. Did some digging. Looked on google maps at her previous/current address (which was not in such a good part of town). On street view as pure luck would have it, I could see a "for rent" sign on her building and the number was not the same one she gave me. People change numbers I thought, and the building could have been sold since. But I decided to call just in case. Turned out this was the REAL number for her landlord and this poor lady started to vent about how she hadn't paid rent in months and she's trying to get rid of her! She told me not to touch her with a 10ft pole. Long story short my gut feeling had been telling me from the start that something was off, and it turned out be right. I always trust my gut.

@Brandon Sturgill where did you pull up that chart with the information on those cities?

@Garreton Smith very nice 👌

What are the numbers? Purchase price, arv, projected cash flow, etc?

I just picked up a small multi north of Albany in Schenectady. It's currently a 5 unit, but zoned for 4, and with a 6th unit half finished. I'm taking the gamble that I can finish the 6th unit and get the zoning modified somehow to further increase casflow. Either that or turn it into an assisted living facility.

@Anita Ak

I would talk to @Jamie Brayton, she's an investor and fantastic real estate agent in the area. She can help you out with some good people.

@Michael Gansberg

What is the current state of these proposed laws? Does it look like they might pass, and what exactly has passed in Albany?

I'm from out of state but currently under contract on a property in Schenectady and this is definitely something I should know about it. I'll likely be inheriting at least 2 of the 4 current tenants and also have plans to invest a good chunk of money to refresh some of the units and possibly separate gas and electric so they will have direct control over their heat and comfort (and it can be billed directly to tenants). If I'll only be allowed to increase rents 1.5-3% a year that will be a huge problem and will likely put a stop to any planned improvements. Thanks in advance for any pertinent info

@Ryan Miller

Dm coming your way good sir.

Hi @Dan L.

Your post has caught my eye as I've just put a 6 unit building under contract north of Albany, and was having the exact same thoughts. The current owners gas and electric bills amount to 15k a year! If I could bill most of that back or get it directly metered to the tenants it would double my cash flow. Please keep me posted on what you find out and decide to do.

Hi Chad, and congrats on thinking outside the box! 

I too have been looking at the same strategy for a while now as I want to conserve my capital for Cap ex and reserve funds. Initially I was met with the same response and was surprised (just like you) because  had heard of so many other people doing it. To my knowledge there are 2 ways of doing it. 1, keep looking until you find a lender who is ok with another person/lender holding a second position loan (they do exist). Or 2, you register the second position AFTER closing. The second option is a little sneaky and I haven't done it yet myself, but I have heard from a few friends that this works. Another option would be getting the seller to hold a note and not be on title, but most people want their money secured by the property in my experience so that gets a little more challenging. Hope that helps. Good luck!

@Paul O'Connor as I was reading through this post these were the three options I was thinking all along as well. Maybe the only other option I can think of would be offering your tenants a rent to own option? It would net you more cash flow and eventually get these off the books. Might be an option, might not. Thought I'd throw it out there.

@Ronald Starusnak do you know if there's something similar for Syracuse and Albany? I'm starting to invest in those areas and could use all the info I can get. Also I'd love to connect one day if you have the time.

Cheers