All Forum Posts by: Juan Maldonado

Hopefully, BP HQ this issues fixed. Although this is bringing back to the good ol' days of a pager (which I never had). I can get the  key word alerts, but if I want to see the post I have go to a computer.

Also does the app allow to view messages? I can't seem to view them.

@Trevor Fleck , I have two options that may be of interest. Can you please send me a PM and I'll run them by you see what you think. 

@Marylynn B. 

Jumped on here because I got the alert for "Pittsburgh". Our company focuses on multifamily properties so please take this for what it is. You can still find very good deals in Pittsburgh, but I would definitely not go into the rougher areas. The extra cash flow is not worth the hassle and head aches. With Pittsburgh's low cost of living and low property prices, there is really no need to go into the rough areas. On our multi families we have experienced 5 -10% rent increases the last 3 years.

If you focus in the right area of Pittsburgh, you will do fine. If this market interests you at all I can will send you info, for a investor friendly agent. She definitely knows what is a deal and what is not, have never worked with her since she focuses on SFR, but at least her listings are priced correctly.

Best of luck to you.

Juan

@John Moore , No the opposite actually, the larger percentage goes to the investors. I should have clarified that.

Also, should have mentioned that our group also puts some money into the deal. Normally 5-10% of the total amount needed so that we also have skin in the game.

John, I just sent you a message with my phone number. Feel free to reach out to me any time.

Hey Billy,

As everyone here has said there are MANY different ways to go about this. A lot of it depends on what the investor is looking for.

 Our company in the past has structured deals 50/50% where an investor has put up the equity needed for the deal and we are responsible for the debt side and executing the repositioning plan. This has worked out well and both parties have been happy, as we get the cash needed and our investors get to be a limited partner, so he has no liability and ultimately works for him.

We have also done deals where we are offered our investors an 8-11% preferred return on their money, our group again has secured the debt and executed the repositioning. Any profit above the 8% is then split 70-30% or 65-35% depending what is negotiated.

Up to now most of our deals have been friends and family deals, where our investors have believed in us and although we do talk about various checks and balances in each deal, our group has maintained control over all decisions.

As @Bryan Hancock noted, there are many different angles that need to be covered and I think the more distance between the relationship the more each party wants to have things, hashed out and in writing.

Our 50-50% investor likes doing things with a handshake, but that's been cultivated over many deals and time.

Do look forward to hear what you end up going with.  

@Bryan Hancock - We were talking to Fundrise and Realtyshares. I just tried to send you a PM but for some reason it didn't let me.

Yeah its amazing whats going on in Austin right now. Few deals make sense in that market place. Its a bit difficult being so far away, hopefully we we make the move and are there things will speed up for us.

Do you do any multifamily stuff? I think seeing your posts and such appears to you SFR new development, correct?

@Bryan Hancock Thanks for your reply, we actually were trying to work with two crowdfunding sites and were going to post the deal on at least one. We ended up funding the deal the way that Jay mentioned above and didn't pursue further. I like crowdfunding and hopes it becomes more common in the future.

After reading their terms and legal docs, seems that crowdfunding sites are incredibly restrictive and protective also. Don't blame them however as they are looking out for their investors in a new business class.

I will actually be relocating down to Austin, apparently like much of the world soon, hopefully we will have a chance to meet up sometime.

@Jay Hinrichs

The multifamily projects we are sourcing right now are located in San Antonio and Austin. We are still going to keep working in Pittsburgh, but our principal and myself are relocating to Texas. Better market and more growth than the Mid Atlantic, short and long term. I will be sending you an email shortly.

Thanks,

@Jay Hinrichs - Would you possible be interested in such a scenario in the future? I can send you the material we put together for this deal, as this is the type of deal that we look for. If it is something that you find interested we can discuss in further details.

@Jay Hinrichs - You hit the nail right on the head, in the end we did exactly just that and brought someone on board who helped us bring in the rest of the money we needed in exchange to a share of being a General Partner. We have a track record established, just don't (I guess didn't) have any experience raising equity.