All Forum Posts by: Jason Gott

I did forget to mention the ARV would be around $345K.

So let me start off by saying I am still new to real estate investing so go easy on me, but not too easy (I'm still a man dammit!).

Let's say I found an 8-plex that has been without love for a few years Estimated 20k repairs (Brick, 10yr. old roof, 100% rented, gutters falling off, needs paint, shrubs grown up, etc., etc.) Each unit brings in $650 for a total of $5200/mo. Expenses include: Taxes $3000/yr., Insurance $400/mo (might be cheaper) Tenants pay utilities. 10%managment, 9% repairs/maintenance, 9% Capex, 5%vacancies.

Listed for 330K but I know I need to buy it for 228k.  Not a lot to put down and trying not to use all of my cash.

I know it's a solid deal and the numbers work in my favor but the question is,

How would YOU pay for this deal if it was YOU?

-Seller Financing?

-Partnership?

-Hard money?

-Private Money?

-Lease options?

AND GO!

Thanks @Dennis M.

So then my next question would be, is a bank loan the way to go with minimum cash invested or would you consider a private loan, or a BRRRR? And I'm not 100% sure, do banks give conventional loans for a triplex while also paying for rehab? I know the 203k does but what is the requirement to qualify?

I am not 100% sure on a break down for rehab yet.  I was presently going off a estimated value and will indeed update the numbers when I can get a contractor in there with me to get a more accurate rehab cost.

I was also erring on the side of caution with a little higher Capex and repair holdings since it is an older building.

I guess if you break it down that way it might have been a dumb question.  LOL.  Thanks for the help

 Thank you Alan

https://www.biggerpockets.com/calculators/shared/850011/1176d4b8-e48b-439b-9c1d-33aba9265b5f

https://www.biggerpockets.com/calculators/shared/850011/1176d4b8-e48b-439b-9c1d-33aba9265b5f

try that @John Leavelle

John,

Thank you, Thank you, Thank you!  You were exactly right and that was just what I was needing to hear.  I've been beating my head over numbers all day and totally missed this one. 

https://www.biggerpockets.com/calculators/shared/850011/f0e746b5-4621-4dd3-80ac-4633091256e9

It changed the numbers big time.  This is what is awesome about biggerpockets.  So in your opinion on this would you pursue this deal?  Numbers look right, but is it really worth it?  Again all my deals have been contract sales and this would be my first rental.  Thanks again @John Leavelle

I forgot to add that this deal can be purchased Cash for $20k. It is when I refi for the ARV it's around $60K.

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Can someone please help me?  This would be my first "Rental", I have 3 homes that I have sold under contract but I cannot get any deals to work in my favor when it comes to a standard rental.  Every time I purchase using cash everything is great as far as cashflow.  The problem is when I go to refi to get my money back I lose all cashflow and usually owe per month.  So my main question is, "How do you get your money back to buy another investment if all of your money is tied into one?"  Even if you use "other people's money" at say a 6% interest it is a deal killer!  Hope this makes sense.