All Forum Posts by: Aaron Nelson

Hi Keane,

I am a Realtor, property manager, and hold investment properties in San Angelo. I've lived here for many years and know the area well. I've had great luck with SFRs and manage several apartments that cash flow well. There aren't too many newer duplexes and very few tri and quad plexes. with the condo HOA fees, I'd say your return will be better on a SFR than a condo. Let me know if I can help.

Hi Keane,

I am a Realtor, property manager, and hold investment properties in San Angelo. I've lived here for many years and know the area well. I've had great luck with SFRs and manage several apartments that cash flow well. There aren't too many newer duplexes and very few tri and quad plexes. with the condo HOA fees, I'd say your return will be better on a SFR than a condo. Let me know if I can help.

Yes, I'd be interested. Let me know!

Hi Tim. I'm also in San Angelo. I'm an investor, Realtor, and property manager. 

@Gina Birdsong 

Hey Gina. I think we've done a few deals together. Just a reminder that my office specializes in property management. Call me anytime.  

I'm looking at a 3/1 that fell out of contract due to the previous buyers financing. I'm considering putting in an offer of $40k. This house is in good shape with new wiring and partial new plumbing and a brand new roof. The home only has window units and the seller does not have the funds to install central heat and air which is the main thing holding this house back. Here in West Texas, CH/CA is a must to get a house sold. There is already a bid obtained to install the CH/CA for $5000. The ARV (even though all that is needed is the central air) would be $80,000. I plan to have the central air installed after closing and putting the house back on the market to sell. It looks like this house fits the 70% rule. Does this sound like a good deal to get into?

Are there any HMLs that would loan on such a small amount? My concern is that I do not have enough reserves for my other rentals to cover 6 months of PITI. Average DOM is around 100 in my market.

Let me know if I left anything out that is needed to figure this out. Thanks in advance! I look forward to discussing it with you guys. 

Thank you for the reply, Joel!  It isn't my first deal but rehab would eat up a good part of my cash reserve.  I may be better off building the cash reserve and waiting it out for a better class property.

What information would be helpful? I can tell you that every other multi family listing in MLS is priced at 1% of the monthly rent. That makes the price quite good in comparison.

Would love to learn more. What else do I need to make this analysis easier? Besides expenses which are not available at this point. 

Are the fees to refinance lumped into these figures? So, I suppose you would shoot to stay under the 75% with purchase price, rehab, and any financing costs?

Sorry, newbie here! 

Came across a deal today I thought I'd seek some advice on.  There is a 7 unit D class property consisting of two duplexes that are efficiency 1 bedroom apartments on each side as well as 3 small houses all spread across two lots. Five of seven units are rented with a gross income of $2500 per month. The other two units are completed gutted down to the studs. Basically, all 7 units are capable of renting for $500 each per month making a potential income of $3500 per month. The current owner is paying all utilities which amount to $900 per month for the entire property. There is only one water meter and three electric meters which limits the ability to switch the tenants to paying their own utilities. The seller is asking $80,000 for the property. It had been listed at $119,000 for quite some time. The seller has no financials they can provide except for a few electric, gas, and water bills. I would estimate that $20,000 total would get the two units into rentable condition. Taxes are only $685 per year. Two of the units were recently remodeled. 

Am I missing anything? Would you guys jump on it without knowledge of expenses? It doesnt sound like they have kept accurate records.