All Forum Posts by: John Hickey

Bradley Pietrzak I would weigh how much the course is against what you plan to spend on inspections. When I bought my first house I asked around and got a recommendation for an inspector. The inspector came with a small bag of tools and a flash light. I walked the house with him for hours. We poked all over the house inside and out. After I bought the house I decided to finish the basement after pulling down the Sheetrock in the basement I found extensive termite damage. I had to replace every joist on the first floor. Even a few on the second floor, and the main beam in the basement. Knowing what to look for now....mud tracks, dirt on the sills he should have caught that. It was a big job and I have never relied on an inspector since. I have learned what to look for and bring my father in law and another contractor to every house. I was selling a house last year and the guy who came to inspect was no joke. He spent four hours in a 1600sf house and gave me pages of things he thought the homeowner should know. They tried to use it to negotiate the price but I had priced the house right and they only got 400$ off a 612,000 house. Best thing is now I have a home inspector I plan to use in the future.

@Sarhay Alvarez welcome to BP and hang on tight to that excitement! Starting out with a multifamily in your own backyard is a great plan. There are a lot of people on BP who have done just that and can help show you the way. 

 Have you started listening to the podcasts? They are a great resource, I listen to at least one everyday.  It helps keep me focused and gives me insight into others success.  Stay excited.  

@James Floyd

Been a while and I was wondering if you were  able to figure something out? 

@Lisa Foreman

@Lisa Forman

Nice work! Good to have a unit rented.  

I'm a little late to the party but I have been in your shoes before. Dropping the rent is not always the answer.  I feel digging a little deeper works for me.  I know I asked this question of another investor years ago and he was quick to ask about my photos and if I had a listing agent.  

I have a few ideas for your next go around. Could you post a link to your ad or post your pictures here? Here's and example of good and bad photography one is my cell phone which I posted in Craigslist the next is a pro and that's is the picture that rented the apartment. Now I'll admit that I cleaned up a lot more for the pro photographer but the pictures are not even close. I pay 200-300 for photos now. I plan to stage my next apartment and hire a pro photographer, I will list the photos in Homesuite.com for short term rentals as well.   I look at the money spent as an investment in my business.

Check out the completion. Look and see hat the prices are in your area, what the perks offered, and what the finishes are. Try to be the best at something. Maybe nicer laundry in the unit, bigger outdoor space, newer appliances. A good paint job is priceless in my book. I won't even touch a wall with a brush or roller anymore in the final coats. My guys paint way better than I.  I'll prime a bit but I try to stay out of the way.    

Did you try a listing agent? I usually offer the apartment to an agent and let them know I will show the apartment myself. I get it in writing to avoid any trouble. Some brokerages don't allow this but keep looking someone will be hungry. The reason I do this is just to make sure my apartments don't sit( wish me luck I have a unit I'm reading for rent right now).

When I know I have a unit coming up I start telling everyone I know that I might have an opening.

Good luck! I would ask that tenant what I would take to keep them if they are a good tenant   .

@Jonathan Makovsky Great Meetup! So glad I made it.  I was wondering if anyone who attended got the contact information of the wholesaler who spoke near the end. Greatly appreciated!

@Eric A. just found the photos from the earlier renovation. That was 3/2 in the top floor.  Just to give some perspective my townhouse is 20x36 so 50k and 80k go a bit farther in that small a space.  I did replace the staircase at that point from ground floor to top floor and that was included in the 80k.  

@Eric A. good luck with this property! Lots of buyers so good work.  Have you considered condo conversion? I have a lawyer that has done many it's a process that includes the DOB, the Attorney General, your own attorney and an architect but if you can get it done the price psf is worth it.  On my block multifamily in good  condition are selling for 500-600psf.  Condos prices are crazy right now.  I haven't done it but my lawyer has and he said his fee is around 30k.  There are other fees you would have to explore. 

I'm doing a Reno on my 3 family but I don't plan on selling.  I renovated the top floor a few years ago and I spent about 80k.  Right now in in the midst of a smaller scale Reno on the parlor floor and thats wrapping up at around 50k.  I took a 1 bedroom/ 1 bath with dining and living and turned it into a 2 Bedroom/1 bath.  I took out all the plaster, radiators then ran central heat/air.  Next up is a new kitchen and bath. I ripped out all electric, moved the panel from basement to the apt, moved the kitchen to a new spot and moved the bath to the old kitchen. I'm on the fence about putting in a rear deck.  The permit costs about 3k and the welder I use will charge 7500 for 18x6 steel deck with railing. Here  are some pics. I'm about to install flooring  and cabinets should be ready may 1.  Keep in mind that  I have my own guys and I'm not looking to sell only fixing a rental 

Martin Rogers I agree with you on the drug sales being more out in the open back then. However 15-20 years ago bushwick had already started to gentrify. Block by block not very much but it was going on. From my personal perspective I was working in what's called east Williamsburg now. Siegel and white in 1997. I would walk down to the bushwick houses where there was a check cashing place and that neighborhood was gentrifying. When I came and went I would drive down Bushwick Ave to the Interboro and I remember seeing a steady stream of what we used to call frontiersman. They looked like they got pushed out of alphabet city and they were not long time neighborhood types. A lot of them looked like they could be customers for the dealers but they were artsy. Most of them are long gone now. Makes me wish I had somehow tracked them so I could buy in the place they now call home. Governing has a good map of gentrification in NYC and it shows a bit between 1990-2000 and ton in 2000-2010. I have noticed that you don't have to be the first guy in the block to make money. The block I bough on in 2007 in bed stuy shows gentrified in 2000. My buddy had bought a shop for his welding company there in the early 90's and I felt stupid for not following sooner. But he sold and made great money and I bought much later but stayed later. What do like in Yonkers? http://www.governing.com/gov-data/new-york-gentrification-maps-demographic-data.html

@Kate Hall

Thanks for the info!