All Forum Posts by: John Blanton

Appreciate the input @Michael Ablan, makes sense keeping rolling it forward! Guess the short term cost is far outweighed by the tax savings, assuming the property is not being held infinitely. Thanks!

Great insight @Ari Lasky always depends on what your intention with the money is, great point!

Recommendations are always tough, but I have had good success with Vic Edwards in Raleigh

If you are planning on holding a property for a long time (multiple refi's, legacy hold, etc) 

Is it still worth it to get cost seg done on the property?

If the business plan is to hold the property over 10 years

Is it more of a personal decision around how quickly you would like to capture the depreciation to offset the income from cash flow?

Appreciate the insight @Greg Dickerson!!

Margins are pretty tight right now throughout the Triangle @Matt Zothner on SFR and small MF rentals. Even when I began 6 years ago it was difficult to find deals meeting the 1% rule in Raleigh, Durham has seen exponential growth over the last few years as well. There is a chance to find a greatly distressed asset that may be able to reach the 1% rule, but I haven't even seen any of those lately either.

Focus on Appreciation vs cashflow is a personal decision. It all stems from the reason as to why you are investing in real estate in the first place, for me personally I focus on cashflow (income diversity) and take appreciation as an ancillary benefit. The choice is for each person to decide. If you focus on appreciation vs cashflow and a large expense is needed to repair the asset you may be having to come out of pocket (vs cashflow) to make the repairs.

Good luck!

Thanks @Brian Burke as always for the detailed and informative response!!

Outside of the carve outs in loans (fraud, etc), for non-recourse debt what other risk factors are there for a KP?

Agreed @Steve Morris. For larger buildings it takes many conversations and isn't one shot one kill.... Gotta put in the work to build the relationship and making sure you are speaking to the actual decision maker. Even if only one name is on the deed/ LLC that doesn't mean they don't have a spouse/ siblings to contend with to discuss the sale...

In NC cold calling has seemed to work the best. The brokers live and die by the mailers, so I know there can be success there as well but it takes consistency for many many months. I have not tried cold texts, just like with anything I think it will highly depend on your audience/ owner as to the best way to contact them. Good luck!