All Forum Posts by: Jon Hilfiger

@Kent Ritter good input and totally leaning this way...I’m ok being leveraged but not way over leveraged. Still on the prowl for that first good property as well. No rush but I’m ready to take my portfolio to the next level with MF. Thanks.

@Ben Steelman - that is exciting to hear! Did you throw caution to the wind a bit and accept lower cash flow and DSCR? Also - mind sharing what size and price property you bought with heloc? Thanks!!

@Bjorn Ahlblad good stuff. Thank you.

Has anyone used a broker to represent them as the buyer? Will most sellers work with another broker? As I get closer to my first MF deal I want all the help I can get. Thanks!!

@Marcus Auerbach thanks and the area is so/so. The numbers are not pro forma and my challenge is the down payment (cash vs heloc). I may have to sell some stocks and such to get in at a decent enough rate...or find partners.

@Jaron Walling thanks and yes under rented a bit now. I’m definitely struggling to find ways to make the math work and get into the game with a good first MF.

We just closed on a 3 bed/4 bath cabin less than 1 mile from the main road in Pigeon Forge. Rental history is strong at 65K as an STR. For now we are sticking with the same prop mgt. company as the past owners as they have nearly $40K in bookings on the calendar and we would have lost that. The 20% hit is tough to swallow on the mgt. fee but covering 100% of our year 1 costs from day 1 is nice. It's a very competitive market with deals going quickly - and some at or over asking. Good luck.

Has anyone used a HELOC on their primary residence to finance their first biggish deal? I found a decent deal that works with a 20-25% down but when I factor in paying back even the minimum on the HELOC (1% of outstanding balance) the numbers go south quickly. Key numbers:

42 units, $1.6M sale price; EGI - $234K; Expenses - $122K

There's room to reduce expenses, do some value add and tick up the rents overtime...So, thoughts? And...is this too big a swing for my first commercial deal? Thanks for any thoughts.

@Hadar Orkibi thanks. I probably jumped in too quick. Better there than an actual deal!!

I bought the analyzer and it seems pretty intuitive. But if you’ve used I have a few questions:

- how do you create a pro forma? I don’t see any easy way to input my own projected rent increases, expense decreases, etc and compare to actuals. Thoughts?
- I must be doing something wrong on the 2nd mortgage. The calculations seems to subtract any 2nd from total acquisition costs from the first, down pmt, etc.  

Anyone else experience this or have feedback? Thanks!