All Forum Posts by: Joseph Mckenna

@Stephen Homes

Probably could pass

OR

Maybe the candidate caught some bad breaks and is making his wrongs right.

Pre screen him.

Justify the funds align with his income capacity or savings.

Validate references and prior landlords

Include clause for 10 day notice termination

@Tesho Akindele I’ve been doing Airbnb in North Tempe and making 2x in profits every month. Airbnb is a cash cow if you know what you’re doing

@Danny Randazzo thank you Danny, def a recurring recommendation so I will heed all this advice!

@Jeffrey Donis thanks for these podcast recs! Def needed more focused ones other than BP

, Jeff.

I know I’m aiming high here after only owning 1 residential property, which I am Airbnb’ing right now, but a friend of mine in commercial real estate with 10 years of experience and I are teaming up to buy a commercial property in the Phoenix area. We’re looking at 10+ units and want to structure it so we’re the LPs and we pitch to investors to be the GPs. Yes I know it’s ruthlessly competitive, yes I know it’s a relationship business, and there are tons of all cash buyers coming from California with $3-$4M so my question is how can I develop a competitive advantage here? I’m working with a broker now whose sending me off market deals who has relationships so I’m starting there! But I want to know what I don’t know here. What should I know before pursuing this venture? What are your top 5 do’s and don’ts (autocorrected to donuts which I’ll take too)? How can I ensure a successful deal? I have the excel tools already but want to learn how others are valuing a deal too.

@Yosef Lee would you mind sharing the numbers?

1) How many properties / deals did you vet before arriving at that one?

2) Why did you choose that market? Which macro and micro indicators did you see as important?

3) Cap rates and which class of properties?

4) How many partners and how many avg years of experience do they have?

@Rey Gonzalez

Having just bought a single family home in a college town amidst a ‘sellers market', I made sure certain factors were at play for me. Like house hacking potential playing a huge role for me. I can quite literally build another SFH or 2 ADUs bc of the zoning on my lot which absolutely justifies my investment at today's ‘high' prices. Between the university forever building in and around the area and the recent migration patterns, I'm not scared in the least bit of this investment.

Prices are always relative too like every sub market is different, man, sometimes the homes on either side of the streets are different. We just have to think outside the box more bc the deals aren’t as black and white. Time to put our creative hats on! Lmk if I can help.

Best of luck!

@John Thedford

Hi John, to echo the above, I’d look outside geo where you can scale more incrementally like in smaller cities and states like Arizona. Im not too privy to syndication but it seems a new geo is more of a lateral play while syndication is more of a deep ball play. Nevertheless, I’m building a pipeline of deals here in the Phoenix area and Scottsdale as we speak. Feel free to connect if I can be helpful. Happy to just chat

@Brendon Brooks excellent advice. Thank you

@Adrien S. I appreciate reading your insights. What tools and software do you use to estimate repair costs or suggest for appraisal? I’m just getting my beak wet in the business here.