All Forum Posts by: Josh Oaten

@Account Closed

Yes sir, I watched the documentary and read the book. I enjoyed the history lesson that I feel many others need to learn on money! 

I will take you up on the recommendation. Currently into the rise and fall of Roman economy. I find it great to learn and see the reoccurrences of the same past financial mistakes that still go on today. 

@Brian Schmidt

As @Ned Carey said, it is subject to your own views. I use an A-E scale for both the location and the property itself.

A = Built in the last 2 years, top of the line building and amenities in the wealthiest area

E = Looks like a direct hit from a bomb in a war zone area full of crime

This can be very subjective per investor, Im just giving a rough example. Obviously there wont be properties and areas that look like a war torn country but you will know an E when you see it.

We focus on B and C properties in B areas, so we are looking for properties that need work to bring them up to standard of the surrounding area.

@William Downing

• ABCs of Real Estate Investing (Ken McIllroy) - Real Estate
• Rich Dad Poor Dad (Robert Kiyosaki) - Real Estate
• Tax Free Wealth (Tom Wheelwright) - Real Estate and Taxes
• The One Thing (Gary Keller) - Goals and Results

Here is one you wont hear about and a good one. It is also a documentary

• The Ascent of Money (Niall Ferguson) - The history of money

* I know it is a popular book but in my opinion be careful with 'The Millionaire Next Door'. To me a lot of the concepts are dated and don't make sense to me personally. Only my opinion though

Pretty good list here for a 16 year old, I was I was reading this sort of stuff at 16! 

Hope this helps.

@Franco Epifania

As said prior, Cash on cash includes debt service and is a must know metric. CapRate is the return from the property if you paid 100% for it (NOI / Asking Price). Heres the kicker in my opinion, CapRate is pointless! I don't know many people who will pay all cash for a multifamily property. The CapRate is merely a way to compare risk (higher cap rate would suggest more risk than a lower cap rate). The metrics that the big boys are looking at are IRR and Equity Multiple. @Omar Khan wrote an article about this on his BiggerPockets Blog https://www.biggerpockets.com/renewsblog/ignore-ca...

Take a look and I hope this helps!

As has been said above, you really want to separate these items so you can keep accurate accounts of what you are spending, what you can spend and what you can limit. Another important reason to separate these items is that when it comes time to sell, you will be able to display to buyers clear documentation of the functions associated with your property over the period you have it. These are three key numbers that buyers will want to look over and utilize separately in their calculations. Combining them will just cause a lot of head aches in the future. 

@Sami Gren

Great to hear that you are in the multifamily business! What size properties do you own over there?

BiggerPockets is a great place to connect with like minded investors, id suggest posting and taking a look at the commercial real estate forums (specifically the multifamily and apartment investing forums). 

I noticed that you are from New Jersey. Scott Morongell is a multifamily investor out in New Jersey and someone id recommend reaching out to!

@Paul Khazansky

Look up the biggest brokerage companies in your area:

- Colliers

- CBRE

- Marcus & Millichap 

You will be able to find others in the area you are looking and get in contact with the top brokers at each brokerage. Make sure that before you do this you know and have your investment criteria ready to give them so they know you are serious.

EG.

• Units
• Property class
• Property age
• Price
• Other stipulation (Value add, occupancy, roof type, % below market rents etc...)

@Account Closed he would be able to give you some insight into how he started out with capital raising and got to where he is today. He has written a blog on the topic that may help you also.

https://www.biggerpockets.com/blogs/10776-a-canadi...

Hope this helps!

 Currently assisting a group out of Texas to tick the first one off the list!

@James Wise

Apartment buildings (100+ preferred) is what I am interested in. 4 major reasons

1. Scalability of larger properties from a value add point of view enable you to make small improvements for big gains to increase the properties overall value

2. Occupancy!! The more units, the lower the risk for major vacancy. This will depend on your break even points and stress testing of the property but a basic example below.

 (Eg 1 unit can only be 100% occupied or vacant. 50 units at 50% vacancy is still 25 units producing income. 200 units at 50% vacant is still 100 units producing revenue) 

3.You have the ability to utilize OPM to acquire property and still make a healthy profit for you and your investors

4. The larger the property, the better ability you have to utilize professional property management with having to worry so much about that expense affecting your return