All Forum Posts by: Joshua Tikal

I am a remote investor and will be scheduling a number of walk through's on 11/12. I will be focused on BRRRR opportunities so the projects will be significant. Multi-family 4 units+. I'm looking for a GC that will walk the properties with me and provide estimates. We are looking to move fast and aggressive.

Thank you so much.  

Joshua Tikal

I am looking to start investing in the St. Louis area. I am primary looking in in the south city area. With such a high amount of inventory available, what are some strategies others are using to maximize occupancy rates? There are products available across all the spectrum of quality so I'm struggling in trying to identify ways to differentiate. Any assistance would be greatly appreciated.    

Thanks @Jeff Fruhwirth will do! 

Welcome @Kristen R.! 

My wife and I are new as well. We are in northern Colorado but just started looking in the Laramie area. We are almost ready to put in a couple of offers as we really find there is great opportunity in Laramie. We have informally interviewed the local population (mostly students) and there is a resounding response for a need for good rental properties.  We would love to make some connections!

Thank you @Andrew Johnson. I would be very curious how many offers over the three years. I'm sure plenty have seen the age on the market and just throw a number in the pot. Another factor is the seller, so we are not very optimistic but the numbers are the numbers so we will see.

Thank you @Andrew Johnson. We are probably spending and thinking way too much with these properties. Being our first we just want to make sure our t's are completely crossed. I'm sure as we get more offers under our belt we will streamline our analysis and thought process. Sounds like we are assuming there is way more thought and reasoning with the agent and seller than reality.

Thank you @Bill F. After spending more time with my agent and now walking with the contractors I am finding the consensus is the level of unknown and cost due to the age of the home and the lack of maintenance from the owner. This is absolutely fair but the town is full of homes that are over a century old so this risk is not uncommon. The lack of demand is also something we will be leveraging.

We are concerned about the relationship and interaction between the agents and seller due to the lack of control. We are trying to find ways to proactively mitigate but we're not sure if this is possible.

@Andrew Johnson thank you for the feedback. Both properties are  multi-tenant and are not owner occupied.

Property #1 has been on and off the market for 2-3 years. There is lots of work as the property is over 100 years old and the owner looks to have put the minimum into the maintenance in order to just keep tenants. The property has two units 1x1 and 2X1 which the 2 bed is occupied. The rent is 30% lower than what the market value is with rehab. This also brings in lower level renters which we are wanting to change.

Property #2: This is a 3 unit which is also partially occupied. The primary level is a 2X1 which has clearly received the attention. Only 10% of the rehab budget  would be allocated to the unit. The remaining 90% would be split to the other two units one in the basement and the third being a standalone structure. They are in significant need for rehab through both properties.

The rehab for each will be 30k-40k which is 25%-40% of asking to give an order of magnitude. Also, we are learning very quickly how "creative" owners are when describing the number of bedrooms. Our definition of a bedroom is more than just a room with a closet. We will be providing rooms that have doors and do not act as a pass through to the remaining areas the property. Crazy I know!!!  We just want to offer a good honest product and hopefully have a reputation as such.

What are your thoughts?

@Bill F. thank you so much. We are motivated and ready to move forward. We know this is our future and are ready to work hard and grow! Both properties are multi-tenant, none are owner occupied. Bother are partially occupied but with low rent rates with lower level renters which we are looking to change. #1 has two units and #2 has three units. Both are on the MLS which one has been on and off for 2-3 years. This property is the ugly duckling that no one wants which is all the more reason why we do!

Do \ can the agents provide influence on the sellers? I ask because quite honestly we have an agenda and are not influenced as the buyer. We essentially just need to the agent for keys but we need to agents to push the sellers.

My wife and I are just about to make our first offer on a couple of BRRRR properties. We have completed the prep in reviewing comps, using the amazing BP calculators!, walkthroughs with contractors, and reviewing our financing options. We are ready to offer....

The offers will be significantly lower (30%-40%) below asking. My questions to those with the experience.

1. We have the data to support the offer but how can we ensure our offer will be represented well with the justification? I know there are success stores of talking directly to the sellers but how do you handle this with agents?

2. Both properties are listed with the same agent but different owners. Would making a package offer on both provide any advantage in pushing the listing agent in selling the sellers? (which we would love both)

In the end I'm trying to position ourselves in having the highest confidence that our offers will be sold well to the sellers.  

Any recommendations and or feedback would be greatly appreciated!