All Forum Posts by: Account Closed

I have to ask, if you have the funding to purchase 6 homes, have you looked into the returns a commercial property could give you? It could be a lot easier to get 1 loan rather than 6 mortgages and you get the added benefit of having to pay expenses and management on only a single property rather than multiple spread across a wide area.

The two most common scenarios I see is that the Mentor is the Realtor or the Mentor knows the Realtor. From there a good Realtor can get you in contact with trusted Managers, Accountants, etc. The only thing you'll need to hunt for yourself is a Lawyer because (especially in the state of Texas) many agents cannot legally refer an attorney.

Michael Ortega with Omega Elite Construction happy to send a number, just shoot me a PM

Hey Shawn,

To add to the PM I sent you, I work with a team of agents with years of experience in multifamily investments. I'll be happy to see how we can best help you.

Don't use a script. There isn't an adult alive in America that hasn't been hammered with script after script...so we've gotten good at hearing the patterns. Write a small bullet list of what you need to discuss and the questions you need to be answered and let the conversation flow naturally from topic to topic.

Don't forget that a not so small part of real estate is being a professional therapist. There are a lot of people that, once they start talking, will end up telling you their whole life history with the property you're interested in. You don't need to listen for 5+ hours of grandma's tales, but you will need to learn how to be a good listener.

It's not ideal.

Taking Denton as an example. If your neighborhood isn't within easy walking distance of UNT but, due to lack of data the houses you're comping are closer...the pricing will be off. Also, each side of major roads like i35 and 377 will generally have very different prices.

It happens a good amount in smaller towns and especially with CRE where you really can't run a sound comp because there's just no data to do so. All you can do is get a general feel for the surrounding market and let your gut do the rest. You'll find that experience is your best asset with these moments, so don't be afraid of reaching out to an agent or two in your areas of interest.

It depends on the numbers. Most of my buyers don't want anything under 40 units, and CAP rate alone isn't enough to move them.

What everyone wants is a poorly managed C-prop with value-add opportunity. If you have something built in the 80's or prior, hasn't been upgraded in a while, and has rents below market rate...then chances are I can find you a buyer fairly quickly.

Otherwise, it all depends on what value can be made after the sale. I don't have anyone looking to just buy and hold a stable asset.

I'm a licensed CRE Agent in Austin, TX, so mind you I'm biased as hell.

Commercial can be an excellent route to go down. The tenants are all businessmen, the opportunity to add value is exponentially greater, and there are significantly more types CRE product than residential giving you more freedom to diversify your portfolio and make investments in unique ways that aren't available when dealing with houses and plexes.

• Want to get the benefits of multifamily investing without dealing with tenants? Public Storage
• Want to work with a bunch of small business owners? Retail
• Want to work with small businesses and get benefits of multifamily? Office space 

All of this being said, your first step should be finding a solid agent in the areas you're interested in buying. Do NOT try to go at Commercial alone, it is far too complicated and far too litigious.

If I remember correctly the average(ish) CAP in Brownsville floats around 7-8% where McAllen is closer to 8-10% that said it varies heavily on the number of units and location of the property.

I can't tell you a good price per door because it varies depending on the complex you're looking at and your investment goals. Are you looking at C props? Value Adds? Or do you want stable B-A assets that you don't have to put any work into?

Weed? The electric bill

Meth? Your neighbors will tell you.

That said,  this is a post written by Paul Moore that might be worth reading.