All Forum Posts by: Khari F.

Don't knock 1/1 units - They are very easy to keep rented, and fairly recession-proof (in the sense that they are a low cost housing option for 1-2 person households and there will always be demand for them).

Your numbers seem to be right at the 1% rule, which remains difficult to achieve in most markets with an ongoing supply and demand imbalance.

The answer to the question "Is this a good deal?" will vary from market to market. So you really need to ask yourself (and research) What else can I buy in this market for around $120k all in? And there's your answer: If there are much better deals out there in the same price range, so buy one of those instead. If not, snap this one up with confidence!

I'll send you a PM with some more info.

Thank you! It’s about hour south of St. Louis in a smaller area called Desloge. The area isn’t the best so rents can only go so high. I told them I wasn’t willing to go over 90k, there still stuck at 95. So as of now the deal is off until he has a change of heart. I think he knows he’s kinda in a pickle of a situation so hopefully all works out. I think owning a duplex for less than 100k is a steal when thinking long term. It’s just my first rental and I have a feeling I might be running in circles for maybe 200bucks of cash flow. Just trying to make sure I don’t regret the decision, and that’s why I’m staying firm at 90k.

Off market? How many days on market?

Off market

did you explain to them why 90K is your best offer? not sure they have any motivation to lower their ask. how did you determine your rehab estimate? how much reserves do you have after rehab for vacancy, capex, repairs?

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Saint Louis, Missouri

Quote from @Jillian Shuler:

I had terms with my previous lender...no seasoning period and 80% LTV for multi families (2-4 units). I know it can be done, so just asking around. Thanks.

It can be done but do you know why your terms were changed?

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Philadelphia, Pennsylvania

Quote from @Heath Watson:

Quote from @Jeff Copeland:

Your numbers seem to be right at the 1% rule, which remains difficult to achieve in most markets with an ongoing supply and demand imbalance.

I'll send you a PM with some more info.

Off market? How many days on market?

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Saint Louis, Missouri

Quote from @Vincent Plant:

I have both sides of a twin that I have owned for about 3 years now. They are rough to say the least. In a rough area, in rough condition, low income tenants that don't take good care of the property.

All in all it's been a pretty good run with them. They cash flow nicely (when the tenants pay on time). I got a great deal on them. My mortgage is low, the maintenance has been much more manageable than I expected, and in my 3 years of ownership they have appreciated considerably even with all the negative factors.

I had the boro go through them recently and they are in really bad shape. I know I am going to be facing a lot of large expenses. I know the way the market sits I can unload them as-is and make a nice profit on them. But do I want to sell off 2 homes? I have always heard the saying never sell an asset when building wealth. And what am I to do with the proceeds? I could never buy homes now for the price I paid for these.

Should I grind through and try to maintain/fix these places up? Or sell off my class D assets to try and upgrade to better properties?

Hi so many questions. Would repairs support demand for rent at increased - considering you already have issues with rent payments on time? Assuming you would need a couple months if vacancy also. Self managed or PM? What are the rental comps? Seems like youre only worried about capex. How would you finance the rehab/repairs? Do you own other rental propert?

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@Nathan Gesner

That would be so helpful to have. Is there a bp file?

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ppl will underestimate you for your age - understanding the numbers as a teen is more impressive to potential mentors than just spotting uncut lawns. youtube "how to run comps". try a social experiment and offer to cut their unkept grass if you really want to find out their motivation and build rapport. then use the $20 to buy colored envelopes and vumber subscription and print copies of your "i work with investors" letters and drop in owner's mailboxes - no stamp or return address needed. be patient and prepared to get a call back 7 months later when they finally reached their distressed limit (also dont take the angry call backs personal). youre protected by youth. lol

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Quote from @Trevor Oldham:

I'm looking to invest in my first deal as an LP, but I'm always looking at deals on Marcus & Millichap and analyzing them myself to learn more.

Occasionally, I come across great deals where the numbers work perfectly.

As an LP, I don't want to purchase the deal myself but see value in it for other investors.

What would you recommend I do? Would it be flipping the contract? Looking for any advice!

Hi Please share a deal analysis

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@Nathan Gesner How you ensure you will get a fee on close and or even know status of deal?

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All Forum Posts by: Khari F.

Khari F. has started 13 posts and replied 149 times.

Post: First time home buyer looking to house hack

Post: Need HepUmbrella Policy

Post: Good or Bad Deal? Duplex

Post: Looking for 80% LTV cash out refi for duplex in my LLC

Post: Good or Bad Deal? Duplex

Post: Knowing when to sell and when to hold?

Post: What To Do When You Find A Good Deal

Post: 16 years old trying to bird dog for investors

Post: What To Do When You Find A Good Deal

Post: What To Do When You Find A Good Deal