All Forum Posts by: Kiley N.

Welcome to BP!  Sounds like your team is well-established at this point and the value you find on BP will elevate you to greater success! 

You might be interested in speaking with @Lane Kawaoka who is also an engineer that got his start in Seattle and is now a big time REI.

Wow, kudos to @Ronald Starusnak for being a great resource, very educational!  

@Jason Eno :  Your team on the ground is key.  As a carpenter by trade, your experience will indeed come in very handy.  What you are looking for is other people who have experience that complements yours.  Having people you trust to fill in the gaps in your presence or knowledge is the way to keep moving forward.  

Networking through BP is a good start, as you are doing now.  Your fiance also may have some good undiscovered contacts in her home network;  ask around!  You might also consider listening to the BP podcasts with David Greene and his "Core 4" strategy for accomplishing this.  He has also written a BP book on long-distance investing.  

@Dan D. :  With our nice weather, convenient international location, and limited land base, Hawaii is a tight market these days.  Homes here average 3/4 of a million and most of that value is in the land.  With 2-bedroom condos also averaging above $400k, "starter homes" do not exist here in the traditional sense.  Combine that with the fact that we do not have anything close to SF wages and Mainland U.S. markets start to look much more attractive.  I have some thoughts on how this all changes in the mid term but that is for another thread.  

@Shawn Coverdell :  Bravo.  Thanks for sharing your experience and expertise in your niche.  This makes me think of some of the previous posts that recommended having experience before jumping into lower-income properties. 

That said, I happened to jump into this market for my first purchase.  Not quite the same level as @James Wise , but not too far off either.  I would agree that intestinal fortitude can be very helpful at times but also that the upside is nice.  By turning these around you're helping people to get access to decent housing and also contributing to the revitalization of the neighborhood overall.  You can rightfully expect compensation for those efforts.  Win-win situations are my favorite kind.

BPers, 

 I'm interested to hear your thoughts on this and look forward to the discussion.

https://www.reuters.com/investigates/special-repor...

Hi @Stephanie Potts , have you been given an indication that the NAICS code is the hurdle for the bank?  i.e. All else equal, if you had a different NAICS code then it would be fine?  You might also call and speak with another bank.  

Aloha from the islands!

You've certainly found the right place to learn and, as the owner of a mortgage company, I'm excited to learn from your experience.  

Post any question you may have and there are many experienced investors who offer great insight here.  

Best of luck!

@Dave Fagundes : I agree with what Joe, Mark, and Matt have said.  

@Joe Villeneuve , as he is wont to do, is starting with the end game in mind.  This is a framework for the financials in terms of return.  In assessing the deal you can arrive at your target return number and work backwards through the expenses.  This reminds me of the "Profit First" model and strikes me as a quick way to weed out a deal as you get into it.  

Agree with @Mark Sewell that historical financials may not always be the most reliable - especially if you only have 2-3 years out of an 80-year history.  Combining this data with experience, whether yours or someone else's, sounds like a reasonable way forward there.

Finally, @Matt K. brings up a good point that all of this work done in the recent past could be things that you don't have to do going forward.  This assumes that the work was done right and you will not be overpaying for it up front.  If the numbers still jive at purchase, then I wouldn't mind paying someone for the good work they've done for my benefit.  

@Aaron Paradis :  Also echoing the above and adding your team to the list.  

Here's the three:  You, your team, the numbers.  

If those three make sense, then you have a green light on a deal level.

Whether you end up taking this deal or not, that first foray into multi is exciting!  Best of luck with whichever direction you end up going!