All Forum Posts by: Kyle Scofield

@Michael Hines welcome to BP! You've heard right about how great this site is.. Did you know what strategy you were going to do or what is your experience?

@Sue Willoughby

1. If you're going to buy it as a whole, I would analyze it as a whole. If you're going to buy them separate, then I'd analyze that way!

2. You're probably going to have to bring in some private money. Maybe a partner? Don't know if you have equity in a primary residence but could use a HELOC if you do.

OR ---- You could get creative and work out some kind of lease option for the first few years while you save cash flow and then work it into owner financing (or bank financing at that point if you qualify... or BOTH) with the seller if they would be willing to do that instead of taking a large lump-sum.

@Robert Lindsley Okay, that takes care of a lot of my first concerns!

2nd thoughts: 

Even being conservative with CapEx included @ 15% brings your operating expenses to about $5,205 giving you an monthly NOI of $3,845. Your cap rate is still a nice 14.4%! It does bring your monthly cash flow down a bit though.

And obviously with 100% financing your CoC is infinite.

The only other concern would be it being sold at market rate, it doesn't leave you with much room to play with the equity but that's not even a big deal... I think it looks good!!

Thanks,

Kyle

@Robert Lindsley Couple things that come to mind based off first look:

I would include CapEx @ 10-15% as well. College students are not the best at taking caring of expensive items.

Property Management? (Unless you planned on managing yourself)

Is this one giant frat house or a multi-plex unit? Just curious how there's so many beds and baths! If it's a multi-plex, is water being separated and billed back to the tenants?

And is the garbage collection the responsibility of tenants or owner?

@Neil Browne it all works man! Brandon wouldn't put it in the book if it all wasn't working... Were you more interested in just hearing stories of what other people have done?

@Pedro Quintana there's some templates you can use at www.biggerpockets.com/files that show what some other people say on there postcards/yellow letters/etc. You should be able to find some good examples there!

Hope this helps get started, if there's anything else I can help with let me know!

@David Krulac this is some very interesting news... Thank you for sharing! Makes me excited to keep going and graduate college to offer these 65+ year olds some good retirement and expanding without being confined by banking rules. Appreciate the post!

@Asa May welcome to the site Asa! It's an amazing resource with all types of education available. Being new, I'd recommend getting started with the ultimate beginner's guide here on the site. It covers everything from types of strategies to financing. Once you find your niche and get your plan started then the fun begins!

Hope this helps get you started on the right foot, let me know if there's anything else I can help out with.

@Kurt Pauley welcome to the BiggerPockets! Being new, I'd recommend to start with the ultimate beginner's guide here on the site. It's like a 90-page PDF that introduces all aspects of real estate from types of strategies to financing. Once you find your niche, BP is full of books, forums and other resources to help get you going!

Hope this helps get you started Kurt, let me know if I can be of any other help.

@Neil Browne @Brandon Turner 's book on investing in real estate with no and low money down will give you every strategy out there as well as 4-5 more complex examples that combine multiple strategies into one deal

Hope this helps! Let me know if there's anything else I could help out with