All Forum Posts by: Kyle Varga

Investment Info:

Single-family residence buy & hold investment in San Antonio.

Purchase price: $140,000
Cash invested: $10,000

Purchased a home that hadn't been updated, installed granite countertops throughout, stained the cabinets, updated hardware, new paint, and new carpet.

What made you interested in investing in this type of deal?

close to a military base for secure rental pool.

How did you find this deal and how did you negotiate it?

With a real estate agent off of google.

How did you finance this deal?

conventional loan.

How did you add value to the deal?

Installed granite countertops throughout, stained the cabinets, updated hardware, new paint, and new carpet.

What was the outcome?

Cash flowing rental.

I've had difficulty finding funding for this deal because my net worth isn't 2X the bank loan amount. I've found the always talked about but nearly impossible deal of nearly 0 money down in multifamily. 

I have 100K I'm using for the small amount of rehab there is left the property is 50% occupied and going up even through COVID.

I also have $150K in stock for emergencies but am trying to not to liquify in the down market. 

I can make this work with 65% LTC but would be in a better position against anything not going to plan at 70% LTC. 

My plan is to refinance as soon as it's stabilized and hold long term.

I have experience working in multifamily for the last 4-5 years. This is the first deal I'm trying to buy as the sponsor/hopefully without partners but understand if that is the only way.

47 Units in a small town.

ARV & Stabilized $3,600,000

Purchase $2,461,540

Bank Loan $1,600,001***

SF@3% $861,539 - 2nd lean position

Closing Costs $40,000 - from seller

Vacancy Escrow $71,540 - from seller

Has anyone had any luck with sellers financing the downpayment in the current market? I have a seller that is willing to finance 35% of the deal. 

If you have what lenders did you use?

@Yannes Chiang Who did you end up using? I'm having the same problem.

Investment Info:

Single-family residence other investment in San Antonio.

Purchase price: $20,000
Cash invested: $60,000

Fix and Rent
Purchased Needed full remodel, foundation, electrical, plumbing, roof, HVAC, kitchen and all 3 bathrooms, new flooring throughout.

What made you interested in investing in this type of deal?

Being able to remodel, rent it out and refinance to get my cash back out. ended up getting all but 3K back.

How did you find this deal and how did you negotiate it?

MLS purchased at 45% of list price.

How did you finance this deal?

Cash from a home equity line on my primary residence.

How did you add value to the deal?

Full remodel, foundation, electrical, plumbing, roof, HVAC, kitchen and all 3 bathrooms, new flooring throughout.

What was the outcome?

Refinanced to get my cash out. ended up getting all but 3K back.

Lessons learned? Challenges?

Do a better inspection before purchasing. Put more money in the slush fund. I had to cut the garage I was going to add because the electrical had looked all new. Turns out it was cut in the walls.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I hired an agent to conduct the transaction.