All Forum Posts by: Larry Frank

Then don't invest or look elsewhere.  

You are right.  It is a guide people use in a very low end market.  It makes sense if you are buying doors for 30-50k but gets worse the more you pay per door.  

You have got to have boots on the ground working for you that you trust.  Contractor or real estate broker you use to phyiscally look at the property first.  Have a check list of items you want him to check out.  -foundation, roof, windows etc....

NOI is 18k. This doesn't sound like a class a or B+ building. If rents are at market rent a 225k offer is an 8% cap. Maybe you can negotiate prop managment down to 8%. But if you cannot add value somehow I would advice against buying the property for anything over 225k.

I have a property in a high end area with a lot of slate roofs.  I like the look and longevity and low maintenance of it.  However, I am looking to buy the fake roofs from davinci (https://www.davinciroofscapes.com/).  They have great reviews at about half the costs.   Has anyone had any experience with these or seen any studies done on them?

I have 4 rental properties.  1 is my old townhouse in the city.  30 year loan.  Property is horrible CF but my ir is 30 years at 3.37 % so I am just going to ride that out.  pays off $800/month principal and 300 month CF (I manage myself and this doesn't include ANY repairs).  that is about 25% equity now.  2nd place is a small 4 unit that I bought all cash.  Rehabbing and will refi in 6 months.  both other places are 20/80.  Overall I am fairly leveraged but I have a good job and investments I can tap elsewhere if needed.  

Hire a property manager.  They will bring the rent up to market and screen the tenants.  They WILL run the place like a business.  You might even make more and not have to deal with any of this.  

Hello everyone,

I live in IL and am investing in Wisconsin. I created a series LLC with 3 properties in it. I am going to create a new LLC (not a series) or add a series to my LLC but I have heard conflicting viewpoints. Some people say its perfectly safe, while some people have said to run away if anyone offers this. A series saves me a few hundred dollars a year in fees to the start per/LLC. I also have my account with Chase and they wont give a second checking account under a new series LLC. Anyone have any recommendations?

There is nothing greedy about getting market rent and people should be offended by that.  Everyone has the opportunity to do what you did and you are taking a large risk with your own capital.  I would charge close to 1300 and heavily market it (zillow, redfin, posters).  Maybe hire a broker to get at least one unit filled.  

I live in north of Chicago and would like to invest in Kenosha WI MFH or office building.  Price 500-1.5 million.  How do I go about finding a good commercial realtor there?