All Forum Posts by: Marco Zacarias

@Anthony Dee I'll private message you, but as a resident in the Barrio Viejo neighborhood I can tell you that there is a LOT of redevelopment and development in the area. The high end street in the neighborhood is Mayer, the closer you are the higher the comps. In fact just a few months ago someone bought 4 empty lots right next to each other and construction just started this last week. HIGHLY desirable area with rent rates no less then $1K and that's the low end. I'm sure you are aware but do note that any rehab in the area (if zoned as a historical) you will need to have your plans approved prior to construction by a board. Let me know if you have any questions about the neighborhood...

Based on my short experience I see  Home loans as a much cheaper alternative when compared to private money loans but of course they have a lot more hoops to jump through. Is this duplex and the 85701 zip code?

@Bryan Hartlen As one of the gentlemen on the thread already mentioned a 10% cap rate is a very rare opportunity most likely a performa. However don't let this discourage you check the numbers to see if these are actuals. I am from Tucson and familiar with the area as I traveled to Sierra Vista, Tombstone, Benson, Bisbee frequently. Sierra Vista is the largest city you will find South of Tucson. Its much smaller than Tucson and is does have the Ft. Huachuca military base there. Sierria Vista does have good companies out there such as Raytheon, Boeing and Northrop Grumman. Of course these are military aerospace companies that come with there own strings attached.

Is this a multifamily property that is attached to a restaurant?

@Eric M.@Jesse Swagerty As I continue on my path to build capital, I was glad to hear the seller was willing to hold the sale, allow me to rehab the property and we split the profits at the end without charging points, interest or any type of fee. But after seeing the property in person, the rehab looked more like $30K-$40K and it turned out that building square footage was only half of what was advertised. ARV dropped, I walked away. Duplex is still for sale.

@Jesse Swagerty Your assumption is correct and appreciate your input, thats basically what I was looking for.

@Eric M. You're correct, no profit if buying at $60K and putting another $20K for rehab. I meant to explaint that I would fund the rehab and the current owner and I would split the profit after we sell. 

@Ornella Kaneza looks like this post hasn't chaged in over 2 years, but i hope you made the move to fix and flip or house hacked. Regardless, if your still interested please let us know. I'm working with another partner in raising money (at $38K, still raising) to do our first flip. 

We are also members of the AZREIA group @Sue Reynolds which meets every second Tuesday of the month at the Tucson Association of REALTORS building located at 2445 N Tucson Blvd, Tucson, AZ 85716. If anyone is interested please reach out and we can introduce you to some members and have you over as a quest. 

Would you Partner with the Seller?

Scenario: Seller Bob bought a property using hard money for $30K and is now selling for $60K, not MLS but on CL's. Bob's hard money loan is a 12 month period and payments not due until the end, Bob is about 5 months in. ARV is about $80K and rehab is about $20K. Heavy rehab, no electrical, no plumbing, etc.

Bob is willing to take equity if I bring in the rehab costs and manage the rehab. 

Question: How would you structure this deal?

@Gustavo G ramirez hello Gustavo, I'm also in the Tucoson area searching for a property to rehab. Maybe we can help each other out.

@Nate Fanara welcome! I totally agree with @Mitch Messer, go with the numbers and choose what best works for you. Each neighborhood or region of town has its own inventory data. For example you may choose to invest in a distressed C class property where you can rehab and close within 60 days where inventory is low versus investing in a B class property that may sit for 90, 120 days where inventory is high or vice versa..