All Forum Posts by: Marjeanne Fields

Just have to say that I am so glad to see someone teaching and preaching basic financial education and money management before investing. This is seriously lacking in our society and then we all wonder why there are so many divorces caused by money problems. Props to you Shiloh for making the world a better place!  

@Brian Burke You are so right! It has been amazing to me how much we have had to do with our lender on this smaller deal. We closed a 68 unit in November and they barely wanted anything. For this 49 unit they want to see so much more.. for example..  every tenants employer! So crazy to me. 

My biggest struggle right now is I have an amazing business partner who finds awesome deals almost weekly. However, we do not have the track record to show new possible investors. So even though she is finding incredible deals, we are struggling to get them funded from investors. Any and all advice here would be helpful. 

@Chris Tracy Great to see you again! PM me. I am working on a jv partnership due to close next week. Would love to see if we can help each other. 

@Gino Barbaro 

We are also putting down 20% on this deal we are closing here soon. Our first deal in Texas was the same.

Just came across a seller finance deal requesting 15% down. Jumping on that! 

Agreed that you need extra reserves. We are finding this to be of the upmost importance. 

Congrats @Scott Morongell for closing on your deal!!!!!! So exciting to see others success. Wishing you great fortune with your project. 

Does anyone have experience in large multi family? We have been buying 50 units to 100 units. But I've heard getting larger deals can actually be easier for funding, finding investors, etc. Just wondering if there are folks out there willing to share their experience in the larger product space. Especially those overeating in the West coast.

@Mike Krieg We also made the jump to multi family after flipping. I love flipping. But in reality you are just working another job. With multi family you are a true investor. Love doing syndications because it shares the wealth with many people for many years. Love multi family because it's the same amount of work for more money.

Originally posted by @Joel Florek:

Originally posted by @Marjeanne Fields:

@Joel Florek We have been finding great deals in tertiary markets of larger cities. Specifically bedroom communities. Close enough to metro to ensure demand but far enough to still find 10%cap rates. Closing on one next week that is only $35k per door. For us if it's less than 100k population it must be at least within 30 min of the major metro.

 That is a great rule of thumb. I always find it funny when you go into some of those small towns and wonder why the heck there is a building boom of really nice single family homes... its those willing to drive a bit to their jobs but want a slower quiet life. Thanks for sharing your criteria! 

Out of curiosity, is there a unit count that you typically like to shoot for with your deals? Do you invest in a lot of these smaller markets to build your portfolio or just sticking with one or two?

We typically look for min 50 units but we prefer 100+ units. If we are in these smaller markets we only buy up to two. Just to minimize the risk. 

When you are investing in these smaller markets how many units do you seek and how many deals is your max? 

Investment Info:

Large multi-family (5+ units) commercial investment investment in Big Spring.

Cash invested: $1,615,000

Coronado Hills is a 68 unit, Class C Apartment building located in Big Spring, Texas. The property is currently 100% occupied and stabilized asset with several value add opportunities. The asset was originally built in 1968 and features 34 one-bedroom units, 28 large two-bedroom townhouses, and 6 large three-bedroom townhouses.

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

We were looking for long term passive income through real estate investing. Multi family seemed to be the best option to break in to commercial.

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

Found this through our broker. Took 2-3 months to negotiate terms.

How did you finance this deal?

Fannie mae and private investors

@Matt Popilek Congrats on your success!! You're 100% correct, double check your bids. Always add a 20% buffer when it comes to construction. My husband is a GC. I worked with him for years. A lot of gc rely on estimates as real numbers. Good ones know to add the buffer. Where did you buy this property? And how long was the project? Maybe I missed that sorry.

@Joel Florek We have been finding great deals in tertiary markets of larger cities. Specifically bedroom communities. Close enough to metro to ensure demand but far enough to still find 10%cap rates. Closing on one next week that is only $35k per door. For us if it's less than 100k population it must be at least within 30 min of the major metro.