All Forum Posts by: Matthew Gallacher

 After just a quick look at your numbers, I have to ask, do your tenets pay all utilities including heat? Also, what about snowplowing and lawn care? If they don’t pay for heating, I would definitely get with the owner and figure out how much they pay a year in oil as I have found many cash flowing properties that seemed to good to be true until you factor in the heating cost...  your description says it’s for rental rooms and efficiency unit. Have you talked to your lender to determine if this is a 4 unit or less residential property,  or if it’s going to be classified as commercial since there are 5 income producing units? In the Machias area, I would also go up to 10% for your repairs if not 15%. My wife is from the area and knows many of the renters there, and they very rarely leave the house as they found it. So beware of that as well. 

@Cody DeLong You dodged a bullet. It’s a shame there’s so few options for financing here in Maine. I know with my next purchase, I’m probably going to have to start getting creative 

I would NEVER recommend Milk Street Capital. A complete joke of an outfit. Cost my client an easy cosmetic flip as it took them 2 weeks to give us any paperwork and then nearly cost us ANOTHER flip due to them sending us the wrong paperwork and just not knowing what was going on. Constantly gave us excuses (overworked, not enough employees etc) as to why they were behind. 

@Jeremy Tracy I do think think the Waterville/Winslow market will continue to be a good market to invest in. With saying that, I also believe (and hope) that we’ve reached the peak of the “Colby Craze” that has gripped our area for the last few years. It wouldn’t be surprising if we began to see prices in multi family begin to come down a little as the craze begins to wearing off. My tenets are from Augusta and have mentioned how much quieter and nicer Waterville is compared to our capital. Wouldn’t surprise me at all if Waterville/Winslow become the next GO-TO bedroom community of Augusta. Just need Waterville to stop trying to increase their property taxes 

@Harold Jones The x’s usually means the home has been condemned by the city. There are normally major issues with the property that will need to be fixed and shown to the code enforcement officer so he can check that the property is completely up to code and habitable 

@Harold Jones are you talking about flipping the vacant homes or doing something like the BRRR strategy?

@Harrison Smith That's what I was thinking. I've done a CMA with the sold's but didnt even think to take a look at the active to see if the market was still supporting those numbers. I was hoping to start touring as well possibly this weekend with the buyer so we can get a sense of what is going. I appreciate the advice!

Hey everyone,

So just got a client that's looking to do a fix & flip in central Maine (Waterville, fairfield, skowhegan that area) and I may have found a potential deal. How do you guys come up with you ARV comps. Obviously look at solds in the area that mostly closely resemble the flip once its down but any other tricks of the trade you do to reign it in further and become more accurate?

I don’t invest in the Bangor market (yet) but as someone who grew up in the area and is a realtor in the city I am familiar with it. I prefer the Waterville/Winslow market as of right now

Well welcome to Bangor! I’m a realtor here so please feel free to send me a message and I’ll do my best to answer any questions you have. As for properties, a lot of Bangor is priced on the higher side due to there currently being a housing crisis  (great time to be a landlord) but there are still plenty of deals to be found here and on the other side of the river in Brewer if you look. We do have a meeting the first Wednesday of the month usually at a local bar. I hope that you find 2019 to be full of success and good health.