All Forum Posts by: Matt Altrich

While not directly related to real estate, I like The Millionaire Next Door.  I think it helps with the consumption mindset and tells the truth about the real wealth in this country.  As you build wealth, I believe it's important to avoid the income creep lifestyle.    

This is the video on YouTube:  Clayton Morris / Morris Invest Speculative Markets and Real Estate Gurus

It's pretty entertaining - it's everyone elses fault.  

Yessss! 

We'll need to have a BP watch party when he appears on American Greed! 

Alejandro, 

You may find this thread helpful as it discusses all the different zipcodes throughout Kansas City.  

https://www.biggerpockets.com/forums/48/topics/276800-kansas-city-missouri-zip-codes

@Tyler Hespeler I agree with Bob.  It makes no difference how you plan to finance the property.  Some sellers are just happy to save the 6% real estate commission.  

Thank you @Ian Ippolito and @Alina Trigub for the replies - much appreciated!  

Ian, I am a  bit more conservative and have had somewhat of a challenging time locating  sponsors that have been through full market cycles.  It appears that everyone wants to be a sponsor these days.  I'll do some additional networking.  

Alina, thank you for providing that link - I'll be sure to read through the questions.  

Hi @Ian Ippolito, 

Thank you for the reply and that makes sense.  Yes, I am an accredited investor.  

@Aaron Arnold is this your first commercial deal? Based on the questions you're asking, I would personally do A LOT more research. If you're serious about purchasing a commercial property, you absolutely must have the financials to determine the value (value is based on NOI with commercial real estate). Furthermore, you can not take what is reported at face-value. You are responsible for doing your own due dilligence as sellers will often fudge the numbers to obtain a higher value.

As mentioned above, you need to research the market for studio apartments.   Maybe this building is next to a college and the demand is higher - we don't have that information.  $350 is insanely low rent and I'm not sure I would want to bother with a property bringing in that low of rent (think of the tenants you are leasing to).  I'm also guessing that this property is not a 6 cap.  JoCo might be a 6 Cap.   You are probably closer to a 9 or 10 cap (or higher) but again, I don't know the location.  

I'm in the KC market if you want to send me a PM to discuss further.  I'm more than happy to provide you my thoughts but I'd hate for you to go into a bad deal without knowing your exit strategy.  

Hi Aaron,  

You mentioned the building is 90% occupied and the units "should" rent for $350. Do you have the actual numbers on this building? What are the expenses? What did you calculate as the NOI? What are the comps? You'll need to do some due diligence to verify what is reported.

Hi Tammy, 

You may find this link helpful: 

https://www.biggerpockets.com/forums/48/topics/276800-kansas-city-missouri-zip-codes