All Forum Posts by: Maxwell Dolgin

 Hi Scott, 

Thanks for the reply. This place is more of a "renovate and flip". It's current condition is rent-able, as someone is currently living there. However if I want top dollar for rent and later on re-sale, then I would need to renovate. Floors, updated kitchen, bathroom, paint, etc. The only thing that concerns me about this particular deal is that there is another similar unit in the same building for sale (in a more renovated condition) for only $40k more. All other similar condos in the area are going for $600k+ while these two condos are low $500k. I'm pretty sure no one is handing out deals in Brooklyn, so it's concerning that I cannot figure out why this particular building is cheaper.

Thanks again,

Max

Hi All,

I've been searching the NYC/NJ area for approx. a year now, analyzing different markets and trying to figure out the best areas to attack for my first RE investment (don't want to screw it up). At this point in time, I have two buying opportunities that are two different strategies; buy and hold, versus renovate/fix and flip. Both are opportunities, however I would like to ask to the Pros which one may be better as a first time home buyer/investor, as I do not have anyone in my current network that would be able to advise. Here are more details:

First opportunity is a buy and hold 4-unit property in Yonkers, which could be a good option to walk into as a first time buyer as I will start off cash flow positive, but it's in an area that will not see as good annual appreciation as the 2nd opportunity. The 2nd opportunity is a 2bed 1bath condo in Brooklyn. It can be rented out in it's current condition, however it needs to be renovated to command market rents. I believe it is currently about $100k under what a renovated condo would go for at the same size in that area. For both of these properties, I will be using a 5% down payment through a first time home buyer program, which also I also need to think about which property may be better to use that with. I will not be able to use a first time home buyer program for any purchase after the first (obviously). One caveat to the condo - there is another 2BD 1 BA condo for sale in the same building, but in a better condition with 100 more SQFT, for $40k more ($540k), and has been on the market for 100 days. This is concerning because its telling me that if I renovate my condo, I can only sell for $40k-ish more. What makes this more confusing, is that all the other similar 2 bedroom condos comps in the area are selling for $600k+, so I'm not sure why this particular building is under valued. The building is a normal brick building, nothing odd about it. Someone please shed some light!

Here are more $$ details:

Buy and Hold:

Yonkers 4 unit multi-family house (5 minutes to Metro North station)

Monthly expenses: $5k

Current rent roll: $6k (can be increased with more renovated units, and current landlord keeps rents low to keep tenants)

Renovate and Flip:

Brooklyn (Bed Stuy/Bushwick) Condo 2 Bed 1 Bath 850 SQFT- 5 minutes to J/M train station

$500k Purchase price

Monthly expenses: $3.2k

Estimate monthly rent: $2.2k, $2.5k renovated

Thank you all for your time and input!

Max

Hi All,

I've been searching the NYC/NJ area for approx. a year now, analyzing different markets and trying to figure out the best areas to attack for my first RE investment (don't want to screw it up). At this point in time, I have two buying opportunities that are two different strategies; buy and hold, versus renovate/fix and flip. Both are opportunities, however I would like to ask to the Pros which one may be better as a first time home buyer/investor, as I do not have anyone in my current network that would be able to advise. Here are more details:

First opportunity is a buy and hold 4-unit property in Yonkers, which could be a good option to walk into as a first time buyer as I will start off cash flow positive, but it's in an area that will not see as good annual appreciation as the 2nd opportunity. The 2nd opportunity is a 2bed 1bath condo in Brooklyn. It can be rented out in it's current condition, however it needs to be renovated to command market rents. I believe it is currently about $100k under what a renovated condo would go for at the same size in that area. For both of these properties, I will be using a 5% down payment through a first time home buyer program, which also I also need to think about which property may be better to use that with. I will not be able to use a first time home buyer program for any purchase after the first (obviously). One caveat to the condo - there is another 2BD 1 BA condo for sale in the same building, but in a better condition with 100 more SQFT, for $40k more ($540k), and has been on the market for 100 days. This is concerning because its telling me that if I renovate my condo, I can only sell for $40k-ish more. What makes this more confusing, is that all the other similar 2 bedroom condos comps in the area are selling for $600k+, so I'm not sure why this particular building is under valued. The building is a normal brick building, nothing odd about it. Someone please shed some light!

Here are more $$ details:

Buy and Hold:

Yonkers 4 unit multi-family house (5 minutes to Metro North station)

Monthly expenses: $5k

Current rent roll: $6k (can be increased with more renovated units, and current landlord keeps rents low to keep tenants)

Renovate and Flip:

Brooklyn (Bed Stuy/Bushwick) Condo 2 Bed 1 Bath 850 SQFT- 5 minutes to J/M train station

$500k Purchase price

Monthly expenses: $3.2k

Estimate monthly rent: $2.2k, $2.5k renovated

Thank you all for your time and input!

Max

Nick Aalerud

I'm hoping to go full time within a couple years, but believe me, benefits and credit have been fully considered haha. One day I won't need any of that.

Unfortunately all the Black Diamond events start at 6pm, which is the same time I get out of work. Hopefully I'll be able to leave early in order to catch one sometime.

-Max

Nick Aalerud

I appreciate the reply. How long before you went full time with real estate? I'm right down the street from Mellon!

I spent the first few weeks just reading up on different wholesaling experiences, how-to's, and general wholesale info. I have a buddy who does rehabbing and he showed me around 8 distressed properties last weekend. He also pointed me in the direction of a few lenders and buyers. I was told that I should go for the multi's.

One of my only unknowns is getting a good contractor. Right now, I bank on using the yellow pages to have a contractor estimate repairs for "my" house. If you recommend any contractors, I'm all ears.

I'm now researching each distressed property to get owner information so that I can finally start on my first deal. I also have a buddy who I played college ball with that will be my partner, and he'll be getting his license.

Can't wait to get the first deal under my belt!

Kevin Barrett, best of luck to you as well! I'm eager to learn a lot as well, as fast as I can. Nice to hear from other beginners and how you guys are getting started.
Christian Austin, I'm planning on attending that meeting. I have a friend that might come with me as well. Awesome to meet people in the area with similar interests. Hopefully we can shoot some knowledge back and forth!
Jason Brooks, I'm always open to meeting new people and look forward to hear from you in the future! I'm sure after 5 years, you have some great info to share! We seem to both have passion for investing!
Brandon Turner, just want to first say that I think it's awesome you response to most, if not all new member introductions. I appreciate your time for sure! As a beginner, I'll have questions and it's great that you offer your time for discussion. I've already made my key alerts and I hope to learn a lot on here! Thanks a lot!

Justin Silverio thanks for the great info. I'll keep that in mind as I start to get more involved in the Boston area. I noticed you work in the corporate world as well and do this part time, so I'll be sure to connect with you sometime as that's exactly what I want to start doing.
Ann Bellamy, you have definitely reassured me! I'll start looking into the events, thanks!
Sean Brennan, thanks for the recommendation. It's nice to feel welcomed to the events. I'll connect with you once I attend an event for sure. Hoping to learn as much as I can, so this will be huge.

Thanks Justin Silverio! I'm looking to start investing in rehabs in East Mass since I grew up in the area and am familiar with most towns around here. I've read about the Black Diamond events and a couple other groups but have been hesitant to attend since I haven't gained much knowledge to get started yet. However, I'd love to participate and learn as much as I can.

Hi all,

The name is Max (short for Maxwell). I'm one year out of college and also full time as a Financial Analyst in downtown Boston. Always been a REI fan, yet never took the first step. Now that I have more courage than fear, and a bit more money and credit, I'm determined to get started part time and find a niche. Been involved (conservatively) with the stock market for a few years now, but wanted to expand on what I'm buying and holding/selling, ultimately making it my cash cow. I guess my only initial fear is the bank approval and lending process.

I plan to join any Boston area REI club, a REIA, or even a REI Facebook group to acquire valuable knowledge, advice, experience and/or a mentor. From what I'm reading, there's no better collection of resources for getting started than BP!

Very open minded, so I'm looking forward to conversing and networking with many of you guys/gals.

Thanks for reading!