All Forum Posts by: Michael Wayne

@Russell Brazil so you think the auction will close at >$5M? and that the area is rent controlled? 

@Marian Huish so that would just be a simpler way to avoid more regulation? 

@Sam Grooms good question. I didn't get a chance to look at that

@Scott Mac The due diligence estimates a good $200k in required repairs prior to beginning any renovations, so I'm sure there are roof leaks/broken windows/etc. 

Thank you to everyone for the input!!

Hey Kelli, 

I'm a native of Detroit and a HUGE evangelist for the revitalization happening down there. From someone who has seen Detroit near its worst, it's remarkable the progress that has been made in the last 6-8 years (thank you Dan Gilbert, the Illitch Family, and many more). 

I was down there a few months ago and there's no question that Detroit has been overcome by an energy of rejuvenation. What once looked like a war zone now has the makings of a city on the rise. 

Having said that, prices have certainly adjusted to the hype with a surge in the last few years, which has a lot of investors thinking the area is overpriced. I'm neutral because there is just SO much supply down there that I believe you can still find deals, but its important to be selective and not take a single offering pro-forma at face value. Need to do your own due diligence. 

I have a few realtor contacts I could offer you and lots of connections to assets on the ground. Send me a message if you're interested in talking more.  

Hey BP - 

Came across this one on Ten-X last night. It goes to auction in 4 days, but I can't help but think it is the COOLEST property:

- 1/2 mile from the Capitol building in Washington, DC

- 13 units: ten 1BR/1BA, one 2 BR/2BA, and two 3 BR/3BA 

- 100% vacant so rehab would be a breeze 

- Starting bid of only $1.2M

I'm brand new to real estate, so I don't have the means/experience/ability to try and move on this property in the next 4 days, but maybe one of you do so I'm passing it along. 

I'm more interested in what your approach would be on a property like this. Has anyone ever bought a multi-family form auction before? What are some of the head aches/risks involved in that process? Any red flags you notice about this place? Does your gut tell you its under priced/over priced? 

Link: https://www.ten-x.com/commercial/listing/133-7th-s...

All the best,

Mike