All Forum Posts by: Account Closed

These deed restrictions are so counter productive for all parties. Investors are working to increase the value of homes, and improve communities and standards of living. There are plenty of great investors, like my company, out there who understand the value of quality workmanship. These deed restrictions encourage the 'slap paint on a pig' investment style.
I have just started looking into the why behind this deed restriction, and I plan on finding the 'who' in this process who has authority to rethink the logic.
...Hoping to find someone before I reach out to Ben Bernanke and point out how non economical this restriction truly is. :lol:

Brian - I will not bring that amount of cash to Detroit...LOL,

The property is located in Allen Park, MI. So based on the information and numbers provided along with the amount of work the owner as put into it; you think 350k is to much? Keep in mind the property is in top notch condition, literally! I have no intentions of paying 350k for it I was thinking more in the range of 300k-310k. Should I start even lower than that? There is room to create more value in the property.

I look forward to your reply

~Greg

Nick - my intentions for this property is to hold for long term cash flow. I'm currently in the process of gathering information, in which most investors ask when pursueing a mult-family complex. I will most definitely get a trailing 12 month rent roll. Thanks for the tip.

Even though I do have the capability to put down 20% should I try to work with lower terms first? Or simply just go get a conventional loan?
~ Greg

The property in question, is listed for $350,000 and is generating an annual income of $62,160 with annual expenses at $34,350 which $6,000 of that is for property management. The property has been completely updated outside with: a complete roof tear off, all new concrete up to the units, sidewalks and parking lot, all new landscaping and 5 of the 10 units have been completely rehab with the other 5 in excellent condition. Currently is fully occupied with long term leases in place (2+ years as I'm told).

I recently have spoken with the listing agent asking if the seller would consider doing a LC on this complex. She has replied with "yes they will consider with a large down payment". I have the ability to put up to 20% down without placing any stress on other capital.

My questions to all is, what do you think in general about this deal? What other type of information should I be asking the listing agent?

This will be my first commercial deal in my career and I'm looking forward to the knowledge and advice that I will receive from BP.

Greg

Best advice would be get in touch with a realtor that is investor friendly. You could also pull public records on properties that have sold within the last few months that are in your target area. This could help however, it is a much longer task then just getting a realtor on your team.

On a side note I have recently seen an improvement in trulia.com with the site updating the newest listing from the mls within a day or two. This could get you in the ballpark but I would not commit to a deal based on their values.

Great thread....

94' Aerostar with holes in every part of the exhuast system :D including tires that need to be filled up almost every 2 days.

The wife drives 07' town and country SWB no add ons

As for the toys:

1987 Rx-7
1990 Lincoln (not really a toy just another car)

Not sure if paying for the paydex is something new or not. Many people I have spoken with all have different stories on how they went about getting their paydex and dealing with the reps at D&B. Seems to me that that they deal with everyone on a company by company bases. I guess whatever rep you get is what you get.

Couple of questions regarding business credit, you said that you have built business credit once before. Can you offer any tips or guidance or even companies that do not look for PG when first starting out? I'm always eager on expanding my knowledge base when it comes to business credit.

Also, are LOC difficult to obtain? My company currently has a completed business plan, been in business 2+ years, several net 30 accounts, 2 trade lines and a paydex 80+.

I have had similar issues as well with D&B however, after speaking with several of their reps D&B will not issue you a paydex score unless you purchase their self monitor service. You can have many net 30 accounts that report but D&B will not update your file until they get around to it. The second I paid for the self monitoring service I recieved my paydex score from when I started building business credit from day one.

I know this seems somewhat strange that they operate like this but I think it was a good investment and now I'm working on building company trade lines.

I do agree that their services are useless but I did instantly get my "file updated" once I paid plus it's not bad monitoring you business credit.

That is what I assumed, just wanted to have some "fact" to back that up. Thanks for the reply J Scott..

Received an offer on one of our properties and was wondering how concessions/ commissions worked. Do both concessions and commission come off the final price? Such has, you have an offer for 103K: 6% concessions and 5% commission. Are these numbers based solely on the 103K sales price, or do you subtract the commission off of the 103K (5180) then take off concession out of $97,820?

Sorry if it is a little confusing just trying to determine our bottom line based off this current offer. Thanks for all the help

~Greg