All Forum Posts by: Tj Hines

Typically when we are evaluating income, expenses and debt service are we taking these steps to verify this data after we have the property under contract from the seller with our earnest money up? Or is a way we can verify this without having to put earnest money up? Thanks

@William Hochstedler Great insight you provided here. I'm taking note of that. Thanks

@Chris Tracy  Definitely makes sense. You just cleared that up for me. Thanks.

Hey there,

Over the past few weeks I'm getting more and more intrigued on the commercial side of apartment investing searching 50 units and up in submarkets of at least an 8 cap and a 10% or greater cash on cash return with 10% or greater being earned over the life of the investment. 

When investing in this asset class job growth and population is key. I've been hearing different people say you need to be in an area of at 100,000 people in population and then other hand I've been hearing from other folks that you need to be in an area with a population of at least 200,000-250,000?

Do you know why these numbers are far apart. Is it just personal preference that one would choose a market with a population of 100,000 over 250,000?

Looking forward to your thoughts on this ...

Thanks

@Bruce Petersen ding ding its right on your post. lol. Awesome. That's a great market to be in.

@Douglass Benson I have a software that I'm using where I can underwrite a deal in 10 min. We call it the 10 min offer based on cap rate, cash on cash return. 

Yeah 1031 would be the best way or force appreciation by adding value and 12-18 months later refi out get original investment back in my hands to invest more in units.

@Rolanda Eldridge you have markets and submarkets within those markets. One area of town could be thriving while the other side of town is lagging. Although inventory is low I'm looking for value add plays with multifamily units. Not SFR. More on the commercial side. The intuition and outlook is a little different.

@Bruce Petersen Hey thanks so much. What market are you currently in?

@Michael Haynes who in their right mind would invest in mutual funds that have high performing fees and fail to be the market over any sustained period of time. If I was to invest in a volatile market such as the stock market I would invest my money in low cost index funds this way I own a piece of the whole market. At the point I can care less whether the market is up or down. The average cost of owning a mutual fund is 3.17%. Did you know that?  I invest 100k today the mutual fund manager takes his $3170 right off the top. Crazy thing is he doesn't have much control either.  Immediately I'm in the hole. Did you know those guys WIN all the time whether you win or lose. HELLO. There's no control there bud. Sounds like you may belong in another forum. Thanks but no thanks for your advice. I see your from Tampa. Never heard of me? Mrflipperhouse. Google my friend. Everyone here in this forum knows the way to control your destiny is to control your finances. And what better way than multifamily. And yes I do believe I can have cake and eat it too if its an emerging market and I time just right to get in and get out within a 3-5 year period. I would NEVER and repeat NEVER give my money to some hot shot mutual fund manager selling me every other day and the latest and greatest thing to hit the market. Miss me with that. I'm only in this forum to fellowship with like minded people who are doing what Im on track looking to do. Education is key my friend.

To my bigger pockets family. As I diving more deep into emerging markets looking for value add plays with multifamily apartment complexes Im learning a lot about how to spot an emerging market with specific key indicators which is very helpful of knowing when to buy. 

My question is are there any specific key indicators or signs I should be looking for when it's time to sell? 

This way I don't get caught as the market spirals downward. Any thoughts or advice is greatly appreciated.