All Forum Posts by: Chris Momongan

I invest and rehab in older homes in the area and know investors that have switched to new builds.  From the people I know that do new builds, it seems like they like the process of new construction better and less headaches when starting new.  I do older homes because I'm relatively new and see it as if everyone else doesn't want them, I can make it work.  So far I've gotten the numbers to work but the more I build my portfolio and scale, I'm trying to figure out ways to make my life easier.  I also do Short term rentals which I feel only a small people do it right in this area and which is why I chose that market.  Lots of opportunity because of new jobs and medical district.  The people that have tried to do STRs realize how much work it is and how hard it is to operate at a high standard.

Thanks for sharing Tyson.  Nice to read about how you got started and what mistakes you made along the way.  I also am learning through the process and like you always have over overrun costs that exceed budget or my contractor tells me a certain timeline and is always over by a month or two.  Its good to know some of the stuff that keeps me up at night, others have gone through it

I own 2 MTRs and working on a duplex at the moment. I primarily focus in Summerville district and primarily do BRRRR properties. My first STR/MTR was at a halfway point between Ft Eisenhower and Medical district (~5 miles to each) near the mall and has been doing well. I just finished a rehab in 30904 and was all-in at 114k and got an appraisal of 188k, purchased off the MLS. There are a bunch of SFHs in the area that need area that are just cosmetic rehabs, I usually average 30-40k in costs that BRRRR if you're looking to do that.

There is also a new cancer center in North Augusta that has been proposed downtown, that might be worth looking into down the road.  Hopefully will bring new jobs to that area.  There are a lot  of off market stuff in Grovetown but I couldn't get the numbers to work.

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $65,000
Cash invested: $40,000

Formed a 50/50 partnership with me being the sweat equity. Found off market deal and close on duplex. It is est 165k all in and expected ARV 220k and up. Plan to do MTR both units or mix of MTR/STR/LTR for both units. Est rent roll is $2950 as MTR and cash flow of $1000. Have construction loan and will refi cash out into 30 year.

What made you interested in investing in this type of deal?

To scale using OPM. Needed to slow down and create reserves for personal finances and saw a partnership as solution.

How did you find this deal and how did you negotiate it?

Using wholesaler and bid 65k when open bid was 55k.

How did you finance this deal?

Construction loan with private bank

How did you add value to the deal?

I am the sweat equity. Found deal and has team of contractors and vendor to complete rehab from previous experience. Also will be property manager for MTR units.

What was the outcome?

Closed on deal and currently in month one of project

Lessons learned? Challenges?

Dealing with lawyers to set up partnership has been challenging. Also, used lender on off-market deal was an experience when most use cash.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

dealt directly with attorneys and lenders to get the deal closed.

I'm also in the MTR arena and still learning. Listened the Landlord Diaries podcast and follow Zeona McIntyre and Jesse Vasquez on IG. Also read 30-Day Stay which is pretty good comprehensive book. We also are starting a STR/MTR meetup in Grovetown at Panera Bread run by my friend Aaron Chiles, who started hosting just recently. The first meeting will be Jan 18 at 6:30p. Check his ig out at Preparedspacellc.

Hi Alex, I'm also new to the BRRRR game and have done 2 in Augusta and started a 3rd project on Duplex this month. Each of them I left some money in the deal after refi because I didn't get the appraisal I was looking for. Luckily they all cash flow close to $500/mo after refi but didn't work out exactly like I expected them to.

Hi Nick, I'm also a new investor and have 3 properties in Augusta. Started last year in October 2022 and focus on mid term rentals using Airbnb and furnished finder. I look for BRRRR deals around the medical district. On that topic if you need a place to stay for your assignment in January let me know or have investing questions, you can DM me.

 30909.  Also just purchased one in 30904

I've recently moved to Augusta from Atlanta and have made friends with someone that has noticed my real estate investing and has capital. I am looking to set up a partnership with him with the aim of being a 50-50 sweat equity partner. I've recently did my first BRRRR and currently manage it as a MTR. I'm about to start another project by myself and focus on smaller SFHs that I hold and rent as MTR. I would use the partnership to get into Multi-family properties. We are having our first business dinner to discuss our goals and also have scheduled a meeting with attorney to discuss article of organization and set up next week.

My goal is to define my role as the person that finds the deal, manage the rehab, lineup financing for rehab/purchase, furnish property, line up refi, manage for a 20-30%.  The partner is responsible for the capital to fund down payment for financing property, holding costs, and any overrun cost in project.  The deals I'm look for are BRRRRs  where they would get all their initial money back at refi and if there is any money left in deal after refi, all cash flow would go towards them until made whole.  After the we would split cash flow 50/50.  

Can anyone advise a first timer looking to set up a partnership.  Pro/Cons, things to look out for, and what to ask at consultation with attorney.  Share any experiences good and bad please.  Thanks!

I do have it under contract.  I have been going to city office to discuss my plans with property but I keep being told the department doesn't handle taking the order off. I talked to zoning but didnt seem interested until I owned the property.  I've decided to leave it to the seller to do the work if she wants the deal to go through.  I told them I have the plans, budget, and money sorted out when ready to present.  On my second extension hoping to get some positive news but expecting the deal will fall through.