All Forum Posts by: Nate Rychlik

Acquire more assets.

 Ha, wagon fits both criteria. Very uncommon and can haul the entire family around, I expect to be taken for a drive when you get it as a thank you.

 The wagon? They are amazing. Congrats on the stellar year.

Would the loan on the investment property not be 50-100 basis points higher than a conventional loan rates as well? I haven't heard this mentioned yet

@Madeline Burke Welcome to BP and Northern Colorado! You're going to love the wealth of knowledge the BP community provides as you search around the site. Like you, I'm also relatively new to CO and have been here for roughly 5 months. Happy to assist in any way I can, welcome again!

@Rosston Smith This is awesome, nice work! What are your thoughts on Macon as an investment area?

@Kendell Johnson

I'm interested as well, feel free to send me a message and we can talk. Thanks!

Can you email comp info to me, [email protected]?

Not going to lie, this makes the deal very enticing as well. No concerns really, just almost feels like too good to be true. But then again why would he want to stay on if the property is a dud? Ran the numbers many different ways and worst case it still cash flows, not much but it does.

  I found a duplex for sale in my old hometown, stats are 4/2 and 3/2. Current owner renovated each side and it appears ready to go. Currently both units are unoccupied and he is asking 195k. Conservative estimates are that I can pull in $2200/month rent total, assuming a 15% vacancy rate to be safe. The unit is located exactly 1 mile from a good sized state university and 1 mile from the newly revamped, busy downtown area. The main drawback is that the location is in a B-/C neighborhood, so I could never factor in appreciation. I've attached my calculations, again all done modestly. The current owner thinks renting each side for $1,250 would not be an issue and I will need property management as I'm located about 900 miles away.

   Now the other caveat, in speaking to the owner he said he is willing to do a 20-25% partnership on the property, which would take care of the down payment. My conservative calculations have cap rate of 7.35% and cash flow at $438/mo, is this a deal worth pursuing or what other factors am I not considering and need to? Also, what potential issues am I opening myself up to by partnering with the current owner? Here's my report, any/all feedback are appreciated as this would be my first deal!

https://bp-v-newproduction.s3.amazonaws.com/uploads/calculators/shared_report/report_file/5d8848bf-6328-47c7-bf5d-96ddb9580c90/report.pdf?X-Amz-Expires=601200&X-Amz-Date=20160819T030123Z&X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=AKIAJ2DXENEECSJVAAQA/20160819/us-east-1/s3/aws4_request&X-Amz-SignedHeaders=host&X-Amz-Signature=269e379cef996002750f9635823fac280b3a77dc94cf614d25fd625a228237a0