All Forum Posts by: Nathaniel Porter

See that's what I thought. But I mean it - the property itself is beautiful. It's right next to a private community in Madison, probably why rents are 1200/unit. But the taxes don't make sense - so you might be right, it's possible that they owe back taxes. The property was last sold for 430k. I'd feel bad about pitching below their original purchase price but the numbers just don't work any other way. 

And the 50% rule makes more sense, I guess. I don't know. I hear about all these amazing deals, and I'm trying to find mine haha. 

My original question was because this property lists at over 300k, but the take-home dollars are mediocre at best. So I'm wondering if that just means I'm going to have to pitch a ridiculously low offer, or if I'm missing something here. 

I don't really worry about the outside, since I like cleaning up and making things nice. Having a lawn care business take care of grounds keeping for continuous maintenance. 

I won't be including them, because I will not be paying for them. The tenants are using my building for housing, they can pay utilities. 

As far as CapEx goes, from what I've gathered the property is in fairly good condition. Better than buying anything 1800s and continuously undergoing rehab, in my opinion. And while I'm not going to be a slumlord, if the kitchen and bathrooms are clean, and the appliances are in good condition even if they're old, I don't see much reason to mess with that. At least not until I've started making money off the property.

There is no cost to operating laundry, it seems. I don't particularly have an issue with that, on the grounds they are paying for everything else. 

As far as submetering, it looks like all the units have their own furnace/water/electric. 

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*This link comes directly from our calculators, based on information input by the member who posted.

Hello everyone, sorry to post multiple times in one day. But this is another larger 4-unit I am looking at. 

Using the Rental Calc, the numbers don't really seem to be justifying the amount of debt I'll be in. Am I doing something wrong here?

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*This link comes directly from our calculators, based on information input by the member who posted.

Hi, my name is Nate. I'm new here and to realestate investing. I have a question about the calculators and how these numbers work. 

I originally ran this property through the Rental Calculator. The same numbers, because the property in question has been on the market for almost a year and apparently not one person wants to mess with a property that has over 10k a year in taxes (yes really - I checked). It's in amazing condition and the area is crazy high rental occupancy. So I thought I would pitch an offer than made sense. 

Now according to the Rental Calc, I end up scraping by (best case scenario) at around $700-$800/month. On a 400-480k loan, maybe I'm being unreasonable, but that just doesn't seem right. 

So I put the same numbers through the BRRRR Calc - my reasoning being I need to refinance anyway if I want to use this property to fund other deals, and I was curious what kind of equity I would be looking at. 

So the BRRRR Calc gave me numbers at $917/month PRE_REFI, and over $2k/month POST-REFI. 

So I am confused. What am I doing wrong? I've also analyzed several other big-number deals, and come up with the same issue. 

Help, advice? 

Hello, my name is Nate. I live in Wisconsin, small business operator. I'm new to BP, and real estate investing in general. Here is the bottom line: 

My father owns a large commercial property with a duplex on the same parcel. The whole parcel values at approximately 300k, and he has a little over 60k left on his mortgage for the property. He is signing the whole thing over to me, mortgage included. I know I can find a bank willing to give me up to 80% of the value of the property if I wanted to get into real estate investing.

My goal is to make 60k/year after expenses. Obviously more is better. But I want to be as close to hands-off as possible and just collect a check. I still have a company to run, it would simply be nice to have a passive income building upon itself in the background towards retirement. 

Thoughts, ideas?