All Forum Posts by: Nick Shri

Quote from @Jagger Simon:

I am a newbie investor and I have a seller finance deal in the works that’s looking really well, I was wondering how do you make the monthly payments? (Principal,interest, taxes, and insurance) Usually with traditional financing the lenders has it all handled but what do I do in a seller financing situation?? I appreciate any advice thank you

You can send PI to Seller, TI can be handled on your own. Definitely use a 3rd party to ensure proper application of the payments.

@Chris Seveney Thanks for the input. 

I'm offered seller financed package by a wholesaler. 

Only info presented is that all properties are rented.

I plan to ask for rent rolls, what else do I need to know (watch-out-for's) in this pursuit?

Quote from @Paul De Luca:

@Nick Shri

Perhaps you could get on the mailing lists of a few commercial multi-family brokers?

That seems like a good idea. Thanks!

Quote from @Bob Stevens:

Quote from @Nick Shri:

I have been scoping loopnet and crexi for a couple of months now. Needless to say, nothing has peaked my interest. What else should I try to find deals for 5-10 unit apartments? What has worked for you 5+ unit owners?

 Where you looking ? 

CLE metro

I have been scoping loopnet and crexi for a couple of months now. Needless to say, nothing has peaked my interest. What else should I try to find deals for 5-10 unit apartments? What has worked for you 5+ unit owners?

Why is high RE tax a concern? I personally don't see that as a reason to go OOS. You make your money in RE in purchase, buy low at good price. TX I feel is a more steady market over OH anyday (my opinion), you won't see crazy high appreciation in OH and nor in TX, doubling of property values period ended in summer 2022 nationwide. TX will still see higher appreciation overall.

Talk to a CPA to understand the numbers better. Again, high RE taxes shouldn't be a reason to invest OO TX.

CLE is tricky. Price differences can be on a block to block basis.

Look up James Wise cleveland neighborhood grading guide here on BP to help you get started.

If you have questions, feel free to DM me.

Most of houses in CLE are investor owned (just search the listings on MLS). There are few owned by primary residents. If you search the burbs you will find owner occupied listings a bit more.

Deals on MLS exist, you just have to be good in negotiating, I see listings on MLS for 30+ days. Some investors maybe willing to cut their losses and you may get a deal, but you need a team on the ground to provide you solid data to back your negotiation.

And there is obvious, find good wholesalers or you do it on your own.

I have yet to see a deal from any of the realtors I have spoken to. What they offer me as a deal is worse than what I can find myself on MLS, and that's just my experience.

All the best to you.

And 9-10 years later you can say, I am glad I started 9-10 years ago :)

Quote from @Yogesh M sayanakar:

Hello!

I am a first time investor in a particularly interesting market. I am looking to invest some savings we have from W2 income savings. While we dont depend on the cash flow, taking a negative cash flow property seems like a risk expecially in year 1. With a recession imminent, would you recommend buying a cashflow negative propoerty at 5% cap rate? I have been listening that in a high growth market, it might make sense, because you will make quicker equity, but that sounds speculative. Appreciate any advice, thanks in advance. 

Raleigh is becoming a very expensive market to CF. Unless you find a rough fixer upper and add significant value, chances of you making positive CF are low. And equity appreciation is all but speculation, especially with 7% interest rates. Buyers are holding back for sure and not going gung-ho spending top dollar on listings lately, I am seeing this almost in every market for past month and a half. If you are getting started then negative cashflow would be a bad strategy, you will bleed money every month and a minor expense in the property (which could be a normal expense) will lead you to believe that REI is a bad strategy. Hope this info helps and talk to more investors before you pull the trigger. Good luck..