All Forum Posts by: Niels Bjørn Toppenberg

@Savannah Lewison Practice analyzing deals has taught me a lot about what it takes for a deal to be good so I think you are doing the right thing.

If you want a second opinion on a deal please let me know.

@Savannah Lewison Did you get the deal? I think it looks good so I am very curious :)

@Snehann Kapnadak

Repairs & cap ex?

Don’t see them in your expenses.

@William Kyle Walker

Hi William

Not to hijack the post but could you send that presentation to me?

I am in a simular situation and would really appreciate the help :)

Fingers crossed and many thanks!

Niels

Looks good!

Are you sure you can keep repairs and CapEx to 5% on a SFR?

@Adam Scheetz

What are your expectations for appreciation for this property?

Seems to me there is too much risk with the capex and repairs listed but if the area is appreciating it might still be a good deal.

@John Vu

Have you considered a different approach where you focus more on the result you want to get?

So start saying this property doesn’t meet my goals for cash flow but what sales price would could make it work?

You never know how motivated the seller is.

@Will Barnard

Congrats Will!

Looks really good - do you have more pictures?

Is the property listed or have you sold it already?

@Oleg Shalumov Congrats!! You know your stuff so I am confident you will make an "indecent" return on this deal :)

@Jaysen Medhurst

Thank you very much for your input it's very helpful and RE is not that different in Denmark :)

1. I did not include management fees because I will self manage. I know people say that shouldn't work in your business but on your business. Reason I chose to do it in the beginning is that I am developing very clear business systems and processes that I can pass on to a PM and say: Here is how I want things done. These systems and processes will then be duplicated to every other property I buy.

2. In Denmark you pay a total fee for water/sewer and trash and it is hard to separate the costs so I just wrote them in one place.

3. There are no lights or utilities that aren't paid by tenants on these properties. Tenants are billed directly from the utility companies so this also applies to water and heat.

4. Yes you can get 2.7% loans in Denmark. The standard fixed rate for a 30 year mortgage is 1.5% at the moment and the fees brings the total amount to 2.7% :D

5. Vat in Denmark is 25% on all purchases, but if you are a company you can deduct that from your taxes. Sounds great BUT regular income tax is between 38 and 65%. Sounds like a lot but you in a country where you get paid by the government to go to college and university it is to be expected.

6. I really think you have a point about initial repairs. Something always comes up so might be wise to budget for that.

Again thank you for your comments and let me know if you have other question or if I was unclear about something.

Happy Friday :)

Niels