All Forum Posts by: Tanner Morrill

Amy, thanks! Why has capital raising been a hot topic of late? Is it because syndicators are using general partnerships to avoid the SEC? I've heard one lawyer talk about this strategy and it sounds like most syndicators are still in danger of violations. What are your thoughts? 

Getting a home equity loan (HELOC) may be difficult if you have less than 30-40 percent equity, especially if the duplex is titled in an LLC. For financing purposes you may want to keep it in your personal name before transferring title, just get asset protectionsnin place best you can (insurance, LLC minutes, etc). Use a separate bank account and budget for your duplex, especially if it's owned by a business. Don't drive yourself or your CPA nuts come tax time.

I would buy it if the cash on cash return return was over 8 percent and the building condition and  neighborhood are good. Is there potential for value add? How much $ do you need to put down? In my market this deal is good. Our cap rates are 5-6 Percent. And factor in property management. 

Does your lease say that the tenant pays for taxes and insurance specifically? If not then I doubt you could force them to pay that. I would force them to pay the utilities if the lease says they're responsible for those payments. If they don't pay the utilities then it's a violation of the lease, having nothing to do with rent, and cause for eviction. That's how I see it. A judge may not agree with me if you get sued. 

None of this makes sense. Sorry. You need to use full sentences and punctuation and explain things better. 

Rick, so a 300 unit complex would have 300x$300= $90,000 or so in capex? That doesn't sound like very much for older properties, right?

Would you be paying vash or using hard money for one that needs work? 

Sewer line replacements can be 10-15 k just by themselves. I would feel a bit on thin ice with less than 40k. That's just me. I am a newbie to Multi-family. 

Ellie, thanks! I guess with the rent guarantee you would have to prove to the seller that rents fell below the threshold?