All Forum Posts by: Palmira Angelova

That's great advice, thank you @Matthew Irish-Jones! Do you normally use your local contract to get estimates on the major CapEx components, as you're conducting analyses?

@Kathy Henley @Bob Ebaugh thank you both for the advice and specific numbers! Will definitely keep what you've both said in mind as I'm analyzing

Haven't seen that before - thanks @Lien Vuong, I'll check it out!

@Bob Ebaugh thanks for your input! To clarify, I'm referring to duplexes-quads -- not commercial property. 

Would you be willing to share how much your costs were roughly for the deferred maintenance upon purchase (or any other hard numbers that might be useful)? Cheers!

Hi everyone,

I'm considering investing in an older multi-family (~100 years old) around the Boston area. I only have experience with significantly newer properties and want to make sure I run the numbers correctly. Does anyone have experience with (very) old houses and how much to budget monthly/annual for
i) general maintenance
ii) major repairs (e.g. roof, plumbing etc.) 
?

I've found some related articles online but would love to hear about the experiences in the knowledgeable BP community. Thanks for your input!

@Pancham G., that's fantastic, congratulations!! 
Curious what your cost structure (charge to customers) was for your Syndications endeavor? I've thought about this a lot previously, but had trouble thinking of a good cost structure that would be worthwhile for me but attractive to those that wanted to invest through a Syndication.

Would love to hear your thoughts - thanks!

Congrats @J. Martin, that's so exciting! It's really inspiring to see others who are living the dream : )

@Chris Mason - another great point. That might explain why I received different DTI ratios depending on which lender I talked to. One would tell me I have room for another purchase and another would tell me I don't and that the first lender is calculating this incorrectly, even though they were both counting my rental income. (This was in the middle of my third property purchase).

With 7-10 properties each conventionally financed, don't you run into regulations over the max number of conventional loans you can have? I think it's 4-5 and beyond this you have to form an LLC or purchase via commercial loans. @Kevin Siedlecki, I think this is what you were referring to in your first comment?

Thanks for chipping in everyone!

@Shaun Weekes - great point, and you're right. All of my properties cash flow & thus def cover PITI with 75%. I have a feeling that these lenders are including taxes & insurance costs with my "monthly expenses", based on some of the paperwork I've gone over. Maybe it's something I can debate with lenders I've worked more closely with (or new lenders) when it comes time for my next purchase.

@Kevin Siedlecki thank you! Will definitely reach out to brokers to start my commercial financing education.

Thanks @Kevin Siedlecki
Actually, I'm already using rental income to qualify for these 4, so that won't be an option -- not all lenders require 2 years of property history in order to count rent as part of income. I believe the 2-year rule was removed sometime last year, but in my experience, larger lenders (e.g. BOA, Chase) have not updated their policies, whereas smaller or more real-estate focused lenders have. 

Good idea on the LLC - thanks! Getting a commercial loan will definitely be a step up for me and require some education. Are there any resources / books you'd recommend?