All Forum Posts by: Pat Jackson

Quote from @Justin J Montoya:

Whatever happened to this deal Pat? Would you be interested in another project in Kansas City?

 The flood cert said it was in fact in a flood zone.  However we found some pretty cheap third party flood insurance.  We did sell that one.

I'm looking at an apartment that will be going up for auction in Missouri in the coming months.  Does anyone have any experience with buying multifamily or more expensive real estate at a Missouri Sheriff sales?  The auction is at 2pm on a Friday, and it will be a 7 figure purchase.  

I have heard all money is due day of sale.  This seems like an unnecessary uphill battle.  Anyone know if there's a way to put say 10% down, then pay the remainder in a reasonable amount of time?

I'm looking at a property in commercial foreclosure in Missouri.  Have a couple questions I'd like to ask an attorney who specializes in commercial foreclosures.  This is more of a niche than I had originally expected.  Let me know if you know anyone!

I need to order 24 refrigerators and 24 ranges, delivered the last week in April 2023, to the town of Maryville Missouri.  Does anyone have any recommendations on how to get a bulk discount on appliances?  I've heard of investors ordering directly from an appliance manufacturer, however I don't know if 48 appliances is enough to do so.  

Pat

Quote from @Hyrum Stonehocker:

Hey Pat, I was a bit late searching for a meet up again. Are you trying to do this weekly? 
 Thanks, 

 No just when I'm in town.  I live in Reno NV.  That said, there is a facebook group "St Joseph Real Estate Investment Meetup".  @Tiffany Smith runs it.  I recommend someone try and get this going once a month!

Come one come all. Free, open to anyone. Come have a brew and discuss the local Saint Joseph Missouri and surrounding real estate markets. 

I am trying to refinance my primary residence. I am told my debt to income ratio is too high for the balance I need, however federal underwriters will not allow the use of rental income on any of my properties. Here is a problem I am trying to overcome:

My wife and I, with 3 other investors purchased a 108 unit in the first quarter of 2022. Each party owns 25% and receives 25% of equity and cash flow. We own this as tenants in common. All owners have signed promissory notes and personal guarantees. I am being told that only 25% of rental income can be used (this makes sense) but the entire debt payment must also be factored in. Having to cover 100% of the debt eclipses the income. This isn't reality, since everyone has signed a personal guarantee.

Does this make sense? Does anyone know any way to have my income from this 108 unit counted towards my income?

My partner and I own a 6 unit apartment on a town square in a small town in Missouri.  The building is ~100 years old, the units are probably 20 years old.  Everything is either currently to code or grandfathered in by the city.  For some of the bedrooms, one of the points of egress is a door that opens to the main hallway.  The other point is the main door one would normally use to access the room.  There isn't a window, as the unit is completely "inside" the building.  The city has never had an issue with this arrangement for long term rentals.

Being a small town in Missouri, short term rentals are new to them.  We are one of their first inspections (they've just recently required a permit for any short term rental).  Being above board, we obliged.  The city has also recently added a second inspector, who is very "by the book".  And there is no book for STRs.

Upon inspection they had an issue with the points of egress.  When we asked why it worked for apartments but not short term rentals, they just replied "they're different".

I really try and avoid pissing contests.  Does anyone have any city code on points of egress for STRs vs. LTRs?  It's my hope I can share this with the city inspectors and say something to the effect of "look, this what other cities who have had STRs longer are doing to keep everyone safe".  I want to emphasize we the owners do prioritize safety, and want to be above board.  But also don't want to lose business to small town politics.  

Thanks for your input and help.

This little gem came right off the MLS in February. It was in probate.

Purchase:65k

Rehab:40k

Arv:140k

Rent:$1300

We did an as-complete appraisal so knew the arv before we closed. Because we knew the arv and had a solid estimate from our top notch contractor, we knew we could cash out before we started. Bought with a construction loan.

It had ALOT of nicotine!  
 

We inherited a car. Had to sell it for scrap, couldn’t get the title. 

Quote from @Luke Carl:

I own several apartment buildings and several STR. I've seen a few buildings due same raff we're doing this but never got to an appraisal. I think in 10 years this will have been common long enough that appraisers will ask for 24 months rental history to include it in your favor but fir must buyers it won't matter. I'd put a tenant back in them and trash the furniture.

Common place in 10 years! 

Thanks Luke.  You and I talked on the phone about 4 years ago, you offered a lot of great advice on getting my first STR up and running.  I had about 3 units at that point, now it's over 200.  Anyone reading this, Luke is the real McCoy!  

And I completely agree what you're saying, the only constant is change.  Excited to see where I'm at (with documented STR income) in 2 years!