All Forum Posts by: Patrick Flanagan

I’m looking to sell my 4 plex. It’s about 4 hours away from me and had become quite difficult to manage being so far away. I have a good amount of equity in the property and I’d like to 1031 exchange the property. My wife is a agent(mostly for our personal transactions)

can anyone offer some advice on who I talk to when I’m ready to start the 1031 exchange? I understand it has to be a “like-kind” property and I have 45 days to find another property after it sells, and 180 days to close on another property. i’m looking to buy another four Plex or larger in the area I’ve moved to. Any advice will help.

Thank you so much,

Pat

0 Votes

Bend, Oregon

Hello, I was wondering if any out there is having success doing spec home builds? I’m looking to do a few spec home builds a year, I’ll take those profits and build multi family properties for long term investments. I’ve been an electrician for 10 years now, so I have a construction management background.

I was wondering if I could connect with anyone who is in this space.

Thanks,

Pat

1 Vote

Bend, Oregon

I was curious of anyone has used furnish finder for their property?

I’m trying to find out how turn overs are on mid term rentals and how quickly a renter can get back in your unit.

Thanks,

Pat

0 Votes

Beaverton, Oregon

I was curious what you do when someone spams your online google reviews with negative comments?

Is there any legal action you can take or a way to remove the false reviews?

My Mom is having an issues with an employee she recently fired, that she is suspecting wrote a bunch of negative reviews on her google account(no actual proof). There was about 10, 1 star reviews popped up at the same time on her website. She is a property manager, and none of the comments were true. Each comment was stating she has done all these illegal activities….

She’s been in business for 20+ years, and has never been sued or had a complaint filed against her.

Any advise would very helpful!

Thanks,

Pat

0 Votes

Bend, Oregon

I’m in the equity zone on my 4 plex to do a 1031 exchange and use that equity to buy a smaller apartment building.

I have a basic understanding of how the process works. My question is do I need to use all of the equity towards the down payment of the property, to avoid capital gains tax?

Or could you set some of the money aside to do some renovations to the property?

thanks,

Pat

0 Votes

Bend, Oregon

Quote from @KC Pake:

Quote from @Patrick Flanagan:

Hello,

I’m going through all the steps and making a list of everything I need to do to buy land and build a duplex to 4 plex my self. The only thing I legally have to sub out is the foundation and plumbing(I’m a Electrician)

I don’t know how to estimate the cost of the build. After I have a set of plans(say a duplex). How do I go about estimating the cost of all the lumber needed, roof material, dry wall, siding, flooring etc.

any advice helps,
thanks Pat

Hi Pat,

Below are some online resources that might help. Just search the name of each and you will find a link to their calculators.

Remodeling Calculator offers a detailed guide and calculator to estimate the costs for various aspects of building a house, including roofing, siding, windows, HVAC, flooring, kitchen, and bathroom expenses.

BuildBook provides a free Construction Cost Calculator that helps you calculate total construction costs based on line items, rates, and quantities. It emphasizes the importance of accounting for every element of a project, including contingencies, financing costs, profit margin, variances, and unforeseen expenses. The site also offers a free collection of construction calculators for more specific estimating needs.

Building Journal offers an online construction cost calculator that quickly estimates the cost of residential and commercial projects in over 160 U.S. cities. This can be particularly useful for getting location-specific estimates, which are crucial as costs can vary significantly depending on the area.

Home-Cost features a cost-to-build calculator that allows you to vary zip code, actual home design, and quality assumptions for more accurate cost estimates. Their database covers over 40,000 zip codes and 4,000 design and material options, providing detailed and reliable results that take into account the specificities of your project location and design choices.

Omni Calculator offers a range of construction calculators for specific needs, such as concrete requirements for various parts of a construction project (slabs, blocks, columns, stairs, etc.), as well as calculators for other materials and project aspects. These tools can help you estimate the materials you'll need and their costs with a high degree of specificity.

Each of these resources has its unique strengths, from providing comprehensive project estimates to focusing on specific materials or aspects of construction. Utilizing a combination of these tools can give you a well-rounded view of the potential costs involved in building a house from scratch.

Good luck with your build,
KC

Thank you for the information

0 Votes

Bend, Oregon

Hello,

0 Votes

Bend, Oregon

Quote from @Bob Stevens:

Quote from @Patrick Flanagan:

Hello,

I’m wondering if anyone is building new apartment buildings these days? I understand that if you buy an older one, forcing appreciation is a way to make a lot of money.

I want to build my own. I’m curious if there are any general contractors that do the work them selves to save on a lot of the costs??

I’m just looking for any tips or advice if building a new building was worth it.

RE is nothing but numbers, whichever makes more sense.

Thank you for the reply!

0 Votes

Bend, Oregon

Quote from @Jesse Holsapple:

As a lender with a big focus on multifamily construction loans I can say I've seen both approaches being taken A LOT recently in various states. The biggest similarities I see are what is my total project cost vs what the demand will be when it's completed. How long will it take me to get there? Is it soon enough that we can expect either the same numbers we started with for rent roll accuracy and sale value or an increase which would be even better?

Both GC's doing these projects themselves, and market savvy investors utilizing general contractors have come out on top in both arenas for renovations of existing builds, and new all together whether they're sold or Built to refi and rent out long term.

It's probably only just to say I have seen many deals built with courage that were not fundable because the numbers didn't make sense.

Research Research Research.

So is your advice to go see a lender once you have all the numbers in front of you??

0 Votes

Bend, Oregon

Quote from @Evan Polaski:

@Patrick Flanagan, as others noted it is market dependent. I have talked with a builder friend of mine about partnering on some apartments (in the 10-20 unit range). I would not venture on this on my own, given my friend has a lower labor cost available to him than I can hire out myself. A compelling enough piece of land has not arisen yet to start this journey in earnest yet.

The analysis is effectively the same as buying: what are all your costs, what are your stabilized cashflows, and what is your terminal value, take your overall timeline and determine your return.

In Cincinnati, OH, during the run up (in particular, but also pre and post peak) the major owners in the market that have historically acquired existing, started building. They did this because, as Randall noted, a lot of groups with construction capabilities can build cheaper than they can buy. And since these groups are buy and hold shops, if they can get in for a lower basis with effectively no capex for the next 10-15 years and achieve higher rents, it is a win. And given their hold timeline being perpetual, the 2-ish years of no cash flow does not really matter.

Great point! That’s where I am at. Currently looking for the right piece of land. Which I’m targeting properties that have tax liens on them with the correct zoning. I am also in the construction world, so I’d do a lot of work my self. I haven’t ran numbers on a new build yet, but here in Oregon you have to make a good deal when buying multi family

1 Vote

Bend, Oregon

All Forum Posts by: Patrick Flanagan

Patrick Flanagan has started 89 posts and replied 250 times.

Post: 1st time 1031 exchanging

Post: Spec home building

Post: Furnish finder turn over times

Post: False Google reviews

Post: 1031 exchange question

Post: Building your own multi family question

Post: Building your own multi family question

Post: Building new multi family units

Post: Building new multi family units

Post: Building new multi family units