All Forum Posts by: Paul Deliso

Hello BP,

 I want to invest in a duplex and eventually make the move down to Florida.. I will be house hacking my first property, but first I have a major question about Cape Coral that I feel like I need more insight on. I have visited a few times and I Really like the SW SE of Cape Coral, but  would anyone happen to know since experience with this past hurricane where houses didn't flood as much and the areas where the houses didn't get hit so hard? I am thinking of trying to find a house as between veterans and Cape Coral parkway I figure that would be a safer zone to own a property from any future hurricanes. I don't want to be too north of veterans prkway. Any thoughts? 

thank you very much.

Hello BP,

I have money saved up at the issue I have is that it is tied up in stocks. Before I think about liquidating some money I have some people in mind that I have a good feeling would help me with a loan if I presented the right numbers and did my due diligence on the right deal of course. They know I am a hard worker so I believe the trust is there and I would love to make this into a reoccurring thing to create more future deals for not only I, but the people who help me as well. 

With that said, What type of offers and returns would be intriguing for a private lender that I can pitch to them if I am looking for some help on a downpayment of a home? I am looking for advice for:

how much of a % on their money back is good?

what would be a good time frame to offer it paid back in?

Does is matter how much I am asking for (I'm thinking anywhere from 10-30k possibly more if offered, I am thinking FHA-ing)

How do we make it legally legit?

Do we need a third party or an escrow account?

Is there anything else I am not thinking about and I should? 

Thankyou all I love this site. 

@Aaron Cabrera,

First off Congratulations on your first multi family purchase that is very cool. I was curious about your whole deal if you wouldn't mind dissecting it a little more. I am currently looking for my first multi-family property in Florida and the prices are around what you posted so that is pretty much what drew my attention to your post. I have been curious if I have enough capital to go forth with a property. I know you wrote the purchase price and how much invested, how did you go about getting a loan and/or the 14k you invested was that with down payment? What was the percentage of down payment? Also how did you run the numbers on the property to help you understand that the property was going work? just curious and eager for information from people who are actually doing it so thankyou.

I have capital that I been saving for awhile now. I am planning to house hack my first multi-family (duplex or triplex). I am using the BP calculator and analyzing deals and when I feel the right one comes around I want to present it to a partner that I know of. I do have capital so that is not the issue the partner is for more like getting approved for so they would be more like an co-signer or something like that.

My question is, what is an actual way I can pay back my partner their money when I have the equity. I am having a hard time getting a loan because I do not collect a "pay stub" every week (I own my own business). So I want to have a co-signer to help me with my purchase, but yet I have all the capital needed. If it turns out that the partner needs to put in some money I want to have a plan also in line that I will pay them back or have an incentive for them.

I had a few ideas as of now such like 

A)let them have 20% of the property so if I decide to sell down the road they will get 20% of the property.

B) Have a pay back plan through a promissory note of the amount they lent to me in a certain amount of time.

C) Have a date set for an example year 3 and pull equity out of the property to pay them back. (but how would I go about doing that?)

I hope that I am thinking in the right direction to come up with a plan. If anyone has had any situation like this I would be curious of how you dealt with a partner and paid them back. Once I get my feet in the door of real estate and have my first property I then assume I will be ok do be able to do it all on my own for more properties. Just this first one I am having a hard time getting approved for.

Thankyou for the advice!

@Tristan Gardner thank you for the answer I greatly appreciate it and pardon me if I am not understanding correctly. What do you mean rent is "200". Was that a typo meaning 300? Or is there a piece I am missing and you meant to say 200. Not able to see the 200 from the 1,000 and -300 numbers. thanks again!

If I am estimating some multifamily and I plan on living in it for first couple years, is it ok that the deal shows up a negative, but when I estimate that when I move out and have it fully rented that it would then be a positive COC of at least 8%? Has anyone done anything similar as such of this situation?

Thanks!

@Kevin Manafi this is a great response and it is an answer that I didn't think of before with the ARV which is a great thing to add to my future plans. But what if I don't have an ARV it is just a regular Muti-fam that is pretty much ready to go that I get into and start cash flowing from the start. Or is finding a multi fam that needs some TLC and calculate my ARV the best way to go....

Hello BP,

I am sitting on some capital and am currently looking to buy my first multifamily. Depending on the price of the property I come across and deal it turns out to be (using the BP calculator) will determine if I ; A) FHA the property or B) use my capital for costs. Now if I go with B is some cases I am going to need a private lender who I have a lot of friends that trust me and know that I am trustworthy and receiving money is something I am confident I can get if needed to help me close a deal.

          So my question is what are some ways I can pay back my lender? This is what is in my head and correct me if I am wrong, but I was thinking if I receive the property then give it about 2-3 years refinance the house and pull out equity (obviously by using the calculator that the equity amount will be enough on year 3) and use that to pay back the money that was lent to me.

Is that a smart option to present to my private lender? and if there are any other ways I am willing to listen.

Thankyou.

Hello BP,

I am running my rent calculator on a property in Tampa Florida on a triplex. Total square footage of the complex is 2,500 SQFT so I figure average out the apartments 800-1,000 soft each. As of Beds and Baths It has a 2-2,2-2,and a 1-1. What I wanted t0 ask is when I am trying to calculate my expenses about how much should I plan to put in my expenses for such as water, gas, garbage? As for my other stuff I have vacancy 5%, Maintenance 10%, CapEx 10%, and management Fees 10%. I do plan in occupying the property at one point so numbers can change, But yeah my main question is what is like a typical guide or set of numbers I can count for on the expenses of water and the other ones I mentioned so I can get numbers on my report close to realistic numbers as possible.

Thankyou

Hello BP community,

I am currently in NJ looking to make a move for change of quality of living and also try to make my first Multi-home purchase. An area I have been researching and wanting to live in or nearby is St.Petersburgh. I also like Tampa so I am trying to stay close to it. I have just recently heard about Coquina Key which is the Southeast part of St.Pete. Would anyone be kind enough to give their input on this area as of the neighborhood in general, possibly flooding areas, when storms come around, the surround areas/neighborhoods, and etc. I am seeking info and trying t odd some research so any input I am greatly thankful. 

Originally I was going to try buy a condo with my wife in the St.Petes area, but I saw this area and saw some duplexes and it made me think about ti a little. Bit about me is that I am 31 wife 28 and we are just seeking a change in our lives and a move to Florida. 

Thankyou BP