All Forum Posts by: Percy N.

Yes, you can do any of the above but the best choice will depend on the local laws and costs involved.

Check the local tenant-landlord laws before turning off any utilities. I would not do that.

Depending on the local laws, you can charge a flat fee or you can divide the monthly bills every month based on square footage.

Since the disbursement of the funds is left to the state and local agencies, it really varies.

Our Texas and Alabama property residents have begun to see some funds. 

Takes about 45-60 days for them to process it and many are still pending (assuming the resident and landlord have provided all the required documentation).

@Lukas James - first, congratulations on being motivated and having some success at a young age. It will set the foundation for the rest of your life.

My first piece of advice is to learn learn learn until you invest a dime of your money. Even if you think you found the deal of a lifetime, don't invest until you look at at least 100 properties and run the numbers on them.

Partner with someone who has experience in this space who can show you the ropes and sounds like you may need someone to help with lender requirements anyway.

What size multi-family are you interested in? What role are you looking to play in the partnership?

We are looking for a data analyst to help review and maintain high data quality across our portfolio of 1000+ multi-family units.

It is a great opportunity for those interested to learn more about large multi-family/apartment complex investing and best practices.

Property management experience is a plus but not necessary. We can train you.

This will be a role that is remote and you can access web-based systems to review data and bring anomalies to the attention of management. Should be proficient in creating reports, excel, etc.

Perfect for an eager, go-getter who wants to learn the business and gain experience.

Send a message if you are interested in this role.

There are quite a few lenders out there.

The best fit will depend on whether you are just looking for a construction loan, the experience of the team, LTC, origination fees, interest rate, etc.

You can even talk to some commercial mortgage brokers.

@Jessica Piff what size property are you looking for? Who is going to manage it? How active/hands-on do you want to be?

Make sure you are 110% sure of your answers to the questions before you look for your next property. Don't make the mistake of a "this is what I can afford right now" purchase.

@Mahendra Mahendra - first if your tenants are without water, find a suitable dwelling for them. We have a complex south of Houston if you need a few units - let us know if we can help.

Next, contact your insurance company. I am sure they are busy but try to get an adjuster out there ASAP.

While only the insurance company can say for sure, I doubt they will pay to replace old pipes with new ones throughout unless you have some special endorsement on the policy.

Good Luck!

One more thing I would add is that syndications enable you to diversify more easily across geography, sponsors, asset classes, etc.

The other thing that I do not see a lot of discussions around is the tax benefits of Multifamily vs single family. The economies of scale allow MultiFamily properties (say 100+ units) to absorb the cost of a cost segregation study to accelerate depreciation. Typically the "passive investors" still get the depreciation "paper losses" passed to them based on their ownership percentage in the property owning entity.

@Luke Hadden, we own 3 MF properties (several hundred units) and about to close on 232 more.

RUBS are becoming more common in the market, depending on the property location and class. 

We implemented RUBS on our properties and the tenants understand the reason behind it.

It took a while to roll it out on our 390 unit property, but now everyone pays a portion for water and sewer.

Cheers

Percy

If it is a reputable insurance company, it can be a good deal.

They understand they need to find a suitable place and a short term lease, so are willing to pay a premium.

If they want less than a 1yr lease, add a premium for say a 6 month lease which automatically extends into a month to month lease with an additional premium.

Most times the negotiation is done by a 3rd party on behalf of the insurance company and lest assure you are not the only landloard they are speaking to. So quick often the terms sound good but the deal does not close.

Good luck.