All Forum Posts by: Phillip Dougher

So much to see.  I would love to find a duplex or larger in Denver.  I can say that I haven't looked very hard at any place in particular. Thank you for the reponses

Hi BP.

My girlfriend and I are looking to move to the Denver area in the next 5 months.  I have experienced the city, but she never has.  She's a little nervous about making such a far move, Detroit to Denver.  I want to show her around some neighborhoods and get her excited about the area.  We are in our early thirties and want to live somewhere that has a lot of activity and feel like the big city without being in the center of everything.  We are looking to rent somewhere or maybe even buy around the time we get out there.

I've been holding off a little on buying because of the larger market trends, but I'm still looking as an inventor.  Historically, I've had a lot of success with multi-families.  I own a few and would like to add to my portfolio as a buy and hold.  I like to do value add investments so even areas that haven't quite taken off are of interest.

My girlfriend and I will be in the Denver area next week.  We would really like to meet up with someone and connect about moving/living in Denver.

That does seem to be the trend around Ypsi right now.  My tenants all work in Ann Arbor but live in Ypsi.   It makes for a much better environment than dealing with students.  Good to see this trend is also going towards one bedroom places.  I did not realize this.  

@Adam Spencer.  I don't know you well enough to assume but I'm wondering if you've considered the overall student rental market in Ypsi/EMU.  Right now, the school is suffering from less enrollment than previous years.  The school is reaching out to students overseas to fill the gap.

Student rentals/rooms are going to be a lot harder to work with in the short-term.  I will not speculate to the long-term but I have heard some stories about small room sizes and Ann Arbor.  I was looking at deals like yours when I first moved to the area and ran into the same problem.  Now with five units by myself, I would hate to manage any more.

So far we have been running the numbers without the Federal Money.  We are looking at worst case scenario.  We aren't sure of the history with the building.  The city/state/fed may just want the building restored in general because of what it would mean for the area.  The building has 6 commercial lower units and 15 residential units upstairs.  While there is a push for some affordable housing, the area might just dictate otherwise.  

The renovation will cost about two million.  Anyone have insight into how much grant money could be obtained to offset our investment?

I recently came across a listing that mentioned Federal Grant Money available for the rehab of a historic building.  I started doing some internet research but have reached a dead end.  Does anyone have some clarification on what this could entail?  Maybe some possible numbers associated with it?

Hey Nick.  Best of luck with things up here.  It's very different from the fast market you or I are used to.  I came from San Diego where cash sales happen within weeks.  However, my first deal in Ypsilanti, took almost a month and there were a lot of starts and stops.  Since closing on the place and working on renovations, finding good help has been an even greater challenge.  There just isn't a good supply of help.  Oakland County might be a little different but I don't think by much.    

Detroit is not easy to get into on your own.  Everything that has stabilized is way over price and what's left are not exactly deals.  It's worth it to stay close to the market and look for the right deal but I haven't found a single place, currently, that makes sense based on numbers.  

These fees are what I'm curious about.  I know there has to be more to the numbers than $222k per building.  

My partner wants to sell each condo.  I prefer to rent but that's not his style.

Hello fellow investors.  I have a lot of interest and past experience with multi-family homes.  I left the military and in turn left my properties behind.  I didn't like the idea of not be close, so I sold them.  I've been starting to rebuild my MFH portfolio since moving back to Detroit, Michigan.  I have been networking with entrepreneurs and other REIs. 

One has become a close contact and he wants to do a big project in the next six months.  We started to look at building rehabs but couldn't get the numbers to work.  He is a very smart finance guy but lacks the analytical mindset that I have.  He is now considering new MFH construction using manufactured homes.  All we would have to do is find the land.  He has shown me the numbers and things seem to make more sense than rehabbing a building, but I still feel like we're missing something.

My question is, am I missing something?  He wants to put three MFHs on 1.5 acres in Detroit.  He says the budgeted cost is $222k per MFH.  All we would have to do is find the land.  We already have private lending.  Is this everything?  What are we missing?  Please help  

My partner (he's a finance guy) ran the numbers on some of the city owned apartment complexes up for sale.  From both of our stand points, the numbers make sense.  These buildings are burned out, filled with trash, and require a complete renovation, but the numbers still make sense.  

My question is why aren't these buildings being flipped?  Has anyone looked into these places?  Is it the cost associated with the project?  Regulations? Too much work?  What are we not seeing?