All Forum Posts by: Pixel Rogue

1 quad purchased in 2002...and now nearly 100% upgraded. Apx. 200 equity.
1 quad purchased 2006... tinyl amount of equity (used some equity for 3rd quad).
1 quad purchased 2006.... small amount of equity.

Certainly open to the larger complexes and would love to get something at 40 units and those economies of scale. Correct on the 100 ish per door. Rarely see larger buildings for sale ~ imagine they are sold on a different network/circle. Expect something that large might put me in less desirable areas.

So lenders do a 75% LTV on smaller (quads and under) but was not sure on larger investments... though many lenders tightened to 70%LTV as I learned refinancing lately. Found larger loans more challenging in the terms are much shorter, interest higher etc.

If you don't mind me asking, how many units do you have? Have the tenants placed by the PM been quality tenants? How hands on have you remained?

Yes, open to selling as a package to roll into something larger. In discussions nearly two years ago, the multi-family realtor I work with suggested selling individually in terms of higher net sale, as those looking for a package are also looking for a deal. The other side it would be challenging to sell all 3 within the 1031 time frames and identify replacement options.

Financing would remain tricky mind you, as the larger buildings in the nicer areas are more expensive than what the quads will net when all is said-and-done.

How many units think are needed to break into the economies of scale for value of PM?

Hello everyone,

First time poster. I have been involved in apartment rentals for over 10 years. 3 quads at present and with a full-time job and family the buildings are taking too much personal time.

Have considered management companies however am not seeing the value for the expense, meaning the rent collection is the easiest part and mngt companies are looking for 8-10% for just the collection. Showing apartment to re-rent comes in at 1 month's rent. Fees do not include snow, grass, cleaning, painting, repairs etc - all of that is billed out an higher unknown dollars. So for the most part mgnt.companies are off the table.

Considering selling and downsizing to condos.... for instance one quad down to 1 unit condo and paying more cash for the unit. Considering trading all quads in for a single building of more units (but that wouldn't help in terms of removing me from the day-to-day).

In terms of 1031 exchanges, could also go into raw land, commercial, retail (not keen on commercial nor retail). Possibly a reit or some sort where I would be a partial owner is a much larger complex and the day-to-day is handled by a management company.

Anyone here sell their apartments and move their investments into other real estate investment vehicles? Do not want to 'cash out' completely because a) will take a massive tax bath and b) want to have a decent investment (outside of traditional market vehicles).

Thank you for any insight.

-pr