All Forum Posts by: Rahul Bhatt

Thats a great question As per my understanding real estate is so big there are so many information to learn from no one knows even 5% of it :) 

to answer your question. I personally dont like M2M lease. but in this case I love it because

1. I dont like inherited tennat a lot never had good experience with them. so when I buying new building I would like it to be month to month so if tennat are not good (very common in C area) I can tell them to move out. 

2. in this property whole upside is with rents so I dont have to wait for 6-7 months to do that.

Hope it make sense Please send me PM if you have more question 



Originally posted by @Chinmay J.:

Originally posted by @Rahul Bhatt:

Hi Guys,

My little introduction I am investing in real estate from last 5 years started with rentals. as of now hold 15 rentals units (all 1-4) here in California and Ohio. this is the first time I am trying to invest in a small apartment complex. trying to do for a long time but never seen an opportunity where numbers make sense. but this one seems to be decent cash flow. and also there is some value-add.

 I need some expert opinion who can let me know what is going on.

Location -- It is in SF bay area City called Richmond.

Price 1.25 MM Asking (we are under contract around the same price )

Unit mix we have 5 2-1 and 3 3-1

Current rent I $1400 and 1600 for 2 bd and 3 3bd around 12260 gross. all tenants are on a month to month lease. 

CAP rate on the property is around 7%

Expenses according to owner current expense look like around 5000 including 5% vacancy 5% repair   7% property management etc

My approach - just acquired a property and try to raise rents over the course of a year.

My due diligence 

1. I have done research on Rentometer and craiglist and called couple of people to know the rents can be raised 

2. the current owner bought this property for 630K in 2013 for 9% cap (I know it is  not relevant )

3. According to other people expenses on the water seems to be low. I am going to ask for all the actuals

4. we are going to do the inspection. 

5. Insurance I am going to ask my agent to prepare a quote

6. Hot water heater is common (3 of them)  might need to see exact age and try to find out if I can convert them

Here are details on my analysis

I need advise especially with multifamily investors in bay area 

1. Richmond as location (I live in Fremont)

2. I got some suggestion from experts and mentors about water being a bit low. I am going to verify it from actual bill. 

 Please let me know if I am missing something here. The first commercial can be really overwhelming :)

Also if you are in the bay area and would like to learn more about this deal please let me know,

Thanks for your help

You have lot more properties than I do, and probably more experience as well. But that being said, have you given any thought to what you are going to do with the current M2M leases.  Do you prefer M2M or you are going to convert them to Yearly leases? Or are you going to let some of the tenants go. Do you have any verifiable information/intel on how good the tenants are, and if they pay on time ?

As I am learning from first hand experience never to accept a SFH or a small Multi Family with current tenants, but yours is a case of a bigger complex, so I am sure you don't want to lose all the income, by putting in that condition.

Thanks @Ori Skloot I will send you a PM 

so I am expecting around 80k in internal fixing up things from last three days I am going there is different time lot of new things 1. government is relocating subsidized home owners from next street. and selling it to the contractor to build newer home 2. there use to be lot of home less around the area that has changed in last year or so 3. in my stress test we have capacity for going 25% below current rent that is already below the market. it is for sure long term buy and hold in my little research on Richmond show it is changing and changing fast

My little introduction I am investing in real estate from last 5 years started with rentals. as of now hold 15 rentals units (all 1-4) here in California and Ohio. this is the first time I am trying to invest in a small apartment complex. trying to do for a long time but never seen an opportunity where numbers make sense. but this one seems to be decent cash flow. and also there is some value-add.

I need some expert opinion who can let me know what is going on.

Location -- It is in SF bay area City called Richmond.

Price 1.25 MM Asking (we are under contract around the same price )

Unit mix we have 5 2-1 and 3 3-1

Current rent I $1400 and 1600 for 2 bd and 3 3bd around 12260 gross. all tenants are on a month to month lease.

I need advise especially with multifamily investors in bay area

1. Richmond as location (I live in Fremont)

2. I got some suggestion from experts and mentors about water being a bit low. I am going to verify it from actual bill.

Please let me know if I am missing something here. The first commercial can be really overwhelming :)

Also if you are in the bay area and would like to learn more about this deal please let me know,

Thanks for your help

Hi Guys,

My little introduction I am investing in real estate from last 5 years started with rentals. as of now hold 15 rentals units (all 1-4) here in California and Ohio. this is the first time I am trying to invest in a small apartment complex. trying to do for a long time but never seen an opportunity where numbers make sense. but this one seems to be decent cash flow. and also there is some value-add.

 I need some expert opinion who can let me know what is going on.

Location -- It is in SF bay area City called Richmond.

Price 1.25 MM Asking (we are under contract around the same price )

Unit mix we have 5 2-1 and 3 3-1

Current rent I $1400 and 1600 for 2 bd and 3 3bd around 12260 gross. all tenants are on a month to month lease. 

CAP rate on the property is around 7%

Expenses according to owner current expense look like around 5000 including 5% vacancy 5% repair   7% property management etc

My approach - just acquired a property and try to raise rents over the course of a year.

My due diligence 

1. I have done research on Rentometer and craiglist and called couple of people to know the rents can be raised 

2. the current owner bought this property for 630K in 2013 for 9% cap (I know it is  not relevant )

3. According to other people expenses on the water seems to be low. I am going to ask for all the actuals

4. we are going to do the inspection. 

5. Insurance I am going to ask my agent to prepare a quote

6. Hot water heater is common (3 of them)  might need to see exact age and try to find out if I can convert them

Here are details on my analysis

I need advise especially with multifamily investors in bay area 

1. Richmond as location (I live in Fremont)

2. I got some suggestion from experts and mentors about water being a bit low. I am going to verify it from actual bill. 

 Please let me know if I am missing something here. The first commercial can be really overwhelming :)

Also if you are in the bay area and would like to learn more about this deal please let me know,

Thanks for your help

Location!!! Location!!! Location!!! Welcome to this fantastic 2 bedrooms 2 bath condo situated in the Crescendo Community at River Oaks Village. This spacious unit features a combination living/dining room which is open to both the kitchen and a delightful private patio. Beautifully remodeled with the high-quality granite countertops, LED lighting, stainless steel appliances, wooden flooring, and paint. Convenient in-unit washer and dryer. One car attached garage with a pantry. Plenty of open space parking and close by access to the Community pool/spa and clubhouse. Low HOA dues which include water and sewer. Enjoy the convenient, central location close to the Coyote Creek Trail, Rivermark Village and River Oak Plaza shopping center. It is within walking distance of many high tech companies including Intel, Nimble Storage, Cadence and Cisco Systems. Highways 237, 880 and 101 are all conveniently accessible. Short drive to future BART station and Great Mall in Milpitas. Easy access to light rail. Don't miss out on this wonderful opportunity.

Also check out https://www.redfin.com/CA/San-Jose/611-Maestro-Ct-...

It is for sale by owner. I am posting it for a friend PM me if you need more information.

Check out Richmond San Pablo and Brentwood (it is commutable via bart) but your best bet is to find something off market.

Ok sounds like a good plan

Originally posted by @Yuriy Muzyka:

@Rahul Bhatt 

I have a friend in NJ he can help me with my properties in case I'll buy something there.

In NC I have a Realtor with good feedback from other people.

Lets connect anyway, I sent email to you.

Don't buy first property remote. I am also in bay area lets connect

Hi Guys Please send me email at [email protected] I will send it to the owner. I just talked to my friend property is still available.