All Forum Posts by: Nathan J.

i've used Brown-Mckinney. Did not rate them highly at all. Questionable tenants. I eventually fired them.

Currently I use Onyx Property Mgmnt. They've done a decent job.

@Mark Fedorov How has the experience been with the Holly Nance house. Was the construction quiality good? Did it perform? Was there equity built in? Did they do a good job with the property management side? Thank you

Sensible advice as always. Appreciate it @Ethan Giller

Hi all, does anyone have recent experience with Feltonville. Specifically I am looking a  duplex on A street near Eleanor st. I know a few years back it had trouble with crime & poverty. From what i read there seems to be a little more positive community development there. Chocolate/Coffee/Baking shops popping up. A little community activism. Anyone with firsthand experience?
@Ethan Giller & @Paulette Midgette your opinions are usually very balanced and informed. Would love to hear them (if you have experience)

Thank you @Steve Babiak and @Paulette Midgette and @Kyle J. and @Josh Caldwell

That is all wise advice. I will keep you posted if anything unusual happens. 

For multifamilies greater than 5 units, I saw areas like Kensington/Fishtown hitting 6%. Nicer areas closer to center city at 4-5%. And they were being sold reasonably quickly. If you move futher away to areas like Upper North Philly (e.g Fern Rock) or Northeast (Frankford) then it seems about 8% Cap was still common.

I personally believe the apartment market in Philly is a little frothy right now. I think there is a lot of foreign money where the owner want to keep their capital safe in comparison to their home countries, and they don't need financing, and not too worried about strong cashflow. If borrowing rates go up any time soon then I believe those cap rates will need to come up (which means prices go down) .

I also see different assumptions used in Cap rates around expenses/reserves. I usually account for 15% for maintenance/reserves/vacancies and assumed 5% for maintenance.

Hi there, 

I recently bought a tax sale from a Sheriff's sale in Philly (via a wholesaler). I admit i am a novice here but was willing to take the risk since it was a very cheap duplex. I plan to rehab it then rent it out and hold it for 5-10 years. My questions and assumptions are the following:

1. The previous owners have one year to make a claim in court. If they won they would have to purchase at my purchase price plus the cost of any rehab done. At the end of this year nobody can contest it. Is that all right?

2. Any previous unpaid taxes or utility bills against the property are wiped clean at purchase. Is that right?

3. After one year I should be able to get a title company to insure it. Right?

4. What else should i do so that eventually when i want to sell there are no issues. In fact what should i do to prevent issues while I own.

Thank you in advance,

I am sure if you know what you are doing you can cashflow there. My PM suggested I stay away due to the quality of the tenant base there (i.e. tenants not paying). I was looking at something on Pratt street. Though if you want section 8 that may be a good area. I don't envision any appreciation there though

@Keira Ingram thank you for the feedback. I appreciate it.

@Darrell Lee & @Paulette Midgette what do you think of this deal on parkside near girard.  A 6 unit with a little over 5k a month in rent (60k a year), 100% occupied, with total expenses being about 20k a year (assuming 15% for repairs, reserves, management). Assuming a 5% vacancy and a shade over 500k as a sales price, I see that as around a 7% cap rate. Good deal in your mind?