All Forum Posts by: Michael Mies

@Corby Goade Not sure, but FHA seems to consider live/work properties as commercial properties (regardless of units). I'm researching this option for two (2) reasons... I already have a couple of house-hack buyers lined-up for this project (which would be developed/financed by my SDIRA) and I would actually be interested in doing a similar fourplex build for myself. Thanks!

I have a property that’s perfectly located for a mixed-use (live/work) development. Assuming I construct fourplex building units would there be any restrictive barriers to sell each building to “house-hack” buyers? While the property may not qualify for FHA loans (considered commercial properties?) does the IRS regard it the same as a conventional fourplex concerning primary residence?

Graham, It's a very small world... I've lived in Waxhaw for the past 18 years and actively invest in the area. I'm always interested in sharing ideas and helping others navigate their chosen investment path. Let't get together and see how we can help each other expand our knowledge!

I’m an active real estate entrepreneur currently living in the Charlotte NC area, but planning to return to SW Florida within the next two years. I could be your first client if you can help me find my needle in the haystack… Seeking 4-Plex on the water (canal/deep water/dock) that would be a candidate for an upscale rehab value-add project in two years (after I move into one of the units). Property needs to cash flow now (minor deferred maintenance OK). Prefer Cape Coral or Naples area, but would consider anywhere in SW Florida if the property holds the right characteristics for my investment AND lifestyle criteria. Good luck with your RE endeavors!

Specifically, I’m looking for properties that other investors run away from. Restoring properties with mold, water and/or fire damage restoration is my W-2 job. Buying distressed multifamily properties in the Southeast (NC, SC, TN. GA & FL) and rehabbing them with my crews between disasters is part of my long-term retirement plan. Although I generally target properties from 5 – 20 units, I’ll entertain smaller or larger under the right conditions.

@Jay Hinrichs 

Case in point... Just saw this on LoopNet:

**JUST REDUCED** 25 prime, fully developed residential lots in Winston-Salem, NC. Great location close to major shopping and highways. Utilities, including water and sewer, in place. No time frame to build. Priced for immediate sale at only $249,900. Offered $265k BELOW tax value (Tax value $515,800). Less than $10k per fully developed unit. Great for any investor, builder or developer.

Excellent location in the heart of The Triad. Property is only 1/2 mile from Peters Creek Parkway (Hwy. 150), Wal-Mart, Lowes, Grocery stores, and so much more. Just 5 minutes from I-40, US-421, and US-52. Well kept neighborhood consist of nice, recently built single family homes.

Is anyone willing to share a spreadsheet or database that they use to organize all the properties that are being analyzed?  Ideally, the spreadsheet/database would act as a repository for old data/analysis and isolate the properties that remain active for follow-up.

Thanks!!!

Welcome Kay  I also lived in Colorado and Florida before moving to the Charlotte area!  MUCH less volatility in the RE market here... 

FYI... Here's a message that I sent to DealBot, followed by their response:

My message:

"Thanks for the timely follow-up to my question. While my primary focus is, in fact, acquiring multifamily properties I’m also interested in obtaining SFRs to flip and/or wholesale to other investors (a major component of my business plan for 2015 to bolster working capital). Although the product you purport to deliver is EXACTLY what I have been searching for, I’m struggling to pull the trigger and subscribe to your lead generation services. Here’s why - There’s not a single verifiable testimonial that I could find on your product nor do you offer a “peak behind the curtain” (to independently gauge quality of anticipated leads).

Normally I would trust my initial instincts and move on - “Too good to be true”. In this case, however, I was intrigued by your forum posts on BiggerPockets and felt compelled to reach out. After considerable thought, I’ve come up with a very creative win-win arrangement that I’m sure would interest you. In short, I plan to chronicle my first direct mail campaign on BiggerPockets – but wanted to place emphasis on my pursuit to maximize the conversion rate of qualified leads. Having qualified leads delivered to me helps me focus on my objective. Assuming you can deliver the leads (and help coach me, if needed, on the conversion), you would gain incredible exposure on BiggerPockets (and elsewhere) from an independent and credible investor. Call me to discuss if you’re interested in hearing me out…"

The response:

"Hey Mike,
Thanks for the message and the offer.

It's all a moot point at the moment though as we're not accepting any new client accounts right now. I'll be updating the website as such in the next day or so.

Sorry we can't help you out!" 

Nick,

You've come to the right place with the right stuff!  I only wish that something like BiggerPockets existed when I was 18 and starting out.  If I had a "do-over", my first purchase would have been a mutlifamily (4 plex"house hack" strategy).  With a bit of creativity (google Chad Carson for a great source of information... and Clemson grad!), you can leverage your available funds and break out of the gate in full stride.  Best of luck and enjoy the ride!