All Forum Posts by: Austin Davis

 I just got on godaddy.com and purchased the domain that I can use for a website (when I make one someday) and my email.  I use gmail currently, but I think I like office better, so I might be switching to that in the near future.  They also have the option for you to make your own website or they will design it for you.  Not sure if this is the best option, but it was the recommendation that I got and went with about a year ago.

@Brandon Holley-The computer I am replacing (10 yrs old) is an HP, so it is definitely a brand that I trust for quality.  The Stream lineup looks like it has what I need, so I will look at them a little closer.  Thanks!

@Allen Clark-Thanks for the tips on virus software.  I am pretty careful myself, but I could always be more careful.  I don't have an IT department to take care of this computer (yet), so I just want to make sure I am protected.  PS-Thanks for all the disclaimers.  :)

@John Baxter-Winblows...Good one!  I definitely didn't know about Lenovo and the spyware.  Thanks for the heads up.  I have only worked with Windows, but am never sold on any one product if there is a better and cheaper option out there.  I will look more into your OS recommendations.  Excuse my ignorance, but these OS's aren't something I can buy already on a computer off the shelf, correct?

@Jassem A.-I was thinking the same thing, but thought I would check to make sure I wasn't missing something.

@Will Stewart-I do love my apple products too and am definitely considering them, since it is what I am currently using.  Less is better for them, which is an advantage and a disadvantage for me that I have been trying to think about.

@John Page-Thanks for your many tips and opinions.  I definitely have a ton of MS office docs, so sticking with windows would probably be the easiest thing to do.  I do like free though, so I might check into one of the above suggestions and see if I can convert my spreadsheets into other formats.  I have some of them in google docs, but am not as impressed.  I haven't tried windows 10 yet, but I plan to go to a computer store this week and play with it a little bit.  Thanks for your help!

Great advice, @Allen Clark.  My work PC is a Lenovo and I am definitely pleased with the brand.  I also have a work Ipad and Iphone, but am not super attached to the apple brand.  I feel that the competitors are really starting to offer more features that I would need like a USB ports and better pens to write on screens.  I also like the tip about buying from the microsoft store to not get all that extra junk on your computer.  Do you have a virus software that you recommend with your PCs?

Good morning!

I am in the market for a new personal/business computer that I would use for email, bigger pockets and to hold my tax information.

I like the idea of the 2-in-one laptop/tablet, but since technology has changed so much since I purchased my last computer, I wanted to get some opinions before I went out and made the purchase.

Is there a certain brands/operating systems that work better or are more versatile for real estate programs/websites(BP)? Are there certain features that I should seek out and pay more money for? Brands/features that I should stay away from?

Any advice is appreciated. Have a great weekend!

I agree with both @Glenn McCrorey and @Andrew D. that the NE side is where people want to live.  We bought our personal house on the NE side, so I am sure that a lot of things that appealed to us about this part of town (like good schools) will appeal to renters as well.

That said, we purchased our first investments on the NW side close to Edgewood road which seems to also be a very convenient location close to shopping, restaurants, parks, etc.  My wife grew up on that side of town and liked it, which is also played into considering that side of town.

I eventually want to get a small place close to downtown to try out vacation rentals, but that is years down the road.

@Robert Leonard-Yes, I am familiar with the 50% rule and actually rounded it up to the 55% rule in this case and it still seemed to check out OK with pretty conservative numbers. Management fees, maintenance, CapEx were included in this initial evaluation. Anything I am missing?

Great advice on getting a Realtor's help on this too!  That makes a ton of sense.

@Konstantinos Zaferatos-Thanks for the comment!  I am glad I asked this question.  From what I am gathering, it seems like 4-plexes are one of the more complex things to evaluate.  Sounds like it also gives the buyers and sellers more factors to leverage in the negotiation process, which sounds kind of fun!

@Clint Dorris- Thank you for the very detailed explanation of the appraisal process!  I opened your screen shot in another window and can read it perfectly.  

I agree that GRMs and Cap rates can easily be manipulated to make your rents higher, which is why I made my own calculator that is more black and white based on my own goals of cash flow. If a property isn't going to perform how I want it to with the current market cap rate or GRM, I don't want it anyway. However, they could give me a better offer price if I did look at them, so I should probably start considering them for the future. As you said, market price value, cap rates and GRM's should give you about the same offer price, but the more information you have, the better in my opinion.

As an appraiser, do you just have GRM's and Cap rates spit out to you in the systems you use from previous sales? As an investor doing my own assessment of value, how would I you recommend acquiring the most up to date cap rates and GRMs to punch into a spreadsheet? If I am working with a realtor for comps, should they be able to give me a pretty good idea of these or would you go right to an appraiser?

Thanks for the reply, @Robert Leonard.

NOI came from the income and expenses that the owner reported, which were confirmed to be pretty darn close in due diligence. NOI ended up being about 54% of gross rents, which I initially thought was kind of high, but I see some opportunities to bring down expenses, so I thought that would be OK. Where would you want this number?

I personally couldn't find any good comps in the side of town that I purchased, but that is probably where I should have brought in a professional (realtor or appraiser) to help me out. I met my minimum thresholds for cashflow and ROI, but I definitely could have overpaid based on the market value. The lack of competition was what I was excited about in doing the off market deal, but it sounds like the disadvantage is having to work a little harder to find that market value.

How would you approach a realtor that wouldn't be getting any commissions to help you on a deal like this?  Can you just pay them to run comps for you or do they always need to sell to make money?  Or would you just pursue an appraiser for this type of help?

Thanks again!

Thanks for the feedback @Michael Noto.  The appraiser that worked with the bank for my properties was very interested in the income of the properties.  Is this not the norm?

Would you say that getting a realtor or an appraiser that is familiar with experience with 4 plexus would be best if I would want to pursue more off market 4 places?

I purchased my first properties off market not too long ago and pretty much made up my own way to evaluate them. Probably not the best decision as a newbie, but I think I did OK. I made a spreadsheet that subtracts my desired cash flow from the NOI to give me a mortgage payment. It then calculates an offer price based on that mortgage payment instead of using the cap rate method.

Since 4-plexes are right on that border of residential and commercial, I wanted to see if I did the correct thing by basing my offer price off of the income of the property or if market value should have played more into the equation.

I got excited to buy the first time, but I will reach out for help BEFORE next time.  Thanks, everyone!

Good morning!

I am in the market for a new personal/business computer that I would use for email, bigger pockets and to hold my tax information.

I like the idea of the 2-in-one laptop/tablet, but since technology has changed so much since I purchased my last computer, I wanted to get some opinions before I went out and made the purchase. 

Is there a certain brands/operating systems that work better or are more versatile for real estate programs/websites(BP)?  Are there certain features that I should seek out and pay more money for?  Brands/features that I should stay away from?

Any advice is appreciated.  Have a great weekend!