All Forum Posts by: Rob Chiang

Quote from @Rob Chiang:

If cold calling is not for you, there are vendors who will do it for you.

 Maybe after my 1st or 2nd deal. 

Quote from @Rob Chiang:

Any 7% Caps left out there??  Interested to see what everyone is acquiring right now.  What was the best cap rate you got this year and where was the asset?

 I can force a 7 cap on multifamily properties by renting them as MTR. I did it on a duplex in Austin and took it from a 2 cap to 8.5 cap

Quote from @Rob Chiang:

Any 7% Caps left out there??  Interested to see what everyone is acquiring right now.  What was the best cap rate you got this year and where was the asset?

My commercial property is about to go on the market if you have any interest. It's going to be around a 6.5% cap. Multi use property with 4 STR's plus a retail store, food trailer, special events venue and a neighborhood bar. All on a historic property in a thriving and growing area (New Braunfels,Tx). Rental income this year will be over $175k. I've owned it for 6 years and planning to retire soon. My wife and I actively manage it. DM me if you'd like to know more.

@Rob Chiang

I saw some with 7%+ cap rates on T12 numbers but they were in locations with severely declining populations. Non-starter for our investments.

Over the last 12 years:

1) Demand has gone up 

2) Supply has been slow

3) Rates have been really low

Outcome = Acceleration of home prices nationwide (High demand + low supply + low rates). 

But now its a different world. "demographic demand" will stay strong and supply will stay low while rates are rising. That means while there will be a slowdown, the opportunity for a crash is not imminent. 

For buying typically. 

Quote from @Rob Chiang:

Quote from @Chris Levarek:

@Rob Chiang Offer seller-financing? Most are scared about interest rates, so let's say you have a 4% interest rate on your loan. Offer Seller Financing at 6%, with 10% down for example. This might entice someone to be attracted to that deal even at your number. Of course you will be working with your lender, but there are ways to make it work.

 that's a great creative angle.  Much appreciated

you would do a seller carry back using the all inclusive deed of trust for the new loan.. senior lender will have the right to call your loan ( its rare ) but it is an option to the senior lender.. this is how we sold many many properties in CA back in the early 80s when faced with the same interest rate issues. My dad even started a company called CA Wrap :)