All Forum Posts by: Robert Shelton

I would certainly build a relationship with more bankers. It doesn’t hurt to expand your circle!

I’ve seen it at 25% down and 5.5%-6% for 15-20 years and on the same day at another local bank it was 20% amortized for 30 and 5-5.5%. Both were locked for 5 years. 

I’m looking for recommendations on property managers in the Dickson, TN area. I currently own a triplex but I’m getting ready to buy an 8 unit as well as another triplex. These properties are well below market rent and need a lot of work so I need someone that can help me reposition. 

@Mark H. Good point! I will see how that works. 

Thanks Kerry. I don’t have any experience with that. I guess I need to do some studying! I’m sure it’s not rocket science though. 

I have just started in real estate this year. I bought a triplex from an elderly lady landlord that had moved into assisted living and couldn’t manage her properties anymore. At closing, her realtor mentioned that the lady also had a SF and duplex nearby that she is planning to sell next year. She couldn’t sell them this year due to the taxes that she would incur. After taking over the triplex, I had one of my contractors tell me about an 8 unit nearby that had an 84 year old landlord who manages the property himself. He said that the gentleman told him that he isn’t making very much money on the property and that he probably needs to sell it along with a couple of SF homes and a duplex that he owns. He’s in great health and stays on the run between managing his properties and doing work in his church.

The question that I have is how would you go about encouraging the first lady to sell this year? Also, how would you approach the man about his 8 unit? Both properties have a lot of deferred maintenance and are under market rent so I can bring value and raise the tenant base and rent quite a bit.

Thanks @Andrew Kerr! I bought a mini split off of Ebay about 10 years ago and had it installed in a 700sf office that I built over a garage 10 years ago. It was a no-name brand and lasted 3-4 years before it died. The heat never really worked well so I had to install a gas unit on the wall to stay warm in the winter.

The market is hot here and apartments are snatched up as soon as they hit the market so I'm not sure about the vacancy argument??

Great idea Victor! I've got a few more quotes coming. The trouble that I have is getting the job done quickly in this market. I've reached out to 5 companies but only one has been very responsive.

I recently made my first real estate purchase of a triplex. One unit is occupied and I am renovating the other two. In my smallest unit (650sf 2 bed 1 bath), there has been a through the wall heat pump. It looks to be 20+ years old so I need to either replace it or go with a mini-split unit. Due to space constraints, I can't put in a central unit with duct work. My property manager says that going with a mini-split would increase the rent by $50 (750 vs. $700) as well as cut down on vacancy due to the improved efficiency. The cost to put in a mini-split is in the neighborhood of $2800 vs. a through the wall heat pump at $900.

Question: Does anyone have experience with this scenario? If so, based on your experience, will I make a good ROI if I go with the mini-split?