All Forum Posts by: Rob Riv

thanks for the replies. This is for a development project so these numbers are all projections as there is no actual building yet. I will be asking why they aren't using the 50% rule, and will post the feedback in case anyone is interested.

Anyone know if the 50% rule changes with the number of units? I am looking at a rental pro forma for a 230 unit building and they are using 5% vacancy and 30% Operating Expenses & Reserves. They are also using a 5% cap rate. What can be said about these numbers? The property is in Central NJ. Thanks

So really if there is no much bidding activity, isn't almost better to put your offer in through your agent instead of auction.com? This way you don't have to pay the 5% buyer premium, and the bank ends up footing all of the commissions.

Thanks Mark, that what I thought. I'm not sure if he is just trying to get 6% or is just not aware. Would I have to stipulate in the contract that Fannie Mae will pay the 3% buyer commission?

Hi all - I am putting in an offer for a Fannie Mae REO and I noticed my agent put in a clause saying the buyer pays 3% for the buyers agent commission. I was under the assumption that the seller allows pays for both buyer and seller agent commissions. Am I wrong? Thanks in advance.

Hi Chaunna, If you are looking into NJ when you start getting into the nicer areas you have to take into consideration the property taxes which can get quite high. I have a rental property in NJ and am paying almost 600/month in taxes. Talk about about a cash flow killer - good appreciation though.

thanks guys. J Scott please do update once you have better numbers and also do you have .mobi versions of your books? Thanks

sorry I meant Harford County - not Hartford

Hi all,

Ive been lingering around the forums for a few weeks but never got the chance to introduce myself. My name is Rob, and I live in Maryland. As for my experience, I used to work for a commercial real estate development firm in NJ for a couple of years while I was in college - this was right before the financial crisis. Things were actually starting to get very exciting on my last project in NJ, and I had Costco flying their helicopter over one of the sites that I was working on. Then the economy tanked, and all of our retailers pulled out! Huge bummer but I did get some good experience out of it. After college I moved to Maryland for a different job in the defense industry, and since have been saving money for my own real estate projects. I am currently starting to look into opportunities in, but not limited to, the Hartford county area. I hope to network and build some relationships though BP and also expand my knowledge. Cheers

Anyone have any numbers for new construction? I am performing some analysis but nothing is making sense at 100$ psf for the areas that I am looking at (not including land). I am thinking this number might be off. I know these numbers can vary significantly with quality. For quality I would be building a 2500 sqft home comparable to what you would get as base model Ryan home. Thanks in advance.