All Forum Posts by: Rodger Fore

Quote from @Hengky Lim:

Background: We are out of states investor from CA looking to purchase a multifamily consist of 8 or more units in San Antonio, Texas. We come across two properties in two different locations. 

1. Property #1, location between freeway 13 and 35 on SW military dr. Claimed as nicer neighborhood per seller.

2. Property #2, located between freeway 368 and 410 in Village North, claimed as high rental demand area and lots of retails per seller

Does anyone have any knowledge or familiar with the locality of these locations? And which location will be your preference if you to buy based on locations. We just try not to get ourselves into D neighborhood or area where no pm want to manage it.

Thank you so much for taking your time to read and response to our thread. We appreciate it!

I have lived here for 37 years.  I would say of the 2, the 2nd one would be in a better area.  The first one I would not consider the best side of town.  It is lower income high poverty and not in the best school districts.

San Antonio has two loop highways around it.  410 is the smaller one and 1604 is the bigger. The builds that are 20 years and newer will tend to be outside 1604 from the far west side at 90 and follow 1604 to the NE side at 35.  As you travel along 1604 to the Nw, N and NE side of town you will find upper middle middle class homes inside 1604 and some all the way to the inner circle of 410.  There are expensive homes in trendy areas downtown.  Also north out of town along I-10 toward Boerne and north out of town along 281 are upper class homes.

Until recently there aren’t much small multi family in nicer areas in San Antonio.  I have seen more newer builds but you will pay too dollar for them.

Well if it I have it under contract they can't go around it.  Also,  if it fits a buyers criteria, why should it matter?  Probably would not want to work with a buyer who is worried about what I am making.  They would be getting a deal handed to them that works for their business.

To the agent I am not a wholesaler, I'm an investor/all cash buyer. It would just be a way to get my foot in the wholesale door and get some deals/experience under my belt and earn a marketing budget. I wouldn't be targeting the average home on the MLS just distressed homes and then talking to agents to see if their seller is motivated. I was just wondering if there was a work around to dual agency to sort of incentivize them to bring my offer to the top of the list.

Is there a alternative to dual agency in TX?  I want to start wholesaling on market property in TX and am wondering if there is something I can offer listing agents to like my offer more than the next offer. I have read on designated agency and transactional coordinator.  How does designated agency benefit the agent?  It seems like it benefits the broker.  Are agents willing to go to sellers and say I and recuse themselves from the seller's interests?  I mean a seller is paying for his interests to be looked after.

Could you just ask a agent to refer you to another agent so they could get 75% of the commission or would this be considered dual agency as well?

Thank you for your time.

Thank you for all your posts.  With my scrolling the US map on my Realtor.com app the midwest is where I have been seeing an abundant of properties that meet initial criteria to do some quick analysis on it.  I keep seeing the same cities pop up Cleveland, Akron, Detroit, Flint, St. Louis, Memphis.  Using the data from BP on cash flow vs appreciation markets. I was looking into Buffalo since it had both.  The cash flow in Flint and Detroit are tempting but I don’t know if I want to jump into those markets that were hit so hard with appreciation. I have watched the Hilton-Wise TV and love what y’all do.

I was not looking into a rehab, just a little cosmetic value add turnkey is probably what I would feel comfortable with for my first property.  I was looking to purchase with conventional financing under $120k.

I know I said I am looking for a 4 plex but have viewed some duplexes and triplexes that’s meet $200 per door with the fifty percent rule.  So my question is do 2 duplex =1 fourplex if they would cash flow the same or no because it takes up 2 mortgages rather than 1?  I had the idea to take turns putting mortgages in my wife’s name, then the next one in my name to double the amount we could get.  I’m pretty sure we can qualify on our own with the reserves and credit scores we have.  Thank you for all of y’alls time.

Looking for my first investment.  I want to buy a fourplex with a little value add that cash flows at least $150 a door.  I haven’t nailed down an area yet.  I have just been using realtor.com and searching multi family with 5+ beds and at least 3000sqft and going over the whole country a little at a time.  When a property has rent numbers in the description I use the 50% rule to do a quick analysis and save what fits.  

Does anyone have a better way or any suggestions that could help my search?  Thank you in advance.

Originally posted by @Casey Rolland:

@Mitch Messer

Regarding your below statement, I didn't realize 4 months of mortgage pmt would be due on the 4th month after forbearance. I thought they would be spread over the remaining months of the mortgage. If this is true, yikes, you are right, many home owners would be in trouble.

"Yes, I suspect that most of the families that request a 90-day mortgage loan forbearance don't fully understand that they'll need to pay 3 months of mortgage payments plus their normal payment, in the 4th month."

Yes, with a forbearance it will all be due after the 3 months.  With a deferment it would just add on 3 months to the end of the loan, if I am not mistaken.

@Patti Robertson Thank you for the information.  I will have to contact my office.  Here is a screen shot of FMR in my area from the HUD website.  I would want to target 4 bedroom houses for brrrr investing in the are codes with the highest FMR.  With the chart I found, are the amounts that are stated, is that the highest HUD will go for that area?

After listening to this weeks podcast, it opened my eyes to Listing a rental with Section 8 housing.  Here in San Antonio, I found that the San Antonio Housing Authority (SAHA) breaks down pricing by the zip code and the number of bedrooms.   I only found pricing up to a 4 bedroom.

1. Is there another pricing chart when dealing with 5 or mor bedrooms?

2. If you fix up any house as nice as a flip in a certain zip code, can you automatically rent it for the highest Fair market rent listed for that zip?

3. What does local HUD look for when confirming your rental rate?

If anyone has any experience with SAHA I would love to hear from you.

Thank you for your time.

@Will Pritchett Thanks for the advice. Trying to get educated, I am excited about being able to BRRRR. I am having to wait on a cash out refinance for my home to be able to start with some money. I am a teacher and would like to close on a deal around May so I can dive in on the whole process and learn as much as I can. I will probably have to use some private money as well if I want to do a cash offer for the areas I want to be in. Do you deal with any homes inside 410? The thought of hard money scares me as well just because it will be my first time. If you ever need any help with your investments, I'd love to learn some things first hand.