All Forum Posts by: Scott Runyan

First off, thank you @Serge S. and @Jonathan Twombly for this incredible thread. Some of the best content I've read on BP. 

I'm glad to hear there are other experienced investors with the same view of the market I have. I have the ultimate goal of getting into MF investment but I'm still relatively young and have time. 

To those out there that are in my same boat, I'll tell you what I'm doing:

1. Learning my market as best I can

2. Underwriting every single deal that comes across and learning as much as I can about larger properties

3. Networking as much as I can in my market to put myself in a good position

4. Since I have some capital, I am investing in some deals with sponsors that have a serious track record, specifically having been doing this prior to the recession not just post-recession. Among other criteria, debt has to be long term agency from the get go. These deals are few and far between. Most deals I see from sponsors are similar to what everyone has been discussing above

5. I'm also looking at 2-4 unit multifamily. They must have strong cash flow and be in good parts of town, not marginal. I can do these deals by myself. The worst think I could do is kill my reputation with potential investors by losing their capital before the real buying opportunities come along. 

@Scott Morongell Definitely deal flow. Being a new investor I'm really only getting to see marketed deals. These deals are getting priced based of insane pro-formas. I was underwriting a "deal" the other day which had pro-forma rent increase 10% in year 1 and expenses at 20% of gross potential rents. Another had one entire building down (and needing significant work) out of three but the price was based on all units being up. Hard to get anything to come close to penciling out.

@Brandon Turner If you could go back to the day you started investing, what would you do different or what steps would you be sure to take again?

@Jalen Henningsen I am in a similar position trying to get started and focusing on multifamily. I haven't done a deal yet but my advice is to just keep your head down and keep working. The multifamily market is hot right now and deals are hard to come by. Keep learning and networking.

As far as location goes, I will throw a vote in for Atlanta. Multifamily is crazy here right now so that is a negative but it is a great place to live with a low cost of living. 

As a new investor, it has been the classic catch 22. Most brokers are reluctant to work with someone who hasn't done any deals but getting deals without brokers, especially in a hot market, is extremely difficult. 

@Gino Barbaro I just finished your book a couple days ago. I really enjoyed. it.

Thanks everyone for the welcome.

@Ryan Johnston I will be sure to reach out if I need anything. It's always good to meet more people around Atlanta.

Hello everyone. I have been lurking around the forums for awhile, watching webinars, and listening to the podcast. I had my first taste of investing when I rented out my condo after I moved into my first house. Since then I have been a passive investor in a few multifamily deals but I have had the itch to take a more active role.

I want to invest in smaller multifamily properties in and around Atlanta with a focus on the northern metro area since that is the area I know. I know the market is hot right now so finding a deal will be hard but I am willing to be patient and learn as much as I can in that time. 

I live in Brookhaven also and I will echo what David was saying. Brookhaven has been one of the hottest areas in metro Atlanta the last few years. In the area that I live most properties at $350K are tear downs for new construction. As far as single family rents, I have seen a couple go in my area for $2800-$2900. There are a couple more very nicely down renovations that they are asking $3400.