All Forum Posts by: Chase Schmidt

Nice job! You're going to do great things! Keep it up.

Multi family and commercial real estate investors in Richmond, va. What local banks are you using to fund your properties?

Welcome to BP. There are good meet ups in the area. Try meetup.com to find the right one for you. Let me know when you need a buyer.

Elizabeth O. Currently looking for a new property manager would you mind messaging me the contact information for your connection?

Thank you @Adrian Stamer, do you have a recommendation for a local lawyer and what they will charge for the services?

Hello,

Last week I sent out a LOI with terms to purchase a small house on the east side of Richmond, VA. The home owner replied saying she would be happy to sell the house for the agreed upon terms and I was wondering if there is a local Richmond investor who would be willing to "Walk" me through the following steps?

Hey Elizabeth, Re zoning can take a long time to get approval, but it can also be very profitable. Take the time to do your due diligence and check with the city before investing any capital. R6 may allow multiple buildings on one lot and up to 4 units, there may be some good options without the headache of re zoning. I agree that if the property works as a SFH then nothing should keep you from buying it and taking the time to figure out zoning later.

Is it too late to creatively finance a multi-family property once it's listed by a realtor?

Are there any examples of the best way of working the financing once the property is listed on the MLS? Master Purchase Agreement? Owner Financed? Contract for Deed?...

@Young Moon - Multi-Family properties in Richmond are varied in quality. There is a lot of B and C class buildings and most will require some rehabbing to get into rentable condition; however, once they are ready you can easily fill them with students.

One of the challenges I've seen is the cost is high and can make it difficult to cash flow at the end of the day. This is due to a few factors, one is the college (VCU) students have their parents come in and buy up the Duplex’s and Triplexes paying too much and driving up the price. This then flows into the 5+ units and owners price their properties at low cap rates expecting to get the higher price per door that the smaller properties are getting. That being said, I have been able to use the numbers to explain the real value of a property and with some success negotiated a reasonable price.

If you’re ever in the area and want to meetup let me know.  

Tough area to crack into...there are a lot of parents who buy the properties around the universities for their kids to manage through school.  I have found that the majority of sellers are NOT interested in working with investors unless you'll pay market price.  However, I have come across a good property or two selling at the right price...but they are usually just out of my price range.  If I spot another one I'll let you know!