All Forum Posts by: Ryan Pearlman

This is great. Thank you, Greg!

Hey guys,

What would you estimate legal fees on a 20-50 unit multifamily acquisition? We are getting mixed responses from potential attorneys between 5000 and 12000 to close with them, however for what we are looking for, the 12,000 seems high for one closing, especially when it does not include documents such as LP Agreements and other contracts. What do you guys think?

Thanks in advance!

Thanks everybody! Very much appreciated. Yes, expenses are accurate, thank you for the heads up though.

Hi Guys! Evaluating a deal at the moment and I am curious how you would calculate your CAP rate. Once our building is stabilized we are anticipating a CAP rate as follows (backed by market data):

1. CAP of 9.57% if we take into account the TOTAL deal cost (purchase price, closing costs, renovations, fees, reserves, etc.) So calculation is our NOI of $158k / total deal cost of 1.65MM

2. CAP of 12.14% if we take into account just the purchase price. So calculation is our NOI of $158k / purchase price of 1.3MM.

Thank you in advance!

Ryan

Thank you all for the responses! 

Hello!

I am working on doing my first multifamily deal in the eastern US and am curious how people have found capital in the past. I am currently planning on reaching out to family, friends and all of the real estate investing groups I am in on Facebook.

From someone who has successfully raised capital from investors for these types of deals in the past, I am curious what your approach it to finding it. Have you ever done a general pitch for capital for when a certain deal pops up or do you usually always located the deal before seeking the money?

Thank you!

Ryan Pearlman

Thank you very much

 If someone lends me $300,000 to purchase a property in cash, is it as simple as them just sending me the cash and me sending it back when the loan from the bank comes in ?

In this specific deal, someone was going to send me 280,000 to purchase a property in cash. I am pre approved for a loan from the bank and when the bank has the funds ready for me, I was going to take that money and pay back the investor plus an extra $3000 for the 30 day loan. Is there any paperwork, taxes or extra steps I need to take or is it as simple as the investor just sending me the money?

Keep in mind the bank will be aware of all details of this deal.

Good Afternoon Everybody. My name is Ryan Pearlman, I am a 22-year-old real estate investor who is looking to purchase my first commercial deal, a 10-unit apartment complex around 45 minutes out of Atlanta. Myself and my partner have every piece in play to make this deal happen, except for one, financing. After speaking with a few lenders, they all would like someone that is more ‘credible’ than a 22-year-old with a flawless credit score, to co-sign on the loan.

We are seeking any advice on how to secure an investor that is willing to invest in 2 dedicated, young, aggressive real estate entrepreneurs by co-signing on a loan with us in exchange for a majority portion of the 1st and/or 2nd year dividends, or any other negotiated deal terms.

Note:

1. Entire apartment is rented at rates significantly below market rent ($425/unit)
2. Property sits at 100% occupied along with nearly every other apartment complex in the area
3. Each unit is a 2 bd 1 ba
4. The attached picture is the ideal scenario, our goal is to raise rent to $500/unit, and cut random, unneeded expenses.

Any advice on how we should proceed to acquire an investor/co-signer is more than appreciated, I am open to any and every suggestion.

Thank you