All Forum Posts by: Sean Mcevoy

 Hey neighbor! Just sold my 3 unit and did a 1031 exchange into a 6 unit. Bought the 3 unit for 95k in 2019, renovated and refinanced end of 2019 and pulled 80% of cash out. Sold in June for 365k and netted almost 225k after fees and closing.  Still holding on to my 2 unit in Bethlehem because I renovated top to bottom and I am getting cash flow. Only issue now is 95% of deals do not make sense anymore. Tough to buy in this market unless you have cash and can close fast. Sellers still getting top dollar for good assets. Still believe in the growth and trajectory of the Lehigh valley but it’s tough to make some deals work! 

I have a 3 unit investment property in PA I am looking to sell and 1031 into a 6 unit property. The 3 unit is in mine and my wifes name and we want to buy the 6 unit in an LLC. I was told I can't buy in an LLC if the first property is in my personal name. What options do I have?

@Rae Bryant at what price do the numbers make sense? I would make an offer based on the price that works for you and see if the owner will take it. 

@Rae Bryant I just read the post again. If you are a newbie buying off the MLS I would say hire an agent to help with the process. Hiring a good agent is a whole other discussion but real estate transactions have lots of moving parts and you want to make sure someone is there looking out for you if you don't know what you are doing. What is the breakdown of rents, expenses, taxes, insurance, and the purchase price. That info can give us a better understanding if the numbers work.

@Rae Bryant Do you plan on managing it? If not how much does PM cost in your area? For a triplex if you use a conventional loan it goes by the comps not by the income evaluation. It seems the purchase price is a little high from just looking at the numbers. How did you find the deal? How long did the seller own it for? Maybe you can work out a seller finance deal with him. There are lots of questions I would ask or want to know before going through with the deal. 

@Ray T. I am from Yonkers NY but just moved to rockland county and I invest in the Lehigh valley. I bought a 3 unit on park street in between 6th and 7th street in Allentown last year. I’m closing on a 2 unit in Bethlehem in August if all goes well. I am investing for the cash flow now and future appreciation is a plus. If you want to chat more PM me. 

@Ryan Hazelwood I am 25 and I purchased my first 3 unit last march, bought my primary residence this past February and I am closing on 2 units in August. I have found that networking has paid off in my first two deals!

Sell and take the 200k and invest it. If you invest wisely that can produce some serious cash flow as well as reinvesting the capital if you BRRRR correctly. For me I would sell right away no questions asked!

On the appraisal part, when I got my rental appraised for the refinance after I renovated the appraiser loved the floors and said it looked great. To me that helped get a good appraisal!

What color is the laminate? I have Lifeproof LVP installed in my rental property in each unit plus I installed it in my primary residence myself. So durable, looks great, waterproof and affordable! I tell everyone to install in rentals or even there primary residence if they are looking for floor recommendations. I can send you pictures of what it looks like if you are interested.