All Forum Posts by: Sonu W.

I have a brokerage I can refer you to.  I use them for all my insurances, and they are awesome.  Feel free to DM me and I'm happy to refer.  

I have an 8 unit rooming house.  Personally, I'd never do it again.  Rents that low typically attract a certain type of tenant, and despite all the vetting you can do, there are unfortunately a ton of bad apples. 

The cash flow is great when it is, but it quickly becomes a dumpster fire when you have to pay for multiple evictions per year. 

I'd rather buy something slightly more expensive or fewer units that gets me closer to the market average rent, so I can attract decent tenants and have a well performing property.

I’m a builder.

The devil is in the details. What are the margins? How much is the true expense of construction and what's my ROI?

If it's a 95k lot, chances are the numbers will be too low for me to get excited about doing a deal like this. If the hypothetical numbers are right (and I know they're hypothetical), I'm taking on a ton of risk for like 10% ROI at 50% partner.

You’re better off finding a hard money or private lender that will fund the purchase and give you a construction budget.  Then hire the contractor to just build the property for you.  A lot cleaner/simpler.

Quote from @Jeffery Wilen:

Quote from @Manuel Alvarez:

• yes Fannie Mae has 80% ltv with a 30 year fixed rate financing and non recourse.
• there are also lenders that do 
• Current interest rate today is 4.75% with 35 year term and amortization
  
• 85% loan to value
• Fully assumable and non-recourse
• No yield maintenance or defeasance at rate lock.

 Doesn’t Fannie Mae have a $1M minimum loan amount? I’ve been told that in the past. 

 I've heard the same.  $1M minimum loan amount.  Hoping Manuel can shed some more light.

@Manuel Alvarez

Exciting !  I'll be there

Does California also require that $800 on disregarded LLCs?

I’m not an accountant (or even close to one), but that would be a question I’d ask. If not, then that’s likely why they told you to use this strategy, because you’d have disregarded LLCs to protect you from liability, AND you’d file taxes only once on that parent entity and it would cover all the individual LLCs.

Again, I’m not an accountant. I just know we use a similar strategy, and I believe my only costs on the individual LLCs are formation and dissolution.

@Daniel Hyman

And I wouldn’t be able to manage this on my phone, right?

Hi everyone - 

Looking to pick your brain on what your combination of software that you use is for your real estate business, or if you could recommend any for me.

Here is what I'd like to be able to do:

- Import transactions from my bank to categorize
- Create and view project specific budgets, and be able to see if my project is on track throughout the project as I categorize transactions
- View a P&L statement at the end of the project
- Ideally be able to categorize transactions from my mobile device on the go

Nice to have but not important:
- Managing a project (deliverables, deadlines, dates, etc.)
- Invoicing a client for upgrades

Up until now, I've been operating from Excel, but we're growing to the point where manually entering transactions and categorizing is becoming very tedious.

I tried setting up Wave, and while I'm able to live with some of the limitations it has (i.e. subaccounts), I haven't figured out how I can assign budgets to the expense accounts so that I can track progress.  

I looked into QuickBooks Online, but $80 a month seems like a tough pill to swallow for something I am able to manage (although not ideally) in Excel.  I also dont necessarily have the same business entity for each project, and so from what I can read this isn't possible on QBO without having a subscription for each business.

@William Merone

Hey -

I have a team of agents that operates all over Nassau, Queens, and parts of Suffolk. We work with investors, buyers, sellers, builders, etc... and have experience in all areas (I check most of the boxes as well personally). Happy to connect, feel free to shoot me a message. Of course, if it doesn’t make sense for us, I can always refer you to some other rockstars!

Have to say - don't expect someone to spend their time giving you thoughtful advice when you didn't even put time into creating the thread.

Ask a meaningful question, and you'll get some help. 

Anyway, my best advice is to read books on wholesaling as a starting point.  2-3 books at minimum.  Maybe read Chris Voss' book on negotiating "Never Split the Difference" as well.  I think he has a few episodes on the BP Podcast too.  Search for BP Podcast episodes with guests that were/are wholesalers, and listen to those everyday.

Also, just know that this isn't going to be easy.  Expect hard work, developing your hustle, and putting in the hours to learn and develop your craft.