All Forum Posts by: Robert Stephan

Investment Info:

Single-family residence buy & hold investment in Phoenix.

Purchase price: $210,000
Cash invested: $40,000

This is a SFR 4/3 with a pool approx 2200 sqft

Investment Info:

Single-family residence buy & hold investment in Phoenix.

Purchase price: $205,000
Cash invested: $40,000

The house is a 4/2 with pool built in 1973 approx. 2270sqft .

What made you interested in investing in this type of deal?

While renting out our first SFR we decided to push our investing desires to the next level. We decided purchasing property was a sure way to increase our net worth and create generate generational wealth for our kids and beyond.

How did you find this deal and how did you negotiate it?

We purchased this property from a Turn Key Investment group in the Fall of 2016.

How did you finance this deal?

Process was fairly simple and straight forward. With this another property we used money from 401k balance and family friends assistance. We paid back the money to family with the sale of the first property(6479 s Kimberlee way )we had before this one.

What was the outcome?

We have a consistent return on investment in the form of Cash flow and increase equity.

Lessons learned? Challenges?

We learned to be a little more patient on acquiring anything that is presented to us. We could've gotten properties without pools in them and had less expenditures cutting into our monthly cash flow. In hindsight we could've gotten the properties without them because the potential for tenants causing harm is greater than the benefit in having them. Our pools haven't any major problems other than minor repairs.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $130,000
Cash invested: $5,000
Sale price: $230,000

3/2 1400 sqft sfr

What made you interested in investing in this type of deal?

It was 2009 during the financial crisis and houses were cheap. We wanted to get out of our apartment and get into something bigger to start a family. The investing part of the home wasn't even in our view at this point of our lives. It developed into a rental opportunity when we decided to start a family and it just went from there in our investing experience.

How did you find this deal and how did you negotiate it?

We found it through traditional means via a realtor in the MLS.

How did you finance this deal?

FHA with first time home buyers 3% down @3.25%

How did you add value to the deal?

We updated the counter tops to granite and rented it out soon after that. After two years of renting the property we upgraded the floors from laminate to ceramic tile and update some fixtures like fans and faucets.

What was the outcome?

We got full asking price with only one concession of a $500 home warranty.

Lessons learned? Challenges?

Looking back If we had used PM instead of self managing it would've stayed within our investment portfolio.

Hi Bp, I think I know the answer to this question but I would like some more wisdom on the subject. I’m getting all kinds of whole deals come my way. However, when looking this address’s up ,the values or ARV the wholesaler is pitching is outrageous. Now I’m using all the free sites due to RE agents don’t want to go through all the work for no reward for the sake of doing price analysis. I don’t blame them either because there no reward. Soooooo is there a site or way to get real comps other getting access to MLS? Thanks in advance Robert

Hi BP,

My souse and I are surveying the East Valley of Arizona for 4-plexes and Duplexes and other building up to 20 units. We prefer to start with one 4 plex to get our feet wet. Most of our investing has been with SFR rentals that are property managed. We are trying to evaluate the prices on these properties and it seems they are super high, everywhere! I don't get it and was curious if we are missing something. The real estate agent said there is a "premium" on some of them because it's close to downtown or a college.

description: 4plex, Studio Units (fully renovated)

Price: $475k

Rents: $795(seem to be ok for the area)x 4 units=$3180.00

50% rule= $1590

Down payment: 30%(seems to be the norm for down payments)

Loan: 332,500 @ 6% over 30 years = $1993.51

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Math shows I would be at a Negative C/F of -$403.51

So Obviously the offering price is wrong, but what would be a good price for the property? Im not looking just specifically at this property but want to ensure my analysis skills are sharp. I know these are basic numbers but im just trying to get confidence. any assist in this would be great.

Thanks

Robert

Hi is the property still available? If so can you send more info. 

thanks, 

becky 

Hi I am interested in more info. Can you send me more info? Thanks!

Hi Bigger pockets peeps, anyone have any good recommendations on trades or contractors in the Phoenix AZ area? Looking at our first flip deal and would like to work with someone with good reviews. Thanks in advance!! Robert and Rebeca

When is the next event?

Hi everyone. We are looking to invest in Oklahoma, specifically around Broken Arrow. Anyone have experience investing while living out of state? We are looking to at some properties to flip. We are looking to partner with someone that can have eyes on the project and help us get started. We have some deals that have potential. Thanks! Becky