All Forum Posts by: Lalit R.

Dear Michael, I find myself in a similar situation in the Austin area. I'm interested to know which option you ultimately selected. A referral would be greatly appreciated on my end.

Did you find a good Escrow company? I have a deal in hand and i need legal assistance.

0 Votes

In town today and tomorrow (Dec 19). Let me know if any investors are around for a quick chat over coffee or a drink.

0 Votes

Louisville, Kentucky

Quote from @Jason Allen:

Quote from @Lalit R.:

I am out of state investor visiting Columbus, OH today and tomorrow (Dec 17-18). I will be driving by a few neighborhoods to get some idea and will love to connect with other investors. Let me know if you are available tomorrow and we can catch up over coffee or beer. I would very much like to understand what works in current market. I usually do Buy and Hold for SFRs and small duplexes

I'd be glad to meet up for some coffee. There is an abundance of investment opportunities here in Columbus. Last week we put numerous SFRs in contract that significantly beat the 1% rule. I have not seen opportunities like this since COVID.

That would be great. I just DMed you my contact details.

2 Votes

Columbus, Ohio

Quote from @Rickey Brunson:

Quote from @Lalit R.:

I have an investor friendly realtor whos also an investor I could introduce you to if you're interested!

That would be wonderful. Thanks @Rickey Brunson

1 Vote

Columbus, Ohio

5 Votes

Columbus, Ohio

Quote from @Rick Pozos:

@Scott E.I have purchased maybe 10 homes sub-to in the last 20 years. About half were pre-foreclosures, but half were people who were current on their mortgage. They were NEVER at or above market price. You still have to get the property at some sort of discount. Maybe its just me, but I dont like to over pay for my properties. There is nothing that says you have to over pay. You could just walk away from that deal. I do.

I always make sure that the homeowner is taken care of somehow so that they have a place to go and make sure they have some money to get started over again. BUT I have at least SOME equity.

How do you find such deals. I am looking at some and all of them are either at current prices or want some extra such as the VA ones. Doesnt make sense to me financially. So now I am trying to find out where to find discounted deals that are open for Sub To. I would greatly appreciate your inputs. Also, can you advise on what kind of legal paperwork this involves. Any pointers to Lawyers or Title companies that know how to deal with these? We can chat on DM if you feel more comfortable there.

0 Votes

Quote from @Kevin Hoover:

My experience with them was good until it wasn't.. Invested in 6 deals - my results below.
A. Villas De Azul -Sept 2020
B. Onnix LV -October 2020
C. Presiodio North - Dec 2020
D. Somerset LIX - Feb 2-21
E. The Carling on Frankford Sept 2021
F. Heather Ridge Nover 2021

As of October 2023:
A,B,C: Each paid out at least once around 10% total . As of October 23 still seems to be cash flowing.
D: Paid 3% total - As of October 23 still seems to be just so cash flowing.

E: Capitol call of 10% .. They are hoping to sell for a 50% loss of original investor money rather than 80% with no capital call
F: Complete loss .. just sold wiping out 98% of investor money..

Looking back they are simply a proxy for interest rates.. Everything was floating rate loans. As long as interest trended down they looked brilliant.. I followed them several years before investing..
I had asked about interest rates and they said they bought caps. Stupid me for not realizing it was only for 1-2 years which is essentially floating rate updated annually or every 2 years.
My Dad farmed thru the 1980's and still mutters how interest rates went high and higher.. never do anything floating. I knew better and alas I am paying for it.

Truly the tide went out and their clothes where missing completely on the properties from mid 2021 on. Good lesson on what not to do in rising interest rate environment.

Thanks @Kevin Hoover for the detailed response.

I ended up investing in 3 deals with Western Wealth Capital in 2021. 1 is underwater and they couldnt raise sufficient funds for capital call. So that one is most likely a complete write off. The other ones are into their Funds and from this experience, i dont have much hope to recover the initial capital. My investments with Western Wealth were the most risky ones in my entire Portfolio and that's the reason i was trying to find more info.

I am now keeping away from funds that are leveraged so high and chasing yields that are too good to be true. Infact, I personally dont like the model where the property needs to be exited in 4-6 years to be able to realize PnL for all parties involved. I will stick to the Buy and Hold strategy for now and diversify in other asset classes besides MFR syndications. Maybe I will change my mind in a few years but for now, the wounds are too fresh.

0 Votes

Hi,

I am a Buy and Hold investor planning to build a portfolio of SFRs and small MFRs in Louisville, KY. I am working with a lender who can get me DSCR loans with 20% down and 1.2 ratio. That means, only 80% of the rent will be considered to qualify against the Debt+Tax cost.

Looking for Investor friendly Realtors who can help identify such houses. Given the high DSCR requirement, these houses will be close to the 1% rule. Is there a way i can see the market value, beds/bath and estimated rent in a list form across all the available properties.

Also, can we get off market properties as well since their Market Value will be bit lower and hence a lower mortgage amount to qualify. If there are online tools that can provide this information, it would be ideal. For now, I have been struggling with different websites to get Estimated rent for each property and that limits on how many houses and that is proving to be very inefficient.

1 Vote

Louisville, Kentucky

Quote from @Steven Foster Wilson:

Hey Bulbul, Cincinnati has a mix of cash flow and appreciation. Would love to provide feedback on the neighborhood. Happy to connect and help out.

Hi Steven,

Can you share the info with me as well. I am looking for a decent out of state market and Cincinnati looks very appealing.

TIA

Lalit

0 Votes

Cincinnati, Ohio

Quote from @Jake Browning:

Cincinnati is a great area to invest. I know an outstanding agent in that area who will be able to point you in the direction you're looking for. He lives in Cincinnati and works solely with Bp investors. I'll Pm his information.

Can you please share the agents details.

0 Votes

All Forum Posts by: Lalit R.

Lalit R. has started 12 posts and replied 57 times.

Post: Sub to friendly lawyer and title company needed

Post: Looking for Realtors in Louisville to find houses within 1% rule

Post: Would like to meet investors in Columbus, OH

Post: Would like to meet investors in Columbus, OH

Post: Would like to meet investors in Columbus, OH

Post: I think I've been wrong about subject-to deals.

Post: Western Wealth Capital: What do you know about them?

Post: Looking for Realtors in Louisville to find houses within 1% rule

Post: Cincinnati Investors - Asking for Suggestions

Post: Indianapolis vs Cincinnati vs Cleveland - First time investor