All Forum Posts by: Todor Ialamov

One time a tenant from a second floor apartment sent me a video of a massive leak from her living room ceiling. I was just finishing up a showing across the street so quickly showed up and rang the bell on the third floor (apartment above). I was greeted by a may be 10 year old naked and wet boy. Asked him if his parents were home. He said they are at work and he was in charge. I stated who I was and entered. What I saw was a huge inflatable pool in the middle of the living room with running water coming from a hose connected to the kitchen sink. Al kinds of naked kids, dogs and cats were jumping in and out. On the table in a high chair was may be a year old baby being fed but a five year old.

In my seven years of investing, I have plenty of stories. But so does any business. I have owned a restaurant and a vending business. I could write a few books about my restaurant experiences.

 Is RE easy - hell NO. Would I replace with any other business - even bigger NO!!!

Our most valuable assets are our bodies and our families. I see plenty of very successful investors who are so determined to reach their goal of godzillion doors that completely neglect their health and love ones. My everyday goes by the 5 F's - Family, Fitness, Faith, Finances, Fun.

I never regret not acquiring a certain property, but missing my son's soccer semifinal a few years ago because I went to a showing still bothers me.

I go on a date with my life at least once a week and travel as much as we possibly can.

Being fit gives you not only health but the confidence you need to be even more successful. exercising is the biggest cure for stress and anxiety. 

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $765,000
Cash invested: $100,000

This was an off market deal that I was chasing for almost 2 years. Had use private money (100% of purchasing price + 50% of the construction budget) to purchase for building would not have passed smoke inspection.
Has an attached barn to it that will be turning into a 6 bed/2 bath townhouse. Rough electric, plumbing and framing already done. Needs around $200,000 for repairs. Will do cash refi after done with repairs and hopefully pull almost all of my money out.

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

What's of upside

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

Off market. Two years negotiations.

How did you finance this deal?

Private money. Straight up interest.

How did you add value to the deal?

By creating and extra unit - 6bed/2bath town house. Updating the rest of the units and bring rents to market.

What was the outcome?

Should be a complete BRRRR with getting all of our money invested back.

Lessons learned? Challenges?

If it was easy, everyone will be doing it!

@Vashist Dhanani

If you are passionate about becoming an agent, go for it. If you became a top producer as you state your goal is, you would have plenty of money to invest. As the technology shifts the industry, you will find a way to shift with it. Make sure you buy as many rental properties as possible in the mean time.

Being an agent/investor is the best job ever. Would not change it for anything!

Good luck!

Start by going to City Hall and talk to the building department. I know they have certain parking restrictions which you need to check first. If there is not enough parking per their requirements it will be a no go!

Good luck!

Congratulations Andrew, the building looks great!

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $565,000
Cash invested: $220,000

This was a 4 Family we bought of MLS. We are evicting all of the existing tenants and will be putting around $60,000 for repairs. The ARV is around $800,000.

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

It was offered at a great price

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

MLS. We were the first ones to see it and made a deal right away. Rest of the showings were canceled.

How did you finance this deal?

Conventional Financing

How did you add value to the deal?

By evicting current tenants, updating apartments and charge market rents.

Lessons learned? Challenges?

There are plenty of good deals on MLS

@Linda May Wacker

Hi Linda, I would definitely look for a realtor who also invests in the areas you are looking to buy.

There are plenty of benefits if you do so:

- they can evaluate the property better than most and suggest if it is a good deal

- they can help you analyze the numbers and make sure you don’t miss anything

- you can use their resources after the purchase - plumbers, electricians, management companies, etc

- you establish a long term relationship and can get in their networking circles

Don’t think you are competing with them for the same properties. You are not.

Good luck with your journey!

One of the biggest benefits when you buy a building with vacant units is that you get to select your tenants. Build a strong criteria and screen every applicant. Turnover is your biggest expense. Choose wisely!!!

Hello Thomas,

This is a very hard question on a situation all investors face at some point. I would increase the rent to market. Properties are valued not only on comps but also on the revenue they bring. The more rent you collect, the higher the value is.

Also, many cities are now bringing back rent control. One of the many downsides on this is that you could only increase rent with certain percentage a year. If it happens in your area and catches you on the lower end of your potential, it would take you a while to bring it up to market.

I would increase the rent and may be give them credits here and there (for paying exactly on first of the month for example, or for taking the trash out)

Good luck!

Side joke: Me and my wife had a disagreement where should we buy a vacation home. I wanted a lake house in NH, she was insisting on a house at Cape Cod. After arguing for a few months, we both compromised and bought on Cape Cod.