All Forum Posts by: Tom Henderson

Thanks @Steve Vaughan-- right under $1 million .... I appreciate your comments. The banker I'm working with is so solid, creative. I know I could get a better rate elsewhere, but loyalty has me leaning toward working with her, trying to negotiate a 10 year, 5.75% interest rate. For annual reporting requirements, nothing really. Just updated PFS every year, and that is good practice anyway. 

Thanks

Team, 

Background -- 1 year ago, I purchased a convenience store, and converted to apartments. Also renovated the upstairs units.. It is now time to refinance the original 1-year note, and pay-out the guys who helped me seller finance, too... If you were refinancing a similar commercial property today, how would you approach this scenario -- 

Apartment in Minneapolis... 

-- 5 year note @ 5.5%, 25 year am ....or....

-- 10 year note @ 6.0, 20 year am

Some thoughts going thru my head -- Goal is to pay this one down ... 

-- how fast will interest rates increase in time? Is it better to lock in and pay the additional .5 points 

-- Would you rather go with the short term finance option, keep the cashflow and pay down principal on your own time frame? 

Appreciate your thoughts!!

Tom

Team,  

Looking for recommendations for a gutter contractor I can use for a 6 plex recently purchased in Minneapolis. 

Thanks,

Tom 

Team, 

I'm finishing the renovation of an entire 6plex in NE Minneapolis. 

Toying with the idea of leaving 2 of the units for AirBnB or short term, fully furnished. Wanted to get your thoughts on this, lots of chatter regarding -- is it worth it? The units will be 2 bed, 2 bath each.

How many of you rent fully furnished apartments long term-- perhaps to consultants on long term gigs? What type of uplift can I charge for a fully furnished place? is it worth it? 

Same with AirBnB -- looking for folks who have tried the different routes, and hoping to get some clarification on how to maximize the units. 

Thanks!!
Tom 

Team, I'm looking for a Mpls-based indoor sprinkler company for 2 units I am building out. Wondering if anyone has a good recommendation? Thank you!

Team,

Just wanted to see who out there (most likely Minnesotans) has had good luck with an Architecture firm? I am working on building out a shell into a couple different units. Have drawings, but would like a licensed architect to take a look. 

Thanks!

Tom 

Team,

In doing some year-end review, and 2016 planning, I've been working thru my forecasting accuracy. Been at this game 5 years now, and have evolved the business from a hobby to business system. It's amazing what the numbers tell you afterward vs. what you thought getting into real estate.

@Brie Schmidt I recall seeing one of your posts, that you forecast $1,000 per door for capital improvements. That is helpful for me to know! I'm curious what you forecast for monthly OpX? 5? 8% 10%? Does this amount change in units that you have rehabbed totally? 

Does age of construction --1900 vs 1950 year built-- add some variance in the amount of OpX to forecast for? 

Just curious to hear some perspectives out there... I am now @ 16 units. Mostly 1900 built. Location in Mpls. 

Here's to a successful 2016 for you all!

Tom 

Thanks gents. Appreciate your insights here. Looking forward to learning more!

Tom 

Hey Team,

I'm just returning from a golf vacation in Hilton Head, SC. Watched the RBC Heritage Tournament, and spent some time enjoying the island.

Question for you--If you were to purchase a vacation rental in the SE (Hilton Head, Savannah, Charleston, Myrtle Beach, Jekyl Island..) where would you consider? Or, would you just look to Florida, right away :)

Just thinking out loud-- not looking for 'it depends' responses. Just curious on what people would consider when thinking about rentability (when not there), direct flight access, beautiful scenery, nice golf courses, and boating opportunities perhaps.

Thanks in advance,

Tom