All Forum Posts by: Victor Colon

First I'd like to say thank you to everyone that has took their time to leave advice, I truly appreciate it.

@Rose White  Yes, they did cash flow at $197 when I ran the numbers my agent gave me however, that number was not accurate. After I posted my original question I ask my agent to find out who the property management company was that had them. He got back to me shortly after with the information , so I decided to go down to the office and just speak to them myself. This is the information he gave me: three of the units pays $425 and only one unit actually pays $450. @Erik W.

@Erik W. The property manger and I spoke for about an hour. He himself is an investor and owns a couple buildings similar to these. I explained to him that I am mostly interested in properties that I could BRRRR. I went on to say just that , what if I could elevate the the class of the building. His opinion was that the other owners of the remaining buildings would have to want to do the same thing since they are in close proximity. The person that could and/or wants to pay $600 month is going to want to be around other people that want and can pay $600. Upgrading the units would dive of the rent and price the current tenant out and the neighborhood would not attract the higher rent paying tenant.

@Hai Loc I did get some information about the tenants while meeting with the property manger. He said they don't pay on time, but they pay within the week and the additional late fee. The one great thing was that three of the four tenants have been there over 2 years. @Bob B.@Bob B.@Bob B.

@Bob B. Honestly, I have been working with a couple of agents@Hai Loc and I seem to always have questions they can't answer. I am in a smaller town called Enterprise, AL. I am here only for about another year, my wife is here for flight school. That being said that's why I went directly to the property manager to get the whole picture on these properties. Kind of a laid back town information doesn't move very fast.

@Marlen Weber Thank you so much. I know that cash flow is nice ,but I need to be able to get my cash back out of the property , so that I can continue on to another and grow my portfolio at a faster rate. I am not sure if this one will work out.

Again, thank you guys so much! This one may not work out , but I will continue on! Sorry if my answers are kind of all over the place. I tried getting back to everyone at once.

I am a new investor. I haven't purchased my first property yet. I have made about two offers a week since I took on real estate as my side hustle. Looking to BRRRR SFH's.

Educating myself as much as I can and here's my situation today.

My agent brought me a 4 plex and it's fully occupied. I made an offer on it kind of just to see what happens. I have been rejected or out bid on ever other deal , so I didn't really even think twice about it just wanted to see if I can get one on the hook. The selling agent said it was a strong offer and that the seller was motivated to sell.

Honestly wasn't expecting that, up until this point I have only really been studying about BRRRRing SFH's. The property cash flows $675 with 20% down however, the property does need work and it is low income housing, not so much the area, but the apartments themselves are.

My questions here is: Do I keep the current paying occupants and leave the property in its current state? Do I get them out to try and BRRRR the property? Is that worth the hassle? Would purchasing a property like this be worth it, even though it cash flows, there is not a way to get my capital back out until the property is rehabbed/ refinanced and does that mean I have to get them out for that to happen? I will continue to research this situation , but I feel like this is not the first time anyone has came across this situation. I figured I'd get a head start by opening up the discussion and getting some feed back on it in the meanwhile.

Thanks ahead of time for your advice, have a great day.

Would love to meet up with investors in Birmingham, new to the game as well. 

Hello all,

I just got back from Birmingham, Alabama. I currently live in Enterprise, Alabama. A little background, I heard about Birmingham about two years and from a buddy of mine who grew up in Portland, Oregon. When he spoke of Birmingham, he said it looked and had a Portland feel from before it became the expensive Portland we all know today.

Two years later I am now starting my real estate investing career. I thought back to that conversation, so my wife and I decided to head up to Birmingham for the weekend to have a look for ourselves.

Wow, it is Portland! We have been to Portland twice before because we love it there. Little did we know there is a Portland growing here in Alabama! It’s very much in its infancy of becoming the city it is trying to become, therefore there are plenty of investment opportunities there.

The point of this post is to share how awesome Birmingham is for investors and to potentially open up the floor to investors, lenders, contractors, agents, and property managers to interact.

V/R

Victor Colon