All Forum Posts by: Vik Venkatraman

Hey all - I am at the planning stages of medium size (~$20MM) development project in a nice part of NJ. I have a solid team with deep experience, and a conservative model that shows ample coverage and strong returns profile.

I'm looking to take on acquisition/construction financing without recourse. I know this is a common strategy, but have hit dead ends at both conventional lenders and leading RE brokers. I'd love to hear from members of the community that have set up good relationships with non-recourse lenders, and would love to plug into your lenders if folks are comfortable sharing contacts.

Hey Steve - Thanks for the comprehensive advice.

I'm trying to get to 20 units by end of year. I think if I can do that, I'll start looking for an outside PM.

I haven't actually. Would gladly take you up on your reference. @Avisha K.

Hey Aaron - I've seen those guys, and a few like it. They offer their rate at 5%, but also cap their interest at "luxury manhattan properties" for which monthly rent stretches easily into $5-10K+ per unit. 

Same dog, different nametag.

Hey guys-

I'm a 5-yr investor in the NY/NJ area, and trying to get from 15-20 units this year.

I currently self-manage, but am interested in taking on a property manager. However, I seem to be surrounded by low-reputation people and companies that just want to take 10% (+nickels, +dimes). I feel like in today's software-enabled world, there has to be a better way.

Does anyone have any experience with a great service that will take on units with great service, steady pricing, and the benefits of modern tech?

Hey guys - I've got a homebuilding business, mostly in the NJ area, and have been running at a slow, 1 house/yr rate for like 4-5 years. In an effort to ramp up, we've acquired the land for a full subdivision, and are simultaneously starting to build 2-fams.

I'm concerned that in the process, I'm going to end up stretching my subs/team and creating some issues for myself, but having trouble seeing around this corner. 

Has anyone had this experience of scaling a homebuilding operation? What are the pitfalls?

Congratulations! I remember my first deal. These can get addictive.

Might depend on exactly what you mean. I buy them as an individual, which I suppose is retail. But almost always at some discount (if I had to guess, 50-70% of market). However, the lender I work with does % cost rather than % value. 

So far, I have been unable to find an actual bank willing to run a refi for me on market prices, even though I have strong rentroll.

I like the creative ideas. Seller financing is hard as I often pick these up as REOs (we make money when we buy, not when we sell). House-hacking is absolutely correct, except that I am married, and have had tremendous difficulty selling that to the lady.

For now, we're starting to do flips on the SFR side, and I partition some of the winnings into the buy-and-hold portfolio. Still looking hard for silver bullets.

Hey guys - Would love any insight from this group on what I imagine to be a reasonably recurring problem.

I got into the buy and hold game with the money from selling my last company, and over the course of a year and half, have bought up 6 units. I'm selective on deals, and all of these are running at 8-10% cap rates.

I'm cashflowing nicely, but have run out of dry powder. I'm going back now and covering the properties with refinances, but don't think I'm going to get more than 2 more deals from it.

I really want to get up to 20 units, and don't want to take on hard money or anything like that. I am also avoiding taking on outside equity until my own portfolio is bulletproof.

I hear stories of people doing 100% refinances, and wonder if those are outlier stories, or if I'm doing something wrong. My banks wont refi me out over 80%.

How did you get over your initial plateau? Would gladly take any advice.