All Forum Posts by: Vincent Priore

Welcome @Sunny Shah.  I would agree with others that finding the 2% rule is difficult, but not impossible.  I live in Northern NJ but have found certain cities where this is possible, assuming you are willing to do renovations.  My partner and I started focusing on small multi's in Elizabeth NJ, buying bank owned as well as distressed properties, first through wholesalers and now through our own marketing.  There was a steep learning curve, but we have been able to develop some great properties this way.  

PM me if you'd like to hear some specifics on how we built out our team and some of our recent deals.

All the best!

@Vincent P. Generally speaking I like to renovate and add value, and if I'm reading this correctly, you could potentially realize a great COC return here after the re-fi (19.2% on $50K in the property vs 12.6% on $100K in the first property). Assuming you're comfortable with the renovations and your numbers are accurate, this seems to be the play. Also, when you have done a full rehab, I would factor in less money each month for maintenance since you've overseen the work. When inheriting someone else's end product, always anticipate higher maintenance costs.

I agree with @Angelo Galeo, I would know the market very well before making that investment.  Good luck and report back if you end up moving on either property.

@Chris Cozzens, welcome to BP!  This site is a tremendous resource and can help you find all the resources you need.  I own several small multi-families and in my opinion, the best way to find a deal that will cash-flow for you once you move out it to add value.  As others have said, NNJ is tough, but the deals are out there.  You may have to reconsider your approach to renovations.

Looks like we're neighbors...feel free to PM me if you ever want to chat or meet up for coffee, I'd be happy to talk.

Jonas DeVita would appreciate their contact info

Hi All, I am in the process or re-organizing my part-time real estate operation into a full time business.  In my assessment, I have realized that I need a transactional real estate attorney, someone who charges a flat rate for closings, etc.  I have a great personal attorney, but this is not his specialty and he charges by the hour, which is hurting my margins.  Any suggestions in the Northern New Jersey area?

Hi Julian,

Congratulations on your recent purchase.  I work with Bogota Savings Bank based in Teaneck, NJ.  Happy to pass along my contact's information.  They are probably a little out of the way for you, I would recommend looking up all of the local banks that have 5 or less branches in the area.  That was my tactic and it lead to a very good relationship.  You can generally speak to the decision maker directly, make sure your numbers are tight and you present yourself well.

Good luck!

HI All,

I am at a point where I need to hire a part-time bookkeeper for my growing business.  I'm located in NNJ, any suggestions on how to find someone well-qualified?  I've spoken with my CPA, his prices are a bit too high at my level.

Appreciate any insight.

Joe Villeneuve there is sufficient room in the numbers and I've seen what this investor can do, so I'm comfortable there. So I guess I'm kind of answering my own question here. Thanks, appreciate the input

I was recently approached by an investor I know to make a short term cash investment to help him obtain a property. He's offering me a very aggressive rate for a 3-6 mos loan. The plan is, I will be on title as an owner (20%) and we'll have a buyout agreement in place prior to close. If the buyout goes beyond 6 months, the rate goes up. My question is: am I secured enough with 20% ownership or do I need more? First time as a lender and i want to be sure I'm covered. Thanks

@JD 

@JD Martin I certainly don't want to overpay, and I'm basing that comp on recent sales in the area.  They have been firm on "not taking a hair cut" but you made me think of this from another angle:  It has cash-flowed for them for 10 years and I believe they put in 25% originally, so you're right, they could still break-even despite a lower sale price.  I guess its on my to illustrate that to them.

Appreciate the insight all.