All Forum Posts by: Will Stewart

Hi Garrett we own in the area as well, shoot me a message if you want to talk more

@Garrett Blanchard

We use Buildium, it has the features you’re looking for. Probably most of the larger operators use Rent Manager 

That cost is about what I’ve paid in the past. Talk to the bank loan officer, ask local commercial brokers, and do a sensitivity analysis to see how much margin you have (do you need an 8 cap or a 12 cap, for example). Appraisers will generate their own P&L but as long as your numbers are reasonable and account for everything (ie you don’t have $0 for landscaping because you mow the place) it will reasonably line up. 
At the end of the day it is a risk it doesn’t appraise and all you can do is make an educated decision. 

It’s either what Colleen mentioned or it isn’t a low flow shower head. I think MA requires less than 2.5 GPM. 

Quite a few subs I’ve used have the Joist app for invoicing, etc. Its pretty slick

Ask for a few more months’ bank statements. If he’s depositing $14k every month it just means you have a little extra working training tenants  to pay on time/evicting ones that don’t.  

@Adam Lacey agreed if it is a lease agreement, but it sounds like he is purchasing, so any loan balance would be paid off (like a 2nd mortgage would be).

I think it’s an awesome idea and am working on the same thing for my properties in the area. 

maybe… your expenses are wrong for one thing (insurance, lawn care, tree care, road maintenance, management, water/sewer). If the market rent is $100/month higher and the homes look more like the one in the background of that picture instead of the foreground it could be decent. But if you’re maintaining well and septic at $175 lot rent you’re not going to make much money. 

5.5% seems like a very high rate— I’ve seen 3.5% or less for 30 years and 25% down at several local banks. If you’re in the New England area feel free to PM me with any questions, I have a few parks in the area. 

22x325 = $86k/yr gross

Since it's a smaller park but tenants are paying water and sewer we'll guess 40% expense ratio. Because it's all POHs you have a lot of lifting to sell them off. 10 CAP. So:

$86*.6=$51,500 NOI at 10 cap value the land at $515,000. Then for the homes call it $20k each so another $22k x 22 = $484,000 for the homes.

The problem will be finding financing on a deal where the home inventory is almost equal to the land value (and you’re not getting chunks of money to pay off that home loan if you’re doing a rent credit program)