every post in the forum, newest first
I got my license in March and I'm still trying to understand how experienced operators set their max purchase price. Every example I find online starts with "I bought it for 60k a…
A structure worth examining. A 2.1 million preferred equity position on a 48 unit deal, 9.5 percent current pay, 18 month term with two six month extensions, written as first loss…
Here is an exit worth studying. Take a $120k check into a small multifamily fund in Pittsburgh in 2020, underwritten on the rule that the deal has to work on the numbers alone, ta…
34 notes, 12 sellers, one spreadsheet someone emailed me last week with a tab just called "tape" and no explanation. I've been researching performing note buying for about four mo…
I have done gap funding on the flip side so I understand the mechanics, but this is my first time looking at a straight mezz position as the capital source and I am trying to get…
I have been chewing on that for four days. We closed on a duplex in Akron last Thursday, 187k, tenants in both units, and I thought the hard part was behind me. He meant the lease…
Here is a structure worth working through. Take a six unit building in Trenton, NJ at a $480k purchase price with 25 percent down, so $120k of equity, all of it coming from one ca…
Take a deal summary showing a 6 percent pref, an 80/20 split and a 36-month projected hold, with a projected IRR that still comes out to 16. The pref looks low against what has be…
Talked to a title company in Cincinnati last Tuesday about a house I had under contract for $87,500, assignment to an end buyer at $96,000. Lady on the phone said she'd seen "thes…
I parked 112k into a self-directed Roth about eight months ago, Fidelity rollover from a job I left in 2021. First note I tried to fund was a 65k second lien on a single-family in…
I keep going back and forth on this. I want to send a first letter that explains roughly how I got their address, because I figure transparency is better than just showing up in s…
Take a first park purchase, a 34-lot community in Fresno County under contract. Lot rent is $395 with signed leases on 31 of the 34. The other three are vacant pads with no homes…
This is worth walking through as an illustration. An operator underwrites a duplex to a 187,000 ARV on the strength of a comp that closed at 191,000 in April 2023. The refinance a…
Conventional wisdom in my circle was that any retail component in a residential deal drags the whole thing down, too much vacancy risk, too much TI exposure, and lenders who price…
Here is a comparison worth working through, because the same 125k can go two very different places. The Akron triplex is listed at 498k, two units rented at 925 and 975, third uni…
A clean example of how a JV wholesale divides up. A four bedroom under contract at 187,000, assigned to an end buyer at 218,500, so a 31,500 spread. Split 55/45 toward the sourcin…
A move worth studying, because the reversal math surprises people. An owner trades 1,650 square feet in a walkable inner suburb for 2,400 square feet further out, roughly a 110k p…
There is a line attorneys use with owners about to carry paper, and it deserves more attention than it gets. The note is only as good as the collateral. The plain version is that…
Take a 144 bed property near a mid size state school where a 50k LP position goes in and the projections put first year distributions around month 10. Month 11 arrives and nothing…
Found this out after I had the NOI figured and a buyer circling. The management fee on the rent roll was 12%, market rate in my two counties is closer to 6%, and I had already sen…
One for every strategy in the guide. Each has its own discussion, live deals, outcomes and polls.
