it finished, here is how it went
Take a debt fund with an average LTV of 65 across the book. That sounds fine until you pull the individual loans and find that the appraisals on about a third of them date from mi…
Here is a case worth studying. Take an investor who enters one platform position in 2019 and sits on it for five years while everyone around them stacks new deals every quarter. T…
Had 14 monthly parkers on a 40-space surface lot near a county courthouse in central Ohio. Eleven of them had been on the same rate since I took over the lot in late 2022, $85 a m…
Got the update last week. Sponsor reappraised at $28.4M, bought in at a valuation implying closer to $47M two years ago. Tucson and Scottsdale vintage I've looked at since are pri…
Here is a loss pattern worth studying because nothing dishonest happens in it. Say a buyer picks up a six unit in Bakersfield in late 2022. The agent has done perhaps thirty trans…
Hyperscaler came in at month eight and bought the whole stack. Expected to sit until month 26. Ended up with a 22% IRR on a deal I'd penciled for 16.
Here is a loss worth studying because it is a common one. Say an investor picks up a 1940s bungalow in Decatur, IL for $87k in January. The foundation has some bow in the east wal…
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…
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…
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…
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…
Here is a case worth studying. A wholesaler has a 1.47M estate in Scottsdale under contract, vacant for about 14 months, with a cash buyer who has already done two walkthroughs an…
Take a fourplex listed at 610k where the listing agent offers to write the buyer's offer as well and cut her commission in half, 1.25 percent total on the buy side instead of the…
Here is a probate case worth studying because the loss came from a line nobody was watching. Take a probate SFR in Tucson where the homeowner's policy lapsed four months before th…
I converted the place in Tucson in March 2023 and moved to Portland for work. Figured I could handle it myself, save the 8% management fee, maybe $140 a month on a $1,750 rent. Fo…
Take a single family bought at 71k with 38k of rehab put into it, refinanced at 121k on a DSCR loan at 7.1 percent six months in. That returns 103k of the 109k the operator had in…
Had him in for three weeks, demo done, waterproofing done, backer board up. He found a bigger bathroom job across town, told me Thursday afternoon he'd finish "after that one," wh…
Experienced sub-to operators will sometimes say the strategy is really a bet on the servicer staying asleep, and it is worth sitting with. Consider an operator with eleven of thes…
One for every strategy in the guide. Each has its own discussion, live deals, outcomes and polls.
