every post in the forum, newest first
Take an agency-heavy mREIT with an asset yield around 5.9 percent and a cost of funds around 4.4 percent, a 1.5 percent net interest spread. With equity of 1 and borrowings of 7,…
I hold land and long leases and I move slowly, so what interests me about mid-term is the claim underneath the whole strategy. The pitch is that because most short-term ordinances…
A common claim at closing on a boarding house is that the operating license transfers with the property. Months later it is not uncommon for the new owner to be scrambling for a f…
A 96 unit deal that died in early 2024 is a good case to take apart. Land tied up, plans 60 percent done, yield on cost 5.4 percent against exit cap assumptions in the low fives.…
The 70 percent rule is usually stated as pay no more than 70 percent of ARV minus repairs, but the ambiguity is in what the remaining 30 percent is meant to cover, and that ambigu…
Consider a purchase at 291 in a metro that ran hot through 2021 and 2022. 1,900 square feet, 2004 build, everything sound. Scope 34k of paint, flooring, fixtures, kitchen counters…
Here is a scenario that stalls a lot of first time multifamily buyers, and it is worth working through with real numbers. Take an 8 unit, 1962 two story, one gas boiler serving al…
Take an investor who closed on a 6-unit with roughly $340k in eligible capital gain, separate from depreciation recapture, and has weeks rather than months left in the 180 day win…
My aunt's estate has a house going to sale and I'm the one handling the paperwork, so the cleanout invoice landed on me. It's $7,900 for a 1,600 square foot ranch with a basement.…
The commonly cited figure for tenant turnover cost, cleaning included, runs around $1,750, and it is worth breaking into lines rather than carrying it as one lump for modeling pur…
Consider an LP investor evaluating two offerings that land in the same month with structures that are hard to compare directly. Deal A: multifamily, 180 units, southeast secondary…
Equity in rental property does count under the net worth test. The standard is net worth over $1 million excluding a primary residence, or income over $200k individually ($300k jo…
A situation worth thinking through before anyone answers it. A manager runs 60 something doors for about 20 owners. One of those owners also wholesales, and asks the manager to fo…
Bought at $210k, all in at about $298k including the renovation and carry. Full gut, new kitchen, new mechanicals, everything permitted. My agent wants to list at $315k. I want $3…
Sold my starter house last year to free up cash for the investing side. Three agents came through. Two of them said 428 to 442 and walked me through six comps each. The third said…
My work is on the capital side and mostly reading other people's diligence, and off-market keeps coming up as the place the margin lives. Fine. What I want to understand is what t…
I move houses fast, that's the whole business, and this one hasn't moved. 3 bed 1.5 bath, all-in at $186,000, listed at $214,000, 70 days, price cut once. Two showings last week a…
Consider negotiating an option on a $410,000 house with a 36-month term. One structure sets the strike at appraised value at the time of exercise, minus 3 percent. The other sets…
This is the first thing I've ever sold and I don't know what staging actually is beyond furniture appearing in photos. The property is a 1970s three bed ranch, about 1,450 square…
A common frustration with Section 8 timing: a housing authority will not schedule an inspection until the unit is ready and the tenant has submitted the request for tenancy approv…
One for every strategy in the guide. Each has its own discussion, live deals, outcomes and polls.
