Anyone here ever bought a multi unit

[xoxodede]

I'm using the VA which I've been told is a better deal than fha.


Yea I've been getting tons of information off bigger pockets.

With wholesaling do I have to pay cash straight up? I'll check those books out. I watch BrandonTurner on youtube a lot, he seems to know his stuff

I am not sure in terms of multi-family - but I think it's an option.

In the houses I personally purchased - I paid cash. But, they were single-family. I have used these two sites for a few purchases last year: Detroit Progress | Wholesale | Investment | Foreclosure | Properties and Property Source | A Nationwide Direct Wholesaler of Foreclosed Assets

I like Wholesale cause you typically get a discount if you pay cash/upfront rather than finance.

Pretty sure you have the option to pay 50% up front - and get a year or so to pay the rest.

I am def not a expert - just the daughter of parents who have been in real estate since the late 70's. But, I know that my parents never financed any of our properties.

They always paid cash/upfront - my dad also typically knew the owner or did his homework on the property before he purchased so he knew what he was getting into.

 

[xoxodede]

I'm using the VA which I've been told is a better deal than fha.


Yea I've been getting tons of information off bigger pockets.

With wholesaling do I have to pay cash straight up? I'll check those books out. I watch BrandonTurner on youtube a lot, he seems to know his stuff

Also, have you thought about looking into City Land Banks - for vacant land? And then building a new construction multi-family property?

 

[Jparker]

@kingkroodie

 

[Hersh]

im in cali lookingfor a duplex .. at least ... double the price yall r mentioning in here .

 

[97Pac]

im in cali lookingfor a duplex .. at least ... double the price yall r mentioning in here .

I'd hold off on investing in cali right now.

Also, have you thought about looking into City Land Banks - for vacant land? And then building a new construction multi-family property?

Never really thought about that. I can pay cash but I dont want to tie up all my funds into one property. But maybe I can buy the land cheap and finance the building. Thanks for all the info. I want to wait about a year and see what this corna stuff does to the housing market. I even seen some people on bigger pockets say wait a little to buy.

 

[xoxodede]

I'd hold off on investing in cali right now.


Never really thought about that. I can pay cash but I dont want to tie up all my funds into one property. But maybe I can buy the land cheap and finance the building. Thanks for all the info. I want to wait about a year and see what this corna stuff does to the housing market. I even seen some people on bigger pockets say wait a little to buy.

I am happy to help

I plan on building a new construction mulit-family unit in the next 3-5 years in my hometown. And I am definitely using the City Landbank. In Michigan, if you own on the same block where there is City Land Bank plot - it's only $250 per plot.

My dad had a whole bunch of homeplan books - Archive.org has a lot of them online. You may get some ideas and inspiration. Here are some I love.

Timely income units, apartments, houses, garage houses, duplexes, motels : The Bungalowcraft Co. : Free Download, Borrow, and Streaming : Internet Archive

New duplex designs : L.F. Garlinghouse Co. : Free Download, Borrow, and Streaming : Internet Archive

The Book of Duplexes : 23 Expertly Planned and Attractive Duplexes : Home Plan Book Company : Free Download, Borrow, and Streaming : Internet Archive

New multiple dwellings, no. 2 : The Bungalowcraft Co. : Free Download, Borrow, and Streaming : Internet Archive

A book of plans, no. 57 : Chicago House Wrecking Co. : Free Download, Borrow, and Streaming : Internet Archive

Income homes... keyed to the times : National Plan Service, Inc. : Free Download, Borrow, and Streaming : Internet Archive

 

[Hersh]

^ o not as an investment prop.. trying to move outa my current place..

 

[97Pac]

^ o not as an investment prop.. trying to move outa my current place..

I'd love to live in Cali but the government and tax system is Woat on top of cost of living. My homie bought a house (3/1) in San Diego for $250 in 2010 he just sold it for over $600k . His house would be worth $80k in Florida

 

[Hersh]

I'd love to live in Cali but the government and tax system is Woat on top of cost of living. My homie bought a house (3/1) in San Diego for $250 in 2010 he just sold it for over $600k . His house would be worth $80k in Florida

breh.. any crib i find under 400k is a fixer upper smh

 

[MasterOfAllHeSurveyz]

I'd wait on buying a multi right now unless you can find a gem. The MU market is grossly overinflated. Always run your numbers so it makes sense.

 

[Swirv]

I haven’t but I’ve sold them. You have to have a lot of units if you want to get filthy from the multi game. Location, location, location. You need a great property management team also. Having reasonable rents with great tenants is better than high rents with shytty tenants. At the end of the day it’s about the numbers making sense especially when considering times like this. This is what I have observed from clients that win and the ones that don’t.

I’m planning on buying 10 units in the near future to get my feet wet. Once I have my full 20% and reserves established. I will be happy with 50 units at the end of the day but if not 10 is fine for my purposes. I don’t care to be filthy rich just maintaining my financial freedom and passing it on to my family.

 

[Kyle C. Barker]

I haven’t but I’ve sold them. You have to have a lot of units if you want to get filthy from the multi game. Location, location, location. You need a great property management team also. Having reasonable rents with great tenants is better than high rents with shytty tenants. At the end of the day it’s about the numbers making sense especially when considering times like this. This is what I have observed from clients that win and the ones that don’t.

I’m planning on buying 10 units in the near future to get my feet wet. Once I have my full 20% and reserves established. I will be happy with 50 units at the end of the day but if not 10 is fine for my purposes. I don’t care to be filthy rich just maintaining my financial freedom and passing it on to my family.

I may have some questions for you later





Same with you @xoxodede

 

[Kyle C. Barker]

@Swirv who would I even need to talk to about funding a project like that?


And if I have a 30 unit rental would I have to pay the mortgage for 30 renters if they ain't got it for the month



I'm an engineer and business is not my forte

 

[Swirv]

@Swirv who would I even need to talk to about funding a project like that?


And if I have a 30 unit rental would I have to pay the mortgage for 30 renters if they ain't got it for the month



I'm an engineer and business is not my forte

For more than 4 units you need to speak with a commercial lender. Before you do what is your plan for those 4+ units, buy and hold or fix and flip. Your strategy and amount needed to execute will determine who you should speak with, because their are different classes of commercial real estate loans.

You pay the mortgage according to what the monthly payment is. You should make sure the payments from tenants cover your principal, interest, taxes and monthly expenses plus a good return. Whether your tenants pay their monthly rent doesn’t affect how much your monthly mortgage is. Especially if you will hold onto this property. That’s how I would do it.

 

[Kyle C. Barker]

For more than 4 units you need to speak with a commercial lender. Before you do what is your plan for those 4+ units, buy and hold or fix and flip. Your strategy and amount needed to execute will determine who you should speak with, because their are different classes of commercial real estate loans.

You pay the mortgage according to what the monthly payment is. You should make sure the payments from tenants cover your principal, interest, taxes and monthly expenses plus a good return. Whether your tenants pay their monthly rent doesn’t affect how much your monthly mortgage is. Especially if you will hold onto this property. That’s how I would do it.

First off thank you!!

As far as my plan goes I would like to buy and hold the 4+ units.