Beginner Investor
I am interested in putting $300,000 down on a multi unit apartment in Austin San Antonio or Dalles Texas. What amount of cashflow could I expect to generate with a good management company? Is there any per door price average? Is it best too find a commercial real estate broker in that specific area? Roberto 46
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Roberto- It depends on what class of property you are after. We are investing in apartment building here in Texas too. Generally I like to look for cap rates between 8-9.5%. I have an excel model you can look at, send me a private message.
Paul
If I was putting 300k into a multi unit apt. I would want at least what you could get in the stock market, maybe 8 or 10%. With this said, I would want about 30k per year AFTER all expenses. Also, since this is a real estate investment, I would want to be buying below market so that if I had to sell in a hurry, I could still get my equity out.
Austin and Dallas are a little higher dollar than SA. I can tell you that if you are buying in SA for 20k - 30k per unit you are probably getting a deal. It depends so much on the part of town and the condition of the property. If you have a particular property in mind, I can give you my $.02.
Thanks for the advise.
The property is located in the Bronx. It is not the best area, but not the worst either. So far, we have discussed a price of 500K. From this price I will take considerations for the pending evictions and some deferred maintenance to get to my offer price. As Suggested I will be sure to work in at least a 10% cap rate.
Thanks again for the help. I will keep you posted as the deal progresses.
Hello,
The loan is not assumable, however the owner is flexible and will consider some form of owner financing. The property is located in prospect and that area is undergoing some major development. (not too far from melrose).
The problem with this property is that it has several violations. The previous owner converted it into a 5apt from a 3apt without permits or ok from the housing authority. This one may be more trouble than its work. Price is right but everything else seems like a huge problem.
Will I have a property in the bronx also, and it is doing ok. I was wondering how much you paid for anew construction in melrose and what are the specs. I have a 2 family that i am trying to convert to 3 family. To zen, it is not unsual for owners to change convert buildings and rent in the bronx, it just means that one has to screen tenants a little bit more thoroughly.
Will I have a property in the bronx also, and it is doing ok. I was wondering how much you paid for anew construction in melrose and what are the specs. I have a 2 family that i am trying to convert to 3 family. To zen, it is not unsual for owners to change convert buildings and rent in the bronx, it just means that one has to screen tenants a little bit more thoroughly.
Will I have a property in the bronx also, and it is doing ok. I was wondering how much you paid for anew construction in melrose and what are the specs. I have a 2 family that i am trying to convert to 3 family. To zen, it is not unsual for owners to change convert buildings and rent in the bronx, it just means that one has to screen tenants a little bit more thoroughly.
Definitely get a lawyer...just my opinion...
[addsig]
When going across state lines invoving property, invest in a atty. that has expertise in RE in both states
& lic. in both - to save you trouble. Ask consul to give you some examples of similar cases he has experienced similiar to yours. Only a suggestion.
Mark
Absolutely hire an attorney to assist. Not very expensive and everyone will feel better.
Your title company will provide this free. Just ask for their customer service department.
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Whats your DCR after your current payment? And what would it be if you refinanced?
How about an equity line on the $100k?