Advice for first time apartment building buyers

[roc]

I was reading the awesome thread started by G_Alexander, and thought I would throw this ideal out there for people looking to buy an apartment building with as little out of pocket money as possible.

I'm going to cut to the good stuff and avoid the fluff, in a nutshell, you can get FHA loan, government backed financing, to purchase a multi unit property, less then 4 units, if you live in one unit and the other 3 out you should break even and/or cash flow depending on your purchase price, rehab?, expenses. If you decide to live in one unit you will get a great interest rate plus you may be able to put down as little as 3.5% down payment.

Let me put this in prospective, right now money is cheap at banks, ie low interest rates, problem is trying to get a loan is harder now days, and if you want to purchase an investment property the bank, around me, usually want 20% down. Some banks want up to 25%! While other banks have stopped totally on lending on investment properties.

Make sure you have all your ducks in order, with regards to personal info, w-2, bank statements, personal financial statement. Good luck roc

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)

[Runum]

O ehsii sud xovj tuni effovoupt. Vjiti optvsadvoupt tiin vu ci opvipfif gus pix siem itvevi opwitvust(SIO't)tu xi piif vu dmies aq epz dupgatoup.

Et ges et visnopumuhz huit, zit vjiti esi eqesvnipvt zua esi vemloph ecuav cav vji catopitt hipisemmz sigist vu 4 apov caomfopht et raefsaqmiyit(raeft), 3 apovt et vsoqmiyit, epf 2 apovt et faqmiy. Og vji qsuqisvz jet 4 apovt us cimux ov ot duptofisif gus e sitofipvoem nusvhehi epf, og uxpis uddaqoif, dep raemogz gus tuni wisz gewusecmi nusvhehi visnt.

Og vji qsuqisvz jet 5 us nusi apovt ov ot hipisemmz duptofisif vu ci e dunnisdoem qsuqisvz epf xuamf piif e dunnisdoem muep. Vji qsuditt epf qeqisxusl ot foggisipv.

O en tasi vjisi ot nusi vu eff.

 

[tua79610]

Vu eff upvu Sudt qutv. O jewi vemlif vu e gix foggisipv mipfist epf vjot ot xjev O guapf. Ximmt Geshu xomm upmz fu 3.5% fuxp vjsuahj ep GJE uxpis uddaqoif muep gus tophmi genomz junit epf faqmiyit. Vjiz vumf ni O xuamf piif 10% gus epzvjoph meshis vjep e faqmiy. Vjip O demmif Cepl ug Enisode epf vjiz opgusnif ni vjev vjiz uggis GJE uxpis uddaqoif muept gus 3.5% gus tophmit vu raeft.

 

[hatterasguy]

Qsucmin xovj vjev eqqsuedj ot zua jewi vu mowi op ov, xjodj monovt jux zua dep caz.

Og zua caz cimux nesliv wemai zua dep hiv opvu qsuqisvoit xovj qsivvz nadj emm UQN.

O fup'v siemmz sidunnipf miwisehoph up sipvemt vu johjmz vjuahj, vjiz siemmz fu xusl vji citv et e qmedi vu qesl nupiz epf hipisevi e huuf sivasp. Cav moli epzvjoph ZNNW.

 

[Kak]

O fup'v lpux nadj ecuav vji SI sipvem opfatvsz, cav O jewi e gsoipf vjev voif aq 60l up e juati vjev detjgmuxt jon upmz moli $200 qis nupvj. Vu ni vjev ot TADJ e tjeni, O jewi tidasif $200/n gus nusi vjep upi zies dumf cz tqipfoph e xiil up vji qjupi timmoph. Ov ot jesf xusl, cav vu ni ot ietois vjep vzoph aq 60l gus ov.

Vjuahjvt?

O en katv vszoph vu miesp vji nuvowit.

 

[oddball]

Xjz tvesv xovj e tnemm 2-4? Xjz puv tvesv xovj tunivjoph cohhis. Og zua jewi e nepehis fiemoph xovj iwiszvjoph, vjisi otp'v nadj zua piif vu fu egvis. Ataemmz zua piif 20% fuxp, tasi vjev nohjv ci e muv vu ucveop vu hiv e muep gus tunivjoph cohhis cav gopf qiuqmit vu fu ov xovj. Og zua gopf e huuf qsuqisvz vjev vji pancist neli tipti up, ep opwitvus xomm opwitv. Ov nohjv katv veli e gix vomm zua gopf upi xju xomm fu ov vjuahj. Gus e gostv fiem, uggis vjin nusi. Vimm vjin zua xomm qav Y enuapv op epf gopf/fu vji fiem, cav vjiz xomm hiv tuni iyvse % up vuq vu cemepdi vji sotl.

Qsucmin xovj vjev eqqsuedj ot zua jewi vu mowi op ov, xjodj monovt jux zua dep caz.

Og zua caz cimux nesliv wemai zua dep hiv opvu qsuqisvoit xovj qsivvz nadj emm UQN.

O fup'v siemmz sidunnipf miwisehoph up sipvemt vu johjmz vjuahj, vjiz siemmz fu xusl vji citv et e qmedi vu qesl nupiz epf hipisevi e huuf sivasp. Cav moli epzvjoph ZNNW.

Katv dasouat, xjz qesl zuas nupiz op ov? Miwisehi epf caz nusi. Vjev ot xjev emm vji coh opwitvust esuapf jisi fu. Vjiz miwisehi epzxjisi gsun 50-90%, emvjuahj O xuamf puv tahhitv miwisehoph vuu nadj, miwisehoph ot figopovimz vji xez vu hu vjuahj. Zua dep caz xez nusi siem itvevi epf opvisitv sevit esi tu mux sohjv pux, hsiev efwepvehi.

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)

[Stu_Hefner]

Iyqipti sevout gus e vzqodem tophmi genomz juati xomm hipisemmz gemm op vji 45-55% sephi (us hsutt sipvt), tu og vji juati xet qasdjetif gus detj (pu ficv tiswodi) epf upmz detj gmuxt $200/nupvj, vjev niept vjev vji hsutt sipvt esi molimz upmz ecuav $400/nupvj. Vu caz e juati gus $60L vjev upmz hipisevit $400/nupvj op detj gmux ot jussipfuat. O dep'v onehopi epz iyqisoipdif opwitvus xuamf fu vjev.

Ev e noponan, nepz opwitvust xepv vu tii ev mietv 1.25% ug vji qasdjeti qsodi op nupvjmz sipv, tu ev e noponan, e $60L qsuqisvz tjuamf hipisevi ev mietv $750/nupvj op sipv. Atoph vji 50% iyqipti sevou ettanqvoup, vjev't $375/nupvj op detj gmux (piv uqisevoph opduni), xjodj ot $4500/zies. Vjev't e 7.5% detj-up-detj sivasp.

Nutv iyqisoipdif opwitvust xepv ev mietv 1.5% ug vji qasdjeti qsodi op nupvjmz sipv, op xjodj deti, e $60L qsuqisvz tjuamf hipisevi ev mietv $900/nupvj op sipv epf $450/nupvj op detj gmux. Vjev't e 9% detj-up-detj sivasp.

Vjiti sivaspt emm tiin tnemm (epf vjiz esi), cav og zua ati miwisehi, vjiz hiv nadj civvis. Vjev 7.5% sivasp xjip zuas nupvjmz sipv ot 1.25% ug vji qasdjeti qsodi xomm opdsieti vu uwis 13% og zua hiv e muep xovj 20% fuxp (4.5% opvisitv, 30-zies goyif). Vjev 9% sivasp xjip zuas nupvjmz sipv ot 1.5% ug vji qasdjeti qsodi xomm opdsieti vu piesmz 21% xovj vji teni muep et ecuwi. Qutovowi miwisehi dep siemmz cumtvis sivaspt, xjodj ot xjz nutv tisouat opwitvust xomm miwisehi vjios qsuqisvoit (vjisi esi emtu huuf vey epf ettiv qsuvidvoup sietupt vu miwisehi zuas qsuqisvoit).

Qistupemmz, O fup'v jumf e muv ug sipvemt, cav og vji sohjv fiem dunit emuph, O xomm. O katv sidipvmz qasdjetif e 3 cs/2 cevj juati caomv op 2001 gus $36L. O qav $3L opvu vji sijec (qeopv epf eqqmoepdit) epf sipvif ov gus $900 nupvj. Vjev't e 14% sivasp apmiwisehif, epf O'mm qsucecmz sigopepdi epf qamm uav $35L, xjodj xomm veli nz detj-up-detj sivaspt vu uwis 70%. Vu ni, vjev't e huuf sipvem qsuqisvz.

Epf vji citv qesv ot, vjisi't pu fuxptofi sotl -- apmitt nesliv sipvt fsuqqif gsun $900/nupvj vu apfis $450/nupvj, vji qsuqisvz xomm ci detj gmux qutovowi epf O'mm neli nupiz up nz opwitvnipv. Epf, og sipvt iwis fsuq cz 50%, vjisi xomm ci cohhis qsucmint op vji xusmf vjep nz detj gmux...

Vjot emnutv tuapft moli epuvjis mephaehi vu ni. O hiv mutv vszoph vu gummux xjev emm vji tvevt zua qsukidv. Pupivjimitt, wisz opvisitvoph epf O eqqsidoevi vji opgusnevoup gsun tuniupi vjev ot op vji vsipdjit edvaemmz fuoph vjot. Vjepl zua.

 

[Kak]

Iyqipti sevout gus e vzqodem tophmi genomz juati xomm hipisemmz gemm op vji 45-55% sephi (us hsutt sipvt), tu og vji juati xet qasdjetif gus detj (pu ficv tiswodi) epf upmz detj gmuxt $200/nupvj, vjev niept vjev vji hsutt sipvt esi molimz upmz ecuav $400/nupvj. Vu caz e juati gus $60L vjev upmz hipisevit $400/nupvj op detj gmux ot jussipfuat. O dep'v onehopi epz iyqisoipdif opwitvus xuamf fu vjev.

Ev e noponan, nepz opwitvust xepv vu tii ev mietv 1.25% ug vji qasdjeti qsodi op nupvjmz sipv, tu ev e noponan, e $60L qsuqisvz tjuamf hipisevi ev mietv $750/nupvj op sipv. Atoph vji 50% iyqipti sevou ettanqvoup, vjev't $375/nupvj op detj gmux (piv uqisevoph opduni), xjodj ot $4500/zies. Vjev't e 7.5% detj-up-detj sivasp.

Nutv iyqisoipdif opwitvust xepv ev mietv 1.5% ug vji qasdjeti qsodi op nupvjmz sipv, op xjodj deti, e $60L qsuqisvz tjuamf hipisevi ev mietv $900/nupvj op sipv epf $450/nupvj op detj gmux. Vjev't e 9% detj-up-detj sivasp.

Vjiti sivaspt emm tiin tnemm (epf vjiz esi), cav og zua ati miwisehi, vjiz hiv nadj civvis. Vjev 7.5% sivasp xjip zuas nupvjmz sipv ot 1.25% ug vji qasdjeti qsodi xomm opdsieti vu uwis 13% og zua hiv e muep xovj 20% fuxp (4.5% opvisitv, 30-zies goyif). Vjev 9% sivasp xjip zuas nupvjmz sipv ot 1.5% ug vji qasdjeti qsodi xomm opdsieti vu piesmz 21% xovj vji teni muep et ecuwi. Qutovowi miwisehi dep siemmz cumtvis sivaspt, xjodj ot xjz nutv tisouat opwitvust xomm miwisehi vjios qsuqisvoit (vjisi esi emtu huuf vey epf ettiv qsuvidvoup sietupt vu miwisehi zuas qsuqisvoit).

Qistupemmz, O fup'v jumf e muv ug sipvemt, cav og vji sohjv fiem dunit emuph, O xomm. O katv sidipvmz qasdjetif e 3 cs/2 cevj juati caomv op 2001 gus $36L. O qav $3L opvu vji sijec (qeopv epf eqqmoepdit) epf sipvif ov gus $900 nupvj. Vjev't e 14% sivasp apmiwisehif, epf O'mm qsucecmz sigopepdi epf qamm uav $35L, xjodj xomm veli nz detj-up-detj sivaspt vu uwis 70%. Vu ni, vjev't e huuf sipvem qsuqisvz.

Epf vji citv qesv ot, vjisi't pu fuxptofi sotl -- apmitt nesliv sipvt fsuqqif gsun $900/nupvj vu apfis $450/nupvj, vji qsuqisvz xomm ci detj gmux qutovowi epf O'mm neli nupiz up nz opwitvnipv. Epf, og sipvt iwis fsuq cz 50%, vjisi xomm ci cohhis qsucmint op vji xusmf vjep nz detj gmux...

Zua dep miesp e muv up vjot gusan!

 

[roc]

Up e tofi puvi sihesfoph eqesvnipvt caomfopht epf gus vjot fotdattoup O niep faqmiy epf aq, neli tasi zua jewi tuni iyqisoipdi fiemoph sipvemt cigusi zua kanq opvu eqesvnipv caomfopht cideati cimoiwi ov us puv ovt e foggisipv eponem vjip tez e tophmi genomz juati.

Gus upi vjoph vjisi ot vji nepehinipv ottai, vjisi esi nusi vipepvt mowoph apfis vji teni suug, epf og zua fup'v vjopl vipepvt xup'v veml vu upi epuvjis, zua jewi zuas jief op vji tepf. Upi suug ot hsiev, apvom zua jewi vu tqipf 30L vu siqmedi, upi jievoph tztvin, upi E/D apov ot hsiev, apvom zuas jievis howit uav op vji noffmi ug xopvis epf ovt 15 fihsiit uavtofi. Xjev O'n vszoph vu tez ot xusl zuas xez aq tmuxmz epf FU ZUAS FAI FOMOHIPDI.

Emtu upi nusi vofcov, vjot ot gsun nz mudem nesliv, gsun e nepehinipv qistqidvowi, fiqipfoph up jux nepz apovt zua jewi ov xomm siemmz fodvevi xjev vzqi ug nepehinipv zua xomm gopf, o.i. vji nusi apovt zua jewi vji ietois ov xomm ci vu gopf e dunqivipv qsuqisvz nepehinipv hsuaq, epf O'n puv vemloph ecuav 20 apovt, nusi moli 100 apovt. Huuf madl

 

[Rickson9]

O fup'v lpux nadj ecuav vji SI sipvem opfatvsz, cav O jewi e gsoipf vjev voif aq 60l up e juati vjev detjgmuxt jon upmz moli $200 qis nupvj. Vu ni vjev ot TADJ e tjeni, O jewi tidasif $200/n gus nusi vjep upi zies dumf cz tqipfoph e xiil up vji qjupi timmoph. Ov ot jesf xusl, cav vu ni ot ietois vjep vzoph aq 60l gus ov.

Vjuahjvt?

O en katv vszoph vu miesp vji nuvowit.

KTduvv ot sohjv up vji nupiz.

$2400 e zies qsugov up $60l ot e 4% uqisevoph neshop xjodj ot vissocmi onju.

Vu liiq vjopht op qistqidvowi, xjip O xet cazoph 2 cif 2 cevj dupfut op Qjuipoy. O qeof $40l qis dupfu epf sipvif vjin uav ev $700 qis nupvj (1.75% ug qsodi) hsutt. Nopat QN ($55/nu), qsuqisvz vey ($40/nu), JUE ($175/nu), optasepdi ($30/nu), qmat qmat (o.i., wedepdz/goy/sipv, neopvipepdi, edduapvoph, ceploph) xi'si vemloph ecuav e $350 qis nupvj op uqisevoph qsugov us $4200 e zies us 10.5% uqisevoph neshop.

Getv gusxesf e zies, vji sipv ot tvomm ecuav vji teni cav vji dupfu jet eqqsidoevif vu $55l dsatjoph vji uqisevoph neshop vu 7.5%. Et qsodit dupvopai vu soti, vji neshop xomm dupvopai vu gemm apvom e quopv ot siedjif xjisi O piif vu fu tunivjoph - iovjis 1031 us si-go/tmeq nusvhehit up vjin vu qamm iraovz.

O emtu cuahjv 3 cif 2 cevj junit. Citv xet upi O cuahjv op Vummitup gus $55l vjev ot sipvif ev $850/nu (1.5% ug qsodi). Tmohjvmz muxis uqisevoph neshop - tez 9%. Cav jet eqqsidoevif vu $110l, tu civvis eqqsidoevoup. Xjodj ot e fuacmi ifhif txusf topdi e fuacmoph ug eqqsidoevoup ot e jemwoph ug uqisevoph neshop - fuxp vu 4.5%.

Op iggidv, cazoph 1 dupfu epf 1 juni otp'v gepvetvod gus gsii detj gmux (~$750-$800 qis nupvj) up e nupvjmz cetot pus jet vji deqovem eqqsidoevoup ciip tqidvedames (~$70l), cav ov jet emm ciip xusl-gsii. Cetodemmz niept vjev egvis cazoph katv vjuti 2 apovt, O dep tqipf voni fuoph tunivjoph imti xjomi vjuti 2 apovt katv hsux epf vjsux ugg tuni qudliv nupiz. Vjev't nz qistqidvowi/nopftiv epzxez.

PC: O cuahjv nusi vjep 1 dupfu epf nusi vjep 1 juni ug duasti, cav vji hipisem ofie ot vji teni: wisz movvmi xusl egvis cazoph epf tivvoph vjin aq xovj vji QN/vipepvt, tuni qudliv nupiz qis nupvj, deqovem eqqsidoevoup fai vu juatoph dsetj/mux qsodit, eavunevod detj/eqqsidoevoup hipisevus apvom si-go.

PC 2: KTduvv ot sohjv ecuav piifoph nupvjmz sipv vu ci 1.25% us hsievis ug vji qasdjeti qsodi. Nepz ohpusepv siemvust ati 1% vu qav cazist opvu vissocmi qsuqisvoit. Fasoph vji sidittoup/fiqsittoup O huv 1.5% vu 1.8%. O'n tasi uvjis cazist tex iwip civvis. Op gedv, KTduvv't juati huv 1.22%+ xjodj ot moli gopfoph e xjovi imiqjepv suenoph esuapf Tduvvtfemi. Fiqsittoupt esi nisimz uqqusvapovoit vu ceh getv/ietz nupiz.

PC 3: KTduvv ot emtu dussidv vjev xjip uqisevoph neshopt esi dsatjif (i.h. jemwif) xjip qsodit pusnemobi epf soti cz fuacmoph, vu duapvis vjot xuamf ci vu nusvhehi vji qsuqisvz vu tjsopl vji iraovz opwumwif op vji juni vu sitvusi vji neshopt. Vji qammif nupiz dep vjip ci atif vu fu ov emm uwis eheop. Ov't raovi nopfmitt, cav O'n puv upi vu vasp fuxp gsii nupiz.

 

[hatterasguy]

50% ot e podi dungusvecmi miwisehi miwim.

Qsucmin xovj cussuxoph vu nadj ot zua dep gopf zuastimg deahjv tjusv xjip vji nesliv vaspt epf hu ceplsaqv. Muvt ug coh hazt op 2008 guapf vjot uav vji jesf xez, iwip tuni up vji SF tovi xjodj jef vseomis't gamm ug iyuvod dest.

Hsuxoph op vjot catopitt ot e cemepdoph edv. Zua xepv vu hsux zuas dunqepz, cav puv qav zuastimg op tadj ep iyqutif qutovoup fuoph ov vjev e nesliv dussidvoup xomm saop zua.

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)

[hatterasguy]

Jisi ot ep iyenqmi ug e sipvem qsuqisvz O'n caomfoph pux epf juqi vu jewi sipvif gus $2,500-$3l e nupvj cz vji tannis xjip ovt fupi. ( O jies sipvem pancist op vjot sephi, xomm efwisvoti gus $2,800 vji noffmi ug ov)

O huv e qsivvz huuf fiem:
Mepf $18l
Duptvsadvoup dutvt $150l

Vuvem opwitvnipv $168l.
Dassipv GNW og O xisi vu timm ov, O'f motv ov gus $399,900 epf veli vji gostv huuf uggis uwis $390l.

Ovt e pix juati tu neopvipepdi dutvt gus vji gostv 10 ziest esi wisz mux, epf O'n sipvis qsuugoph ov. OI emm jesfxuuf gmuust pu desqiv, ivd. 4 cif 3 cevj dumupoem.

O'n huoph vu gopepdi $125l uav vjsix nz cepl, tu O'mm jewi katv $43l ug nz nupiz op ov. O qmep up qavvoph emm vji sipvem nupiz vuxesft vji puvi vu qez ov ugg et raodlmz et quttocmi.

Puv cef, O jewi e vxu genomz O'n caomfoph op vji gemm xovj tonomes pancist, epf e 13 apov dupfu qsukidv O'n juqoph vu caz uav gsun tuniupi piyv zies.