Multi-Family Properties Stream of Income
Posted by: Michelle Odessey, in Multi-Family Properties, GeneralHave you started your Multi-Family Properties stream of income yet?
We have - And, for those of you out there who have been with us for a long time, you know I am ‘nervous Nelly’ when it comes to starting anything new. (I’ll have to post an entry here with the ‘first’ real estate investing deal we ever did for those of you who are new to InvestorWealth.com.)
Anyway, here are the stats/specs on our latest multi-family deal that is in the works. (Prop your jaw up before reading this!)
1) Yes - it is in an emerging market.
2) No - it is not in our local market.
3) Owner bought it at $1.2MM
4) Current principle balance is $850K
5) Owner is at the end of his/her financial rope and lives in a state 1000 miles away and ‘behind in payments’.
6) The property is cashflowing.
7) There are 52 Units with 80% Occupancy
The work or rehabbing needed is approximately $100K.
9) Richard made an offer through (a very helpful real estate broker) to take the property ’subject to’ the underlying loan.
10) The owner turned it down.
11) Then Richard played the ‘takeaway’ in this case by offering to do the deal as a short sale. (For those of you out there who know how to work with short sales or properties in default, you know there are many ways to ‘help’ owners through this - if you don’t yet - watch my blog and emails soon.)
Anyway, the owner said “no” and Richard waited just a bit longer before he made any other kind of offer or response.
13) The owner told the broker that he would now sell by letting Richard take over the property subject to the underlying loan with some considerations.
14) Currently the deal is here:
Owner will sell subject to the underlying debt and wait until the property sells or is refinanced to get the $200K he/she wants out of it.
15) We’ll keep you posted!
Dave Lindahl and Richard are going to review this deal in detail today! And if there is anything we missed or another angle to come at this - Dave will find it! - Yes!
This is the blog post that you want to post to if you are participating in InvestorWealth.com’s “Blog Word” Bonus.
Best,
Michelle
Entries (RSS)
November 17th, 2006 at 7:56 pm
Jerry and I are a retired…but very active.. couple…we are busy but have little cash flow…..We understand that “cashflow” is king… and we want to be kings.
We are determined to make his system work for us.
November 20th, 2006 at 3:38 pm
I wish to invest in “multi-family properties” because it seems to be the answer to our situation. My husband and I (we’re newlyweds) are getting up in age a bit and don’t have a lot of time to work on preparing for retirement, so it appears this may be our best bet. We also want to be helping our families in ways we cannot afford to help them at this time, and we are hoping this will remedy that situation, as well. Thank you so much for this opportunity!
December 18th, 2006 at 9:41 pm
What’s the skinny on the deal?
Todd
August 10th, 2007 at 11:31 pm
We’re very exciting about investing in “multi-family properties” so we can increase our cash flow and improving the income stream from investment properties.
We very much look forward to learning all we can about the criteria for making the wisest of investments in multi-family properties.
November 13th, 2007 at 3:10 am
Are there any ideas on how this deal closed, and then how it is cash-flowing?
I am wondering if there really are deals here, or if they are posting hypothetical properties… Hmmm