The only problem with multifamily right now in your more popular MSA’s is that there is no inventory. I predict rental rates will increase annually at a faster pace then the typical proforma of 3% inflation until Q2 2016. Things should/have to quiet down and the trajectory should become less steep by then. That said, multifamily cap rates are…[Read more]

W-W-WHAT??!!  Falkner, come to me with some respect my man!  I'm a real estate agent.  I NEVERRRRR EVER ONCE TOLD A  LIE!! 

Let's be clear as to who is capable of qualifying for No-Income loans.  NINA (No Income No Asset Verficiation) does NOT exist…ANYWHERE….IN THE WORLD!!  Unless it's hard money. .  SIVA does exist (Stated Income / Verify…[Read more]

Jay:  Perhaps it's a condotel?  But if so, in my condotel experience, the management company takes 40-60% of the revenues so I just can't see an ROI close to 40's. 

Can't believe I'm saying this, but I agree with Freckle.. I kid, Freck!  What happens when the oil production stops or dwindles and we find other resources.  It's a game of hot potato.  I don't know if I'd necessarily burn the money though

SunDirtWater:  Correct.  The cash on cash return would be surplus after debt and expenses.  Australians or foreigners for that matter won't get rates in the 5's….

Jay –
I agree with you that 14-17% net cash flow don't exist much unless in the dumps (we know what happens on pro forma vs reality).  I think Nigel was saying 14-17% Cash on cash which is reasonable.  From what I gathered he was saying 60% loans so your 14-17% ROI would be based off of the 40% down plus acquisition costs. 

Funny, someone said to…[Read more]

On the surface, I would presume this was a hard money deal.  If that is the case, then you can walk away with no recourse.  Of course you'll lose the deposit but if you are invested into a black hole, it's more of a business desision on your end. 

Management wants you to walk probably because they are tired of managing perhaps because of the…[Read more]

My brother's fund absolutely killed it the last 2.5 years in CA with hard money rehab funding.  They started exiting that market though about 4 months ago with concerns that prices are getting too crazy.  You see that too?  I've seen some files and it reminds me of each area I know the market.  Investors swooping in and OVERPAYING on almost…[Read more]

Hinrichs:  You still sitting on your wallet?  When did they let you out ?  I'm representing a new ALF in town.  I have a room picked out for you, with a window.  Let me know if you're interested.

So Florida relies on external driving factors?  Yeah I can live with that.  Employment is always a leading indicator.  UP.  Population growth is typically 1.5% annually.  UP to 5% for consecutive years (although I don't think that's sustainable, I believe we will see 2.5% consistently until 2030)… Bankruptcy's DOWN.  Your chart on BK's certainly…[Read more]

That's right.  Up to 700 "RELOCATED" in 2 year period.  That doesn't include the 300 jobs they are offering to the local SW Florida workforce.  I'm not going to really argue this point.  It's a huge economic shot in the arm to an area that shows a very promising future.

Freckle –
I can't even dignify your imbeselic responses sometimes and I've stuck up for you for awhile here.  You just proved to me you're just a troll.  Where did you read they are shifting 700 jobs from NJ? It will be less then that, but the overall job creation in FL will be well over 700 The president of my firm is on the committee for the…[Read more]

Nigel:
I understand your bias, but with regard to the weather, it has holds very little weight.  Orlando is Disney.  The economic draw is positive and the trajectory arrow is pointing up like most areas of Florida.  You like it because you've been there and may be a fan of Buzz Light Year.  I am.. The weather comment is old and not once in the…[Read more]

http://www.usatoday.com/story/money/business/2013/05/07/hertz-headquarters-relocate-lee-county/2140561/

http://www.bizpacreview.com/2013/05/07/coke-announces-2-billion-investment-in-florida-citrus-land-67293

These are 2 articles where 2 major Fortune 300 companies are investing in Florida.  Where?  My own backyard.  This is very exciting for the…[Read more]

Hi Ziv,
If you send me a PM with your e-mail, I will gladly send it to you.  I sent it to Freckle to upload since I'm bad with Google Docs.  Thanks

Freckle – Of course the numbers are based on projections.  If there was more of a guarantee then projections in real estate, everyone would be a bazillionaire.  There is calculated risk in investing.  I'm basing my inflation numbers off of a bell curve analysis of what has happened over 100 years and factoring that into trends I've seen over the…[Read more]

For me, this spreadsheet would change on a client to client basis, depending on loan terms issued from the bank.  Unfortunately, foreigners typically won't get this deal over in the US.  You can, but it would take a lot of bending over backwards. 

I can customize any financial analysis for anyone.  This is just an example of how I do things on…[Read more]