I think this is a great video although The numbers you’ve represented here are “if” and “when” each unit gets changed over. It has been my experience that a tenant paying 750 in a market where average rents are double it is extremely difficult to get that tenant out. Maybe you can ask these guys how they plan on doing that. Great video
What about $109000 gross not net , , Also what is the mortgage if rents add to $19,600 a month. Cash flow what ! Incomplete numbers ,,,, Bed bath square footage parking so forth
Awesome, awesome video guys! I'm finding that a lot of deals seem to follow a similar theme; most deals don't/won't always fit the conventional route and that being creative in your approach can yield some amazing results
Great video Matt! If they are able to increase there NOI by roughly $100k in the coming year with the renovations and new rental rates almost doubling why didnt they just do a traditional refinance(brrrr). Based on the new numbers and a 5% cap rate I assumed a new forced appreciated value of over $3.5 million. A traditional A lender loan with a 80%LTV would then pay off any existing debt with a nice tidy profit( between $200-$300k) and even with the higher loan the buildings are still very profitable. Maybe my timelines are a bit off and they are trying to do a longer conversion, I believe 5 years is what the gentlemen said. Anyhow good on them for undertaking something of this magnitude, congratulations!
I have the duel washer dryer in one of my units... most feedback I have got is they don't dry very well but definitely a game changer for saving space and also some people air dry anyways.
Great video once again. My question is why 5 years for stabilization? Possibly for turnover and renovations? I was thinking more of a two year stabilization. Investor from northern bc here
Mark mentioned at 13:40 not needing the 400k+ plus on closing that will be used for renovations. Obviously lender only requires initial down payment and closing costs of 640,000 for approval. Where do they typically find the additional funds for renovations after they take possession. Is this mainly where the investors come into play? Thx guys.
Matt McKeever I have two property one house I live in the other one I rented out. Bought in 2014 for 150k an then leveraged that for my second house I bought for 350k in that Neghbourhood you did this video an the house was appraised 2.5 years later for 422k an i reinvested into my second house added a second bathroom an new open concept kitchen. I want to get into multi family but can’t get the funds to get into a third one
In what way are they overspending? I heard this same feedback from one of my peers while I did my apartment flip, but I collected much higher rents, and a higher sales price than what was average in my area... I think these guys are doing a perfect job, obviously this isn't their first project.
Thanks for your comment. Let me give you examples that alone may not seem like much but when multiplied by the number of units make a huge difference and you will not get more rent for: quartz counter bathroom vanity ( $300 vanity from hardware store will do the same), appliances (not everyone wants them and you'll be responsible for them when they breakdown), custom kitchen (Ikea kitchen would get you the same rent), floors (you can find good vinyl flooring for $2 per sq foot). Look at the exterior of the building and common areas. That's where I would spend more.
@@AlexSami-qw4qu What do you mean "you will not get more for rent"??? The video showed their rent went from $750 up to $1,400/month... In some markets renters pay higher than average rent for upgraded apartments. Not every market will see increases from higher end appliances and countertops. But the market they are in does, with their rents starting at $750 and going up to $1,400/month. How else would they get that type of rental increase if they didn't upgrade the apartments? When I did my own property my rents started at $775/month, after "overspending" on my apartments I was getting $1,300/month. Investors pay more money for higher earning income properties when it comes time to sell too. When I sold my building I also got a higher purchase price than what was average in my market too.
a I'm saying they will get the same $1400/ month if they have a nice but basic vanity, a nice but basic kitchen, floors etc. I also did the same and confirmed that the extra couple of thousand dollars you spend will only get you a very small rent increase over what you would get with a very nice but more basic reno.
There are many tricks to not lose in taxes, for an example if they go to refinance the property at a higher value based on the new rents and then pull some of the equity back out, the "profit" is a loan so it is not taxable. This is why real estate investing is powerful. Now if they sell it, that's a different story.
DO YOU WANT TO GET OUR 6 MOST POPULAR COURSES ($2,700 WORTH OF COURSES) FOR THE LOWEST PRICE EVER? (74% 0FF)
problemsorprofits.com/black-friday
Matt McKeever yes !!!!
Love the video. Audio is a little hard on the ears.
I think this is a great video although The numbers you’ve represented here are “if” and “when” each unit gets changed over. It has been my experience that a tenant paying 750 in a market where average rents are double it is extremely difficult to get that tenant out. Maybe you can ask these guys how they plan on doing that. Great video
What about $109000 gross not net , ,
Also what is the mortgage if rents add to $19,600 a month. Cash flow what !
Incomplete numbers ,,,, Bed bath square footage parking so forth
Mike & Mark are definitely doing some BIG THINGS! Great video guys!
💯
🔥 🔥 🔥
Good to see the air conditioners in there with the boiler system. I still have to do this on some of my boiler properties.
👍
Awesome Video, tons of Value! Love the content you guys keep putting out. Mark is killing it! Great to see his project behind the scene 🔥👊🏽
Thanks for watching and for the support!
Awesome, awesome video guys! I'm finding that a lot of deals seem to follow a similar theme; most deals don't/won't always fit the conventional route and that being creative in your approach can yield some amazing results
Matt’s the man! Great video again!
Thanks Lee!
i see matt dropping amazing information, i click like
🔥 🔥 🔥
Great work guys. Keep on pushing!! 👍🏾
Thanks for the support!
🔥 🔥 🔥
Great video Matt! If they are able to increase there NOI by roughly $100k in the coming year with the renovations and new rental rates almost doubling why didnt they just do a traditional refinance(brrrr). Based on the new numbers and a 5% cap rate I assumed a new forced appreciated value of over $3.5 million. A traditional A lender loan with a 80%LTV would then pay off any existing debt with a nice tidy profit( between $200-$300k) and even with the higher loan the buildings are still very profitable. Maybe my timelines are a bit off and they are trying to do a longer conversion, I believe 5 years is what the gentlemen said. Anyhow good on them for undertaking something of this magnitude, congratulations!
Loving the mid in video Cash Flow Tribe info... this channel is going to be over 100k before OREC Elite.
#goalz
Great value that lighten the way to New people
🔥 🔥 🔥
I have the duel washer dryer in one of my units... most feedback I have got is they don't dry very well but definitely a game changer for saving space and also some people air dry anyways.
Yeah space saving and ductless is a huge selling point?
Washer and dryer in unit gets you how much more a month?
Was there any thought on updating the exterior?
Great video Matt! Please do more like this.
Thanks! Will do!
Great video once again. My question is why 5 years for stabilization? Possibly for turnover and renovations? I was thinking more of a two year stabilization. Investor from northern bc here
How much do these guys usually budget for their repairs/maintenance allowance and how much for capex?
Mark mentioned at 13:40 not needing the 400k+ plus on closing that will be used for renovations. Obviously lender only requires initial down payment and closing costs of 640,000 for approval. Where do they typically find the additional funds for renovations after they take possession. Is this mainly where the investors come into play?
Thx guys.
We want More Kasey!!
Kasey is the best! Absolutely amazing insights
First! $1.7mil profit from one 5-year project - very impressive!
that's a good salary! ;)
Where? I thought I did well with a 1.2 m profit with 30k down in 7 years.
🏆
hey Matt wend is the next meeting like go
Link to the podcast please? :)
Holy S**T thats 120K per unit In 2019 @Toronto SHHHHHTEAL
Your in my hood of Bartonville. Second hottest Neghbourhood in Hamilton
Awesome! What type of properties do you invest in?
Matt McKeever I have two property one house I live in the other one I rented out. Bought in 2014 for 150k an then leveraged that for my second house I bought for 350k in that Neghbourhood you did this video an the house was appraised 2.5 years later for 422k an i reinvested into my second house added a second bathroom an new open concept kitchen. I want to get into multi family but can’t get the funds to get into a third one
$109,000 gross , not net ,,, lost there
Also what would be the mortgage for the gross rents at $1,400 a unit equals $19600 a month ,,, Cash flow ?
6,705th!
Third you guys beat me to it
Still you get honours! Nice work!
Jeff Wybo thank you Mr Wybo hope your well!!! How has your heated driveway been doing with the bit of winter weather we have been getting?
@@garymacdonald5921 Hoping to have a follow up video with our next big snow fall!
🏅
2800-3000 for an ac? man, what a robbery! that's CAD isn't it? a good ac cost me anywhere from 350-750 USD
Thats 400usd for a roll around unit.....
3000 cad is for a split unit installed
Where are kassie videos?
Is that the only videos you watch ?
If you can’t get value from this video... SMH 🤦♂️
Personally I think you guys are over spending on the reno for the type of building and location.
In what way are they overspending? I heard this same feedback from one of my peers while I did my apartment flip, but I collected much higher rents, and a higher sales price than what was average in my area... I think these guys are doing a perfect job, obviously this isn't their first project.
Thanks for your comment. Let me give you examples that alone may not seem like much but when multiplied by the number of units make a huge difference and you will not get more rent for: quartz counter bathroom vanity ( $300 vanity from hardware store will do the same), appliances (not everyone wants them and you'll be responsible for them when they breakdown), custom kitchen (Ikea kitchen would get you the same rent), floors (you can find good vinyl flooring for $2 per sq foot). Look at the exterior of the building and common areas. That's where I would spend more.
@@AlexSami-qw4qu What do you mean "you will not get more for rent"??? The video showed their rent went from $750 up to $1,400/month... In some markets renters pay higher than average rent for upgraded apartments. Not every market will see increases from higher end appliances and countertops. But the market they are in does, with their rents starting at $750 and going up to $1,400/month. How else would they get that type of rental increase if they didn't upgrade the apartments? When I did my own property my rents started at $775/month, after "overspending" on my apartments I was getting $1,300/month. Investors pay more money for higher earning income properties when it comes time to sell too. When I sold my building I also got a higher purchase price than what was average in my market too.
a I'm saying they will get the same $1400/ month if they have a nice but basic vanity, a nice but basic kitchen, floors etc. I also did the same and confirmed that the extra couple of thousand dollars you spend will only get you a very small rent increase over what you would get with a very nice but more basic reno.
SECOND!
🏅
I want to see how much you people lose in taxes lol
There are many tricks to not lose in taxes, for an example if they go to refinance the property at a higher value based on the new rents and then pull some of the equity back out, the "profit" is a loan so it is not taxable. This is why real estate investing is powerful. Now if they sell it, that's a different story.
@@cryptokek6820 great info, thanks for sharing!
@@agrimvashisht1466 You're welcome, always consult a CPA but in general this is how it works.
@@cryptokek6820 yes sir