Ask Mike Mondays: Are Buyers Getting Discounts on Closing Day?

ASK MIKE MONDAYS - Michael, on transactions that are CLOSING today, are buyers getting a DISCOUNT on...

oldcapitalpodcast oldcapitalpodcast | 4 years ago

Michael Becker discusses what he is seeing in the apartment investing market today. Michael Becker has purchased over 10,000 apartment units between Dallas and Austin Texas. He is a former commercial banker and has a unique perspective of being of a ‘loaner’ and now a “owner” of commercial real estate. Please leave us a 5 STAR RATING on iTunes; if you enjoyed this podcast.

Old Capital Real Estate Investing Podcast with Michael Becker & Paul Peebles: ASK MIKE MONDAYS: “M...

Nationwide Commercial Real Est... Nationwide Commercia... | 1 year ago

As you can imagine, with interest rates rising, many apartment investors have been pencils down. Investors are concerned with lower asset value & higher debt service. Is there any good news out there? What are some of the positive ideas that are occurring in apartment investing? Mike is starting to see some positive “green shoots.” Mike discusses some of those encouraging thoughts on what he is seeing in apartment investing. Listen to the guy that has acquired over 14,000 apartment units. Ar...

ASK MIKE MONDAYS - Michael, how are things going on your MOST RECENT apartment sale?

oldcapitalpodcast oldcapitalpodcast | 6 years ago

Michael discusses his latest apartment sale and WHY HE picked this BUYER.

ASK MIKE MONDAYS - Michael, are all lender TERM SHEETS the same?

oldcapitalpodcast oldcapitalpodcast | 6 years ago

Typically, your lender brings in 75-80% of the capital needed to purchase an apartment property. Obviously the lender is very important to helping you complete the transaction. A lender term sheet gives you a rough indication of what rates and leverage could be. Michael discusses the basics of a lender term sheet. Paul also discusses the challenges of the GREEN PROGRAM in the future. FIND OUT-UP FRONT- if the seller has already implemented a utility savings program on the property. The GREEN PRO...

Nationwide Commercial Real Est... Nationwide Commercia... | 1 year ago

Mike gives us an update on what to expect when you are raising capital to fund a transaction. First- it was higher interest rates, Second- it was the seller and the buyer not knowing the current value of property because cap rates have expanded, And Now, its raising equity to fund a deal. Are there LP’s wanting to invest? Michael chats about how a typical capital raise is going today. Listen to the guy that has acquired over 14,000 apartment units. Are you interested in learning more about h...

ASK MIKE MONDAYS - What are some common EXIT STRATEGIES that you have utilized on your properties? W...

oldcapitalpodcast oldcapitalpodcast | 6 years ago

All investors must ask their DEAL SPONSOR at the beginning - How and when, am I going to get my money back? Michael explains that matching your exit strategy to your debt is very important. Also, you must understand how large prepayment penalties on apartment loans play into your decision to sell.

ASK MIKE MONDAYS - Michael, the holidays are upon us…what should we do for our investors?

oldcapitalpodcast oldcapitalpodcast | 4 years ago

Investors will only invest with you when they know, like and trust you. Perhaps a holiday party would be a good opportunity to build a deeper relationship with your investor. The guys discuss a “relationship building” activity that some investment groups use around the holidays.

ASK MIKE MONDAYS - Michael, What is a LURA?

oldcapitalpodcast oldcapitalpodcast | 5 years ago

To promote affordable housing, some older properties may have an income restricted LURA. A LURA is a LAND USE RESTRICTION AGREEMENT. It runs with the deed. This recorded regulatory agreement may restrict the amount of rent you can charge a tenant, based on the tenant’s income. If you rehab a property and are expecting to increase rents to justify the cost…a LURA may prevent you from being able to raise rents in the future. Make sure you ask the seller’s agent if the property has a LURA.

ASK MIKE MONDAYS- “Michael, I see a trend that many syndicators are now changing deal sponsors on ...

oldcapitalpodcast oldcapitalpodcast | 2 years ago

In real estate investing you should seek consistency or continuity. Some partnerships change teammates on every transaction. Today, Mr X, Ms Y and Mrs Z are all partners… tomorrow, on a new deal… Mr X is the same…but out - are the old partners - and now Ms A and Mr B are added. It seems like a lot of sponsors are gypsies. How does that work and why? Should that be concerning for a Limited Partner investor? Michael explains what he is noticing today in syndication trends and what can certai...

ASK MIKE MONDAYS – Michael, I heard there are new rent control legislation in some states; what’...

oldcapitalpodcast oldcapitalpodcast | 4 years ago

Michael chats about current and future rent control issues that apartment owners are facing today. Tenants are concerned about affordability. Landlords are concerned about providing a return on capital to their investors. Politicians are creating new rent control laws. State of California Rent Control: https://www.nytimes.com/2019/09/11/business/economy/california-rent-control.html?searchResultPosition=1 State of New York Rent Control: https://www.nytimes.com/2019/06/12/nyregion/rent-regulation...

ASK MIKE MONDAYS - Michael, on transactions that are CLOSING today, are buyers getting a DISCOUNT on sales price?

ASK MIKE MONDAYS - Michael, on transactions that are CLOSING today, are buyers getting a DISCOUNT on sales price?

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ASK MIKE MONDAYS - Michael, on transactions that are CLOSING today, are buyers getting a DISCOUNT on sales price?

ASK MIKE MONDAYS - Michael, on transactions that are CLOSING today, are buyers getting a DISCOUNT on sales price?