Minneapolis/St Paul
Single Family Portfolio For Sale
My Loon Song!
Hello! My name is Richard. It is time for me to retire from the single family rental industry. The picture above is the lake in Northern MN where I want to spend more time! Along with three other cohorts, I have been blessed with acquiring over 150 single family properties in the Twin Cities (Minnesota!). I would like to sell 50-60 of these properties as a portfolio or in packages of 4-6 homes. Below you will get the gist of the opportunity, my background and how I would like to go about the sale.
"Don’t wait to buy real estate. Buy real estate and wait."
I started this endeavor in 1995. I was fortunate to live by the rule-"if don’t break even when Sh**t hits the fan, then don’t buy it." So, I laid in the weeds quietly buying properties. As the windfall of 2007 steam rolled in I acquired more properties and flipped lotsa homes (dontchaknow) with a little help from banks still solvent.
"Real estate agents: Turning houses into homes since the dawn of time."
I became a ‘one in a million’ real estate agent in 1991. (Meaning, I am one of a million agents. Pretty special, huh?). I still have my brokerage license allowing me to put our transaction together with no road blocks.
Asset Protection through Intelligent Property Management: The Key to Sanity and Salvation!
I own a property management company with three other owners. Therefore, jumping into the game with us should be pretty seamless. If you want to be a more passive player, there might be an opportunity to use our property management company services when you purchase. We are not a retail company. We only manage our assets with a microscope (okay, maybe a low-powered telescope). Yes, the management is more expensive, however, our owner representation is great as we are the owners!
Lend you a Hand!
Maybe…just maybe, we would be open to the buyers utilizing our crews for potential property improvements.
Why Real Estate Investors Never "REALLY" Sell Their Assets: I need to buy via 1031 exchange!
Let me think… why is that? Oh yeah, those pesky taxes that deplete 40% of your hard earned money. Did you know the IRS will still recapture your depreciation even you don't take it! Depreciation = IRS Recapture = Time for a 1031 Exchange.
Location, Location, Location!
That is all up to interpretation. All these properties were purchased with the rule…If I am afraid for my well-being, then the location is not my location, location, location! The portfolio/homes you will be considering are in reasonable locations with good rental demand.
NE Minneapolis, Camden North Minneapolis. Brooklyn Center, Columbia Heights, Saint Paul
NO Big DEAL- They are what they are R - E - N - T - A - L -S.
I would describe these homes as your average, work horse, single family home (bungalows, ramblers, 1.5 story). The majority of these homes are 3 bedrooms, 1 bath, LR, DR, KT, full basement, 1 car garage, 40' x 120' city lot, and about 900-1600 FSF. It’s my opinion, they are in B-condition, remembering that these are rentals. I do what is necessary to put a good product on the market.
Show Me the Money! How do I qualify?
What are all these buildings worth? Well, going by the friendly county tax numbers, one would expect property values between $175,000 to $300,000. The median is probably $250,000. So, you do the math. The average rent is around $1550/mo. My retirement goal is to cash out of these properties. The financing would look like this: 30%-40% down with a contract for deed @ 6.5% having a 15 year amortization, and 3 year balloon. Unfortunately, that doesn’t work for a 1031 exchange, so the sale price would be increased. I am very open to selling you shares in the portfolio, so potentially the "real estate" sale bell does not ring.
Pre- Approval Conversation:
I am confident you are very well intented person/company! However, life is short, so lets base your inquiry on this one question…"Do you qualify for this portfolio?." You will need to be prepared to provide proof of 30% cash available for portfolio purchase, and banking relationship documentation. If you are going the direction of financing each property individually, you will put up a non-refundable deposit/earnest money of $200,000. Why? Because 30-50 appraisals/inspections navigation is not easy. You will have 30 days due-diligence to determine if the portfolio works prior to launching into the physical visit/appraisal/inspection. I do not want to risk my tenant relationship.
If you are interested in talking about the purchase or partnership please reach out using the contact page above:
Thanks,
Richard
Hello! My name is Richard. It is time for me to retire from the single family rental industry. The picture above is the lake in Northern MN where I want to spend more time! Along with three other cohorts, I have been blessed with acquiring over 150 single family properties in the Twin Cities (Minnesota!). I would like to sell 50-60 of these properties as a portfolio or in packages of 4-6 homes. Below you will get the gist of the opportunity, my background and how I would like to go about the sale.
"Don’t wait to buy real estate. Buy real estate and wait."
I started this endeavor in 1995. I was fortunate to live by the rule-"if don’t break even when Sh**t hits the fan, then don’t buy it." So, I laid in the weeds quietly buying properties. As the windfall of 2007 steam rolled in I acquired more properties and flipped lotsa homes (dontchaknow) with a little help from banks still solvent.
"Real estate agents: Turning houses into homes since the dawn of time."
I became a ‘one in a million’ real estate agent in 1991. (Meaning, I am one of a million agents. Pretty special, huh?). I still have my brokerage license allowing me to put our transaction together with no road blocks.
Asset Protection through Intelligent Property Management: The Key to Sanity and Salvation!
I own a property management company with three other owners. Therefore, jumping into the game with us should be pretty seamless. If you want to be a more passive player, there might be an opportunity to use our property management company services when you purchase. We are not a retail company. We only manage our assets with a microscope (okay, maybe a low-powered telescope). Yes, the management is more expensive, however, our owner representation is great as we are the owners!
Lend you a Hand!
Maybe…just maybe, we would be open to the buyers utilizing our crews for potential property improvements.
Why Real Estate Investors Never "REALLY" Sell Their Assets: I need to buy via 1031 exchange!
Let me think… why is that? Oh yeah, those pesky taxes that deplete 40% of your hard earned money. Did you know the IRS will still recapture your depreciation even you don't take it! Depreciation = IRS Recapture = Time for a 1031 Exchange.
Location, Location, Location!
That is all up to interpretation. All these properties were purchased with the rule…If I am afraid for my well-being, then the location is not my location, location, location! The portfolio/homes you will be considering are in reasonable locations with good rental demand.
NE Minneapolis, Camden North Minneapolis. Brooklyn Center, Columbia Heights, Saint Paul
NO Big DEAL- They are what they are R - E - N - T - A - L -S.
I would describe these homes as your average, work horse, single family home (bungalows, ramblers, 1.5 story). The majority of these homes are 3 bedrooms, 1 bath, LR, DR, KT, full basement, 1 car garage, 40' x 120' city lot, and about 900-1600 FSF. It’s my opinion, they are in B-condition, remembering that these are rentals. I do what is necessary to put a good product on the market.
Show Me the Money! How do I qualify?
What are all these buildings worth? Well, going by the friendly county tax numbers, one would expect property values between $175,000 to $300,000. The median is probably $250,000. So, you do the math. The average rent is around $1550/mo. My retirement goal is to cash out of these properties. The financing would look like this: 30%-40% down with a contract for deed @ 6.5% having a 15 year amortization, and 3 year balloon. Unfortunately, that doesn’t work for a 1031 exchange, so the sale price would be increased. I am very open to selling you shares in the portfolio, so potentially the "real estate" sale bell does not ring.
Pre- Approval Conversation:
I am confident you are very well intented person/company! However, life is short, so lets base your inquiry on this one question…"Do you qualify for this portfolio?." You will need to be prepared to provide proof of 30% cash available for portfolio purchase, and banking relationship documentation. If you are going the direction of financing each property individually, you will put up a non-refundable deposit/earnest money of $200,000. Why? Because 30-50 appraisals/inspections navigation is not easy. You will have 30 days due-diligence to determine if the portfolio works prior to launching into the physical visit/appraisal/inspection. I do not want to risk my tenant relationship.
If you are interested in talking about the purchase or partnership please reach out using the contact page above:
Thanks,
Richard