New Listing

Now offering 85 Cumberland AVE for $385,000. A large 3 unit with updated electric and plumbing, replacement windows. Bonus attic room allows owner occupant the possibility of living for free on the cusp of one of the hippest, most desirable parts of the city! Call or write for more Info.

New Listing: 6 unit on High ST

Charming six unit on the Peninsula in very solid condition with positive cash flow based on actual numbers. Four units have been updated; four parking spaces. Offered for $465,900. Call or email for more details.

Pocket Listings

For those not familiar with the term, a pocket listing is a property with an owner who would like to sell, but is not formally listed and on the open market. The broker who knows about it (and likely has a written agreement with the seller) considers this a pocket listing... one which he or she has access to, but other brokers do not. For obvious reasons, this is highly advantages to the broker who has the relationship with the potential seller.

As a buyer, it is a benefit to work with a broker who has access to all of the inventory, beyond what is listed on the MLS. As a Seller, it can be a much less stressful process to sell by forgoing the usual rigors of dealing with tire-kickers and less-than-serious buyers.

Where am I going with this?? We have lots of pocket listings. We share them with our exclusive buyers. As a buyer, you should be working with us to ensure you are seeing ALL of the available inventory.

New Listing

Great 2 unit w/ large 2 car garage, parking & yard. Each unit is in fine condition with great hardwood floors. Top unit is townhouse style w/4 BR & 1.5 baths. Exterior needs a little TLC but don't let it fool you, this is a real charmer on the inside. Visist the web sit or call us for more info.

Know thy Self...

As a company, we started by just dealing with 2-4 units in Portland. That was it. We consolodated and focused our efforts on one very specific market. We grew and became very succesful as a result.

Over the years, we've expanded into larger commercial-sized buildings and into sub markets of Portland and even other cities. We've always been high on Portland due to the inherent value and long-term equity potential. What we run into, however, are investors who (like most investors) want the numbers to "work". While it is not always clear exactly what that means, it generally refers to cash flow... something that is particularly elusive in Portland.

The solution? Well, I just put a client under contract to purchase a 6-family building in Biddeford listed for $150,000. The building consists of six 2 bedroom units, needs cosmetic and some electrical updating. Not bad, huh?

What's the catch? The catch is, you now own a 6-unit in Biddeford! Regardless of how the numbers look on paper, you now own and need to manage a building in a market that is notoriously hard on owners. Not that there's anything wrong with that... but it is work. The client who is buying this building happens to be a pro and already owns and manages many units in that market. She's doing it right. She has consolidated and focused her efforts and resources to become successful in one particular market. It is labor and management intensive, but it can be done.

The moral of the story? In a real estate market where everyone is looking for a deal, know your strengths and limitations. Having a down payment and ability to finance does not make buying a big cheap building in any city a slam dunk. You've got to possess the ability to follow through and manage your investment to it's highest potential. School's out for now...

Parkside Two-Family

Large 2 unit on the peninsula, great layouts, period details, private outdoor patio spaces, deck. LOOKING FOR FINISHING TOUCHES. A great equity builder. Call or check the website for more info.

Bye, Bye, Manny

Nuff said.

Market Sentiment...

This is more our perception than anything else, as I've not compiled any statistics to back this up...

We're getting the sense as brokers that the overall attitude toward the market is shifting. Up until recently, potential buyers were adamantly opposed to pulling the trigger until they "saw the bottom".

Have we seen or at least reached said "bottom"?

There is something in the air now that's been noticeably absent in recent months: people are actually looking at and buying real estate. Savvy investors are capitalizing on opportunities and first-time owner occupants are moving in on 2,3, and 4 units. Hooray!

Lenders are still very tight-fisted and conservative, but there are some signs that even they are starting to come around. I've heard some very positive things with regard to both owner occupants AND investment programs. Let's get in the game people!!

Soggy Golf

I was pleased on Monday to represent Sullivan Multi in the annual Portland Board of Realtors golf tournament. It was a perfect day for golf up until around the 14th hole when the skies opened up and we got drenched. I'd love to say that the rain affected the scoring of our foursome, but sadly, I can't even convince myself that sunshine would've tipped the scale for us. Oh well, until next year!

West End Four-Family

Sullivan Multi just acquired this new listing. It is a classic west end four-unit with great potential for sweat equity. It's got off street parking, decks and location working for it already... all it needs now is someone to take it to the next level. Call or check the website for more details.

Activity Report

Last week, Sullivan Multi closed eight units among three buildings for a total volume of $935,000. Leave it to us to work so hard during the hottest days of the year so far! For details about the sales call us... one of the buildings was unlisted.

Safe and Happy Holiday Weekend!

The Sullivan Multi Team wishes you all a safe and happy Holiday weekend. We hope you get some much needed and well deserved R&R and come back next week with multis on the brain!

Maine Sunday Telegram article to appear July 6th

Chris wrote the following article for the Commercial Real Estate section of the Maine Sunday Telegram. In the article, I breifly outline the "short sale" process and what it entails. The column will run on Sunday July 6, 2008:

As a result of the current “mortgage crisis”, many folks who over-leveraged in order to purchase property in the last several years are finding themselves precariously close to losing their home or investment to foreclosure. In certain instances, a short sale is advantages to both the flailing property owner and a savvy investor.


A short sale is when a bank or mortgage lender agrees to discount a loan balance due to an economic hardship on the part of the mortgagor. The home owner sells the property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender in full satisfaction of the debt. In such instances, it is required that the lender approve the proposed sale.

This sounds like a no-brainer to an investor as in most cases the property is acquired for much less than what the appraised value was a short time ago. However, these transactions differ from conventional transactions in several ways.

First, expect the process to take 90 to 180 days (or more). There are often several tiers of approvals required, depending on the lender.

Second, understand that you are dealing with a seller who’s motivation to sell is limited only to avoiding foreclosure. They stand to gain nothing else; if that is not sufficiently important to them, their actions may seem irrational and counter-productive to getting the deal closed.

Thirdly, the property has likely been neglected and will probably need some amount of work in order to be brought up to par.

An investor’s ability to work through the obstacles is essential to securing a property through short sale. But a sound strategy, patience, and diligence will pay off with the addition of instant equity to your portfolio.

New hands at the helm of the GPHA

Congragulations to our very own Brit Vitalius who was recently elected President of the Greater Portland Housing Association. The GPHA exists to act as a resource for landlords to share information, educate the general public and advocate for the interests of landlords.

Under Brit's leadership, the group is looking to develop a website, offer email distribution of the newsletter and reassess the meeting format. for more information or to get involved with the GPHA, email Brit at
britvitalius@gphalandlords@yahoo.com

Who Wants Lunch?

After a six month hiatus, the Sullivan Multi Blog is back on track! Here is my commitment to our faithful (to-be?) devotees: New posts AT LEAST ONCE A WEEK. If we lapse, the first person to bring it our attention will recieve a double cheeseburger from Portland's landmark Vivian's (the best burgers ever!!!)on us. Stay tuned!

Segments of the Market Are Waking Up

The past few weeks have seen a resurgence of activity in the Portland multi market. We are seeing serious investors (many of whom have been dormant for years) start to think about buying again. Lagging behind: Owner occupants. Many first-time buyers are still hesitant to pull the trigger. It's a shame... rates are low and inventory is high. Perfect conditions for getting into your first multi!

Another Sullivan Multi Holiday Party Is In The Books!

Thanks to everyone who joined us at Eggspectation last week for the annual Sullivan Multi Holiday Party. As always, everyone behaved themselves (for the most part... John!) and a great time was had by all. Didn't get the invite?? Call us at the office and make sure you get on the list for next year... It is the premier event of the season!

What does the Fed rate cut mean?

Everyone's talking about the Feds latest move. Here's a great article about possible implications...

http://bankrate.com/brm/news/fed/winners-losers.asp?s=1&caret=3

Sullivan Multi Open House

Thanks to everyone who made it out to our "office warming party". It was great to see everyone. With days getting shorter and hectic schedules, it meant a lot to have folks take time out of their day and come check out our new digs. For those who didn't attend, you missed out on some great conversation and more importantly, free beer!

Lessons for Buyers

Everywhere you turn you hear the talk about foreclosures and the failing mortgage market. We have certainly seen the effects here is this office, but not neccesarily in the ways you would expect. Prices have definitely made an adjustment downward, which can be good or bad, depending on which side of the table you are sitting. But business hasn't ground to a halt as some outlets would lead you to believe. Instead we are seeing more "creative financing" if you will, and more people being able to jump on opportunites that just weren't there before. Last month Chris talked about a property that sold as a bond for deed, and since that post we have completed another. Our current contracts include three short sales, and our closings in the last few months have included several seller financed properties. So the story right now seems to be the following:

1) Now is a good time to buy but you will probably need some cash in your pocket to do it. Gone are the days when anyone with a pulse could buy property, but there are loans out there and people are starting to come down on their prices.

2) There are financing options out there if you don't have much cash. Seller financing can be a really good option for both buyer and seller. Short sales can be long projects without guarantee, but can be a good investment if you have the patience and time. Bond for deed gets you instant equity if you find the right property and can get the seller to bite, though it is a riskier option to both parties.

3) If you are handy, this is a great time to buy. There are fixer-uppers coming onto the market regularly and with prices moving south you can make the sweat equity work if you aren't afraid to dive into the project yourself.

4) Make a low offer if you have the comps to justify the price. In some cases properties are going for significantly less than they are listed for simply because that is where the value is shifting and the evidence is there to prove it. You won't always make it work, but you have a much better shot than you did a year or two ago.