Advice on Growing a Portfolio

[Benjamin Briede]

My name is Ben Briede (25) and I am a new investor. I recently just purchased a SFH in Cincinnati, OH as my primary. The plan was to update it, as the former owner had lived there for 50+ years so it was pretty out of date. My plan after that was to live in the house for a year-year and a half while I save up some funds to buy either another SFH or a Multi-family.

I'm leaning more towards another SFH since rent in the area is around 1.7k-2k per month and I believe it would cashflow a couple hundred dollars a month based on my current payments and other rental expenses. (This second SFH would provide me a place to live while renovating and then repeating the process again and again.

My issue is that I want to get into the game faster and saving funds especially now with the price of everything, if getting harder. I also don't want to use too much of my savings for a down payment on another one. I have looked into possibly a HELOC and looked into the pros and cons of this and so far I am leaning towards that.

If anyone has any recommendations on how I may achieve getting into the game faster (purchasing 1-2 rentals/year)  that would be greatly appreciated. I look forward to the feedback and making some connections!

Thanks!

[Steven Foster Wilson]

Quote from @Benjamin Briede:

My name is Ben Briede (25) and I am a new investor. I recently just purchased a SFH in Cincinnati, OH as my primary. The plan was to update it, as the former owner had lived there for 50+ years so it was pretty out of date. My plan after that was to live in the house for a year-year and a half while I save up some funds to buy either another SFH or a Multi-family.

I'm leaning more towards another SFH since rent in the area is around 1.7k-2k per month and I believe it would cashflow a couple hundred dollars a month based on my current payments and other rental expenses. (This second SFH would provide me a place to live while renovating and then repeating the process again and again.

My issue is that I want to get into the game faster and saving funds especially now with the price of everything, if getting harder. I also don't want to use too much of my savings for a down payment on another one. I have looked into possibly a HELOC and looked into the pros and cons of this and so far I am leaning towards that.

If anyone has any recommendations on how I may achieve getting into the game faster (purchasing 1-2 rentals/year)  that would be greatly appreciated. I look forward to the feedback and making some connections!

Thanks!

 Hi Benjamin,

I think a HELOC is a great way to go or a refinance. I would start to call as many lenders as you can and compare rates and terms. I would start to run numbers on other potential places and if the numbers work ask someone to invest with you. Look at your strengths, could you manage and rehab the property? Then they get the loan and put the money down? I would just start to think of anyway to try to do more. I would also try and rent out some of your rooms if you are open to that. That way you get more cashflow while you are doing the project. On our first rehab it was on Ohio State campus, we rented each room for $250 which was the cheapest rent around. But we were rehabbing the whole place at the same time. We filled every room and had no problem.