first time investor, putting in an offer/ bid

[Brandon Morgan]

Hi all, I am a first time investor and I have been looking at a few multi families in my area. things are pretty competitive in my area and it doesn't look like the competition is slowing down any time soon and there are constant bidding wars. what is your opinion on bidding above asking price? it seems to be the only way to get a property that I want. I have already been approved for FHA and FHA 203k. would you recommend bidding above asking price given I am in the NJ/ NY area? and if so is there a certain percentage of the asking price I shouldn't go over?

[Jeremy H.]

I would bid to where your numbers work the way you want them to

Put in lots of bids and get used to hearing no more than yes - this means you're doing it right

Now for the first one...GETTING STARTED is the main goal I feel. Above almost all else you need to get started. So take a little less of a return on the first if you need to, just to get started. Make sure PITI, PM and all budgeted expenses (repairs/maintenance/CapEx) are covered. Maybe you end up with lower cashflow - ok no problem, you got started. You'll get a feel from the process and be able to go farther from there