New Investor Western NC

[Josh Myrick]

I have been really excited about starting to invest in real estate and I’m looking to buy and hold for cash flow, single family homes or a duplexes. I just had my first kid so I am probably waiting 6 months to a year to save some money to begin investing in my first property. I am currently reading the bigger pocket books and listening to tons of podcasts trying to learn as much as possible but just looking for some extra ideas on best next steps to prepare over the next year. And also start building a network or agents and contractors in my area that I could call for work. So if you are in Buncombe County or near Charlotte let me know and I’ll keep you guys on my list. 

I currently own my home in Fairview, NC, near Asheville. It was appraised at 281k and we owe 239k. I have followed Dave Ramsey so I have 6k in an emergency fund, 20k in an educational investment for kids, and 15% of my income going into my 401k. My wife is a wedding photographer but is currently out of work due to COVID. Which is another reason I’m waiting to invest till we start making her salary again. 

My plan is to save as much money over the next year, hoping wife starts working again. And speak with my current mortgage company and a few others to see what my refinance options are. We are currently at an fixed apr of 3.25%. I assume a refinance would be my easiest way to start. 

I have been looking at homes in my county and it seems that because Asheville is so overly popular right now the housing market is really high. The houses that are for sale or pretty expensive for not much. I would like to find a house for 200k or cheaper so I could make the 20% down payment initially.

I have a friend that lives in Charlotte who does a lot of home remodeling work and has just become a real estate agent. Since it is only 2 hours away I was thinking of looking at properties there because the market isn’t so inflated. I have been seeing houses that are twice the size and recently remodeled around 200-250k. And since he does a lot of remodeling I figured it could keep some initial repair costs down. That’s is plan A right now unless I find a good deal near me.

Plan B I am more nervous about because of distant. My wife’s parents have a very successful real estate company in Florida for about 30 years and I lived there for 27 so I know the area really well and they are able to help me find good deals and tons of connections. So I could always look for deals there and then have some of their people manage it for me. 

I appreciate anyone’s time and information. 

[Ryan Howell]

@Josh Myrick - It is very doable in WNC.  I have been buying small multifamily for the last 3 years.  I buy outside of Asheville, typically distressed.  All mine cash flow.  It isn't easy, but it is doable if you're consistently looking.  I agree a refinance is a good option.  You could also look at a 401k loan depending on your vested amount, etc.  Join our CREIA (our local investor meetup) is a great way to start networking and find deals as well.