Active duty military prepping for next deal

Active duty military prepping for next deal

Investor · Chicago, IL · Member since 2016 · 28 posts · 26 votes

The objective behind this post is to develop a strategy through general discussion in order to take my next deal head on.

I am currently deployed overseas and return back to the US in the June-July time frame.

I currently have a three flat and a two flat, both of which were house hacks.

The three flat is entirely rented out and the two flat has the recently rehabbed first floor rented out and the top floor acting as my "safe house" when I am home. Just requires new paint, appliances and minor touch up work in order to make it rentable. 2-4 weeks of solid work, if that.

Option 1: Return home, fix up the safe house, continue living there and turn the basement of the building into a unit and rezone the two flat into a 3 flat.

Option 2: Hire some people now to fix up the top floor and get it cleared out, cleaned up and rented. Then begin searching for a new multi unit to get into and close on while still on active duty orders so I can take and use my VA benefits again.

Option 3: Seek advisement from the brain workshop here at BiggerPockets.

Thank you for your time and for reading this!

Excited for this discussion.

0Reply
8 views

Most Popular Reply

Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
7y

Hi John,

Both 1 and 2 seem like good plans. 

Is one better than the other? Well, that might come down to how you rate the "risk" of these decisions.

#1 Has the added "risk" of possibly not getting rezoning approved, or it taking a very long time.

#2 Means the "risk" of possibly not making as good of a choice of location or structure due to not being boots on the ground in the area when you choose the new place.

Those are my thoughts.

Good Luck!

See this reply in the discussion

4 Replies

Jump to latestLatest
  • Missoula, MT · Member since 2016 · 163 posts · 55 votes
    7y

    Hmmm tough call but the idea of having a “safe house” to come back to when your back to your duty station sounds appealing.

    Depending what you have automated with the properties concerning management, leasing, and maintenance i would say go for gold and try to snag another property. If you have enough $ in your VA loan to make a decent initial deposit on a third place i would go that route if it was me. But we'll have to see if someone else chimes in on what they think.

    Best of luck!

  • Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
    7y

    Hi John,

    Both 1 and 2 seem like good plans. 

    Is one better than the other? Well, that might come down to how you rate the "risk" of these decisions.

    #1 Has the added "risk" of possibly not getting rezoning approved, or it taking a very long time.

    #2 Means the "risk" of possibly not making as good of a choice of location or structure due to not being boots on the ground in the area when you choose the new place.

    Those are my thoughts.

    Good Luck!

  • Investor · Chicago, IL · Member since 2016 · 28 posts · 26 votes
    7y

    I have just under half of my VA benefit still available to me which is plenty to invest with.

    I will be off active duty at the end of July so the VA benefit will no longer be a viable option as I just used it a little over a year ago for my current residence back home. That being said if I wait it out either I will just need to use more money down as opposed to 0-5%.

    Conversely, a "boots on the ground" approach would play a huge role in making a wise decision. I have done facetime showings before and have used the same 2 realtors who I trust very much. 

  • Investor · Arlington, VA · Member since 2012 · 1k+ posts · 491 votes
    7y

    The VA is probably the best product out there. I would rent out the safe-house and use the remainder of the VA to buy another househack until you exit the military. Than, you can use the transition as an excuse to move (or do whatever you want)

Join the conversationCreate a free account to reply, vote on answers and follow this thread.