New investor/ Looking for advise on a not so common situation

[Demetreious Walston]

Hi Bigger Pockets!

I would first like introduce myself: My name is Demetreious Walston, I just turned 21 years old, I am in the Army Florida National Guard, go to school at the University of Florida, and I am new to investing, real estate, and this community. I have been doing a ton of reading and learning about the real estate investing world and I need to put my foot in. That being said, I am excited yet slightly nervous and asking for any suggestions or guidance the BP community could offer.

I am currently on deployment with the US army and plan on returning to the sates right before my next semester starts at The University of Florida in Gainesville. My plan of action is currently to get in touch with some real estate agents in the Gainesville area that can help me find a distressed property (hopefully close to the university), get a hard money loan to buy and rehab the property (using the 70% rule), refinance to pay off the hard money loan and then "house hack" with my 2 best friends until we all graduate. I have from now till August 20th to have the house ready for me and my friends to live in before the semester starts, or I will have no place to live haha!

I am just curious on what you guys might think, any suggestions, and/ or contacts I could get in touch with. Thanks everyone, I'm excited to join this community!

[Jennifer Turner]

I would recommend getting prequalified with a traditional lender and use your VA privileges for a 30 year fixed rate low or no money down option, especially if it's your first deal. That way you can use any extra funds or income you have for the renovations and take advantage of the current relatively low interest rates which will likely be higher 6-12 months from now. There are even VA loan options that will allow you to roll the renovation costs into your loan, so ask about that when you're vetting different mortgage brokers. You can always refinance later down the road if you'd like to, once it's fixed up and has appreciated some, but you won't be running the risk of struggling to get out of a hard money loan if the rehab doesn't go as planned or the market or interest rates take a turn for the worse.

We have a local BP meetup group here in Gainesville so send me a message once you get here if you'd like to join us and I can send you the details.