All Forum Posts by: Dain Waters

Hello,

I've been procrastinating on making my first investment purchase here in Austin. I'm wondering if anyone has any feedback or experience on purchasing and renting a newish (1-5 years) construction home. Based on current newish home prices and rental prices, any purchase I make I'm probably going to break even with cashflow. Has anyone seen differently and if so what areas are the best for investment opportunities? 

If my assumption is correct, break even, how long before a positive cashflow is netted? I realize this would depend on what I can charge for rent. Just not sure how fast rent prices have/will go up and what to expect say 1-5 years out. 

Thank you!

Hello!

This is my first post. I'm just starting out in the world of Real Estate investing.

I'm looking into doing a cash out refinance of my current owner occupied house. I would use the cash from the refinance to fund a down payment on an investment property (a possible flip or rental). My question is: Should I do this? I'd like to get $60,000 out.

Here are the numbers:

Home Value: $525,000

Mortgage: $285,000
Remaining Mortgage Balance: $265,246
Monthly Escrow: $768
Interest Rate: 3.875%
Loan Type: 30 yr Fixed

Existing Home Equity Loan:
Remaining Balance: $37,439
Interest Rate: 4.89%
Loan Type 20 yr Home Equity

Thanks!