All Forum Posts by: Adri Jusczak

Hey Nathan, 
I think it depends on where they are located. If they are in northern states where it's not that hot, I think it would be okay to pass on it. If you're in an area that does get hot and AC is sought after, you may want to do it. You'll be able to charge a little more with AC. If you're in a hot state without AC, you may find you'll have a quicker turnover rate because tenants will want to upgrade to somewhere that has AC. 

 Yeah, 1% or better typically! 

I have two 2 bed/1 bath SFHs. They rent out well. More affordable for people than a 3/2. I've looked into finishing the basement in one of my properties, but I'm not planning on doing it this year. Because of the size of the project, you'd most likely have to do that between tenants. 

The Twin Cities has been a bit of a mess in the recent years, not saying you can't find a deal there though. Minneapolis just made a new rule that you can't raise rents more than 3% every year. St. Paul is looking to follow that rule as well. Best of luck! 

David, congrats on getting started! That's one of the hardest parts in REI. I always let my realtor know exactly what I'm looking for, I explain what numbers I need to see and how I calculate those numbers. Then they don't waste my time by sending me properties that won't work. I also ask the realtor how I can help them. If you can show that you care about their business and want them to grow with you, you'll gain a new level of trust and will be much more successful. The more people you can help along the way, the better you'll do. Best of luck!

Congrats on the equity! Don't overleverage yourself with a cashout refi. Make sure your numbers still work with the new loan. Your mortgage rate will most likely be more since rates have gone up recently. If it makes sense, refinance and get another door out of it! 

@Lucas Miles Thank you! Looking for another SFH next, hopefully putting an offer over this weekend at a place I'm looking at. Then I am looking to scale to MFH after Q1!

Investment Info:

Single-family residence buy & hold investment in Albert Lea.

Purchase price: $66,000
Cash invested: $3,000

Refinanced and it appraised for 84k! I received a check back for 61k. I cash flow $320 monthly and have a 980% CoC ROI!

What made you interested in investing in this type of deal?

I wanted to add to the portfolio.

How did you find this deal and how did you negotiate it?

This was on the MLS for a while, the seller was cash poor and wanted out.

How did you finance this deal?

I paid in cash and refinanced 3 months later.

How did you add value to the deal?

I bought it with equity built in. I did a deep clean, added some paint, and put in a radon mitigation system.

What was the outcome?

I added a house to my portfolio with minimal time and money invested!

Look into the possibility of transferring the funds into a self directed solo(k). You will avoid UDFI taxes, penalties on borrowing, and the ma contribution limit (under 50 years old) is 56k a year. I would recommend reading The Book on Tax Strategies for the Savvy Real Estate Investor! 

Hi Leila! The fact that you know what you want and are taking the steps to get there at 19 is great! Keep researching and learning. Start looking at areas that you can afford and practice running numbers on them. I invest out of state, but I have a team built to help and I visit my properties a few times a year. I'm happy to help you out in any way I can. Feel free to shoot me a message and we can talk!