All Forum Posts by: Alex Henriksen

Thanks everyone for your replies! I like the sfh idea. This first property will be my home, so since I work in madison the property has to be here sadly. But I'm thinking about evetually buying property in miami FL. :) wife will be going there to get her phd.

I've been looking at buying a multi unit property for sometime now. Everything in the madison WI area that's in a good location is way overpriced. The list prices don't make sense for an investor. How do I overcome this? GOAL own as many properties as possible as soon as possible for long term wealth. :)

So the only way to make this a good deal is to low ball it by around 80k and hope they counter with a lower offer.Then get the place for around 140k to 150k. Raise rents enough so that it covers the 2% and 50% rule.

Thanks for your response Sam W. How do you guys turn names blue?? lol The building will be owner occupied for the first several years. So how does that change the math around?

@Adam Demchik Thanks for your response! I know what your saying but in my market anything thats on the mls is going to make the 2% rule impossible. Maybe I can pull a 1.3% and once I move out I can push it higher. Also rents go up each year in my area by around 3% to 6%. With the rents going up each year like that I would be able to hit the 2% in several years I'm guessing. Does the 2% rule even consider annual rent raises? Don't forget this place will be my home for several years as well. Right now I currently rent and I pay 720/ mo. So I'm most likely going to put most of that into the property.

This building would be my first property and I would be living in it as well. The listing price is 194,000.
4 unit 1 bed 1 full 0 half 0 1/4. 750 sqft each

est age 53 years

Neighborhood isn't that great. Kinda hoodish but not terrible.

Est taxes for 2011/3,209.

The apartments are already rented and each apartment rents for around 580.

If nothing needs updating is this a good deal?
What would be deal breakers?
thanks in advance for inputs!
Any other advice is welcome!

Went to a lender 2 days ago and I was able to answer my own question. Wives or husbands don't need to be apart of the equation if you can get the loan without the need of anyone.

Still can't go the credit card route. Does anyone one know if I can get a loan alone without my wife being in the equation. I know I could just go to the bank to figure this out but I want to test the BP knowledge. :)

@Brian Burke thanks for your shared experience. You wanted to be in real estate and you did it any way possible. Unfortunatly I can't follow in that path. I work full-time but I'm married to wowman that goes to school and works part time. She brings in a fraction what I do so I'm almost positive the banks will count her debt mine and make me count her also as a dependent. :( I did the math last night cause my goal is to buy my first home this year. I alone can borrow around 140,000 but when I add her to the equation it drops it big time to a fraction of that. Anyone no anyway around that?

Thank you guys for giving me another tool to put in my toolbox!