All Forum Posts by: Account Closed

Hey all, just seeing if anyone has any insight on the following. 

If looking to tie up the least amount of cash possible, would the risk outweigh the rewards if looking to purchase a low value home (80-95k), no major updates needed just minor cosmetics but not in the best area/ possibly sub par tenant prospects .  

Or would it be a better idea to just ponie up more cash and buy a property in a better area (150k) with better prospective tenants. Still only cosmetic needed.  

I'd be looking to just a buy and hold . Clearly the second option sounds better, however, since it would be my first purchase  I'd feel more comfortable starting with something much smaller in value and tying up less cash (20%down). Has anyone purchased both of these scenarios ( a lower value/ less attractive area and higher value/ better area). Would the pros outweigh the cons for either? 

@Ramon Flores  Thank you. Do you have any experience in the Strawberry Mansion area? A few people I'v spoken with have mentioned it for good cash flow? 

Hi BP, 

I'm currently in the very beginning phase of how I should approach making an investment in real estate. My initial cash investment would be conservative so figuring out how that will limit my options for available properties and location in Philadelphia. My first task at hand is understanding possible lending options that would be available to me based on type of property and location. 

The type of investment I'm looking to make is buy and hold. Pretty much following the BRRRR methodology.

I'm not looking for anything that would require major rehab (150-160k). Since I feel that my price point would be on the lower end, I feel that its inevitable some rehab will be required. I figured the conventional loan would be the way I will be going. However, my only issue is understanding how to receive enough through the loan if the property requires rehab? I assume the loan would be based on value of the property at its current condition rather than after repair value?

Any advice on the best place to start would be greatly appreciated!  

Hey Everyone, I am looking for some feedback and greatly appreciate any other helpful insights.

Currently in the Philadelphia Market - first time property investor. As I look to ease into buying real estate I am conflicted if I should consider purchasing a condo/apartment over a single family home. My thoughts are for the limited funds i have available the first go around it might be easier to go with a condo /apartment because of less rehab and structural issues that could go wrong.

In addition to not being able to do most of the work myself if that was the case costing more money. Also, with an apartment in the city of Philadelphia I feel that it would be a quicker turn around time. Since this would be my first purchase I'm not too concerned with seeking high rates of cash flow. Since i would like this to be a long term investment and use this as an easier way into learning the ropes. I know the downside of an apartment are the HOA fees will cut into my cash flow, but if I can get a minimum of 100$/ month after all costs I would be satisfied since the mortgage would be getting paid.

Does anyone have any thoughts on this approach? Or any insights the the Philadelphia market? Thanks!

Hey Everyone, I am looking for some feedback and greatly appreciate any other helpful insights.

Currently in the Philadelphia Market - first time property investor. As I look to ease into buying real estate I am conflicted if I should consider purchasing a condo/apartment over a single family home. My thoughts are for the limited funds i have available the first go around it might be easier to go with a condo /apartment because of less rehab and structural issues that could go wrong.

In addition to not being able to do most of the work myself if that was the case costing more money. Also, with an apartment in the city of Philadelphia I feel that it would be a quicker turn around time. Since this would be my first purchase I'm not too concerned with seeking high rates of cash flow. Since i would like this to be a long term investment and use this as an easier way into learning the ropes. I know the downside of an apartment are the HOA fees will cut into my cash flow, but if I can get a minimum of 100$/ month after all costs I would be satisfied since the mortgage would be getting paid.

Does anyone have any thoughts on this approach? Or any insights the the Philadelphia market? Thanks!

Hey All, 

So a first time real estate investor finally looking to make a jump. I have a few questions I was hoping some people could provide a little insight to. I currently live in Philadelphia but would be purchasing a property in Ohio. Does anyone have experience dealing with setting up an LLC (foreign?) that is associated with their rental property. I believe a foreign LLC is required because I live in PA but would "operate" in Ohio, is that correct? Would this be beneficial for tax purposes as well? Also, is there any input on S-corp or C-corp?

Is the set up process fairly straightforward, or would it be beneficial to seek someone out for assistance setting it up?  

Any other additional input would be great! 

@Garrett Sowle - Thanks for the insight I appreciate it! My only hesitation to house hacking right now is since I've been researching the Philly market, primarily within the city and outskirts, I haven't come across many duplex's that are in areas I would like to live. Maybe I'm not looking in the right places or using the right resources?  Would you have any resources you could suggest? Would you say there is a large supply of these properties in the city or neighboring neighborhoods? 

 Awesome, Thanks @Jeremy Fisherand @Account Closed for the insight. 

@Jeremy Fisher, thanks for the insight. Your first property you just completed, which area did you happen to purchase in? Did you happen to do the rehab yourself or did you use a contractor? 

Thanks @Joe P. - I have the capital, however i'm seeking advice on the best way to deploy it. Since this will be my first deal I'm thinking I'd like to start on the lower end range. Seeking opinions on the best ways and or areas to do so, (ie: suburbs, outskirts of city)