All Forum Posts by: Anthony Phillips

So I am almost done with my 2nd brrrr property this year. I completed my first property and was able to cash out all of the property cost plus rehab cost. I bought in cash and when I went to refinance the interest rate went up 1.5% from when I purchased. I self manage the property and the property cash flows about $200 or so a month without taking into account cap ex and vaccancy. The property I am about to complete will be in about the same boat if I refiance the property. I know I would be able to sell the current property after finaishing for roughly 30k profit pre tax as a flip. The same would be true with the first property but that property would now be able use a 1031 exchange after the tenants lease is up.

My question is would you take the small cashflow now for in the possibllity for increased cashflow in the future when or if  the interest rate drops below 7%? I could cash out of the property to put into another project. I know the tax burden will be pretty high for a short term gain.

I am currently at a w-2 full time now and do real estate on the side. My goals would be to do real estate full time through rentals and or flips. Ialso got my real estate license this year and would like to keep growing into that position too. I know with properties that only cash flow a couple hundred a month would take me a long time to replace my income. I would love to hear your guys suggestions and how you are building your portfolio for the future.

Quote from @Skylar Jennings:

Hey BP Team! My husband and I will soon be moving from Oahu, Hawaii to Cookeville, TN (in between Nashville and Knoxville) and are looking for any/all recommendations for Team Members in the Middle Tennessee area. This will be our first property that we intend to house hack but we are looking to build a Team as our next move would be in the STR realm within the 2023 year. Thanks to BP, we have been connected with one lender, but would love to hear any recommendations for additional lenders, investor friendly RE agents, contractors and RE tax professionals.

Additional details: We intend to house hack a multi-family but are open to a single family if the numbers work. Our current max budget is around $350k depending on the loan type. Thank you!

Did y'all find a place to house hack. Check our around center hill lake. There is some really good short term rental potential up there.

Quote from @Christopher Crooks:

I’m 19 years old looking to get into real estate!

I make about 70k annually with no debt.

Any advice is welcome. Thanks

Your in Nashville find out what your can afford and house hack. The more bedrooms the better.

Quote from @Mark Huneycutt:

Quote from @Leslie Anne Morris:

Quote from @Mark Huneycutt:

Quote from @Leslie Anne Morris:

Sounds like you're keeping it. I live in Nashville half time and don't have any STR here for this reason.

 I just lowered the price by 50k a few days ago so hopefully not. 

 Share the address

 Ha okay

https://www.zillow.com/homedet...

https://abnb.me/3YuqswZTJvb

Well seems like your under contract. At that price point with interest rates its a hard sell. I think a property in that area would have flown off the market. As everyone has said you are basically selling to a regular buyer at this point with no permit transferring. Have you ever thought of partnering with someone on the property to lower the risk and you keep title of the property?

I am in the Nashville area currently in the real estate and construction field. Lets connect!

Is it going to be m mobile home park or more or less a campground?

Quote from @Josh Goertzen:

@Anthony Phillips This home is in Shelbyville, Tennessee. It is getting a good amount of attention, according to our realtor, since its a nice home in the countryside and not too far from town.

Got you I know where you are at. I think your numbers for your rental estimate are pretty high in my opinion. I am getting in the middle of that range and I am about 35 mins from Nashville. If a property manager in the area says he has tenants ready to go in that range that would change my mind tho. If you do go and sell the property houses are sitting a little longer and seeing alot of price reductions. I would say vet that property manager and see if you could possibly get at lease $1800 wait a year or 2 and see where the market goes. Send me a DM if you would like to chat.

Looks really good!

What part of middle Tennessee? Most properties are still moving pretty quickly if they are priced right for the area.

Investment Info:

Single-family residence buy & hold investment in Lebanon.

Purchase price: $235,000
Cash invested: $15,000

Single family home purchased for 235k. Put 15k for the rehab. House appraised for 325k. I cashed out 250k with a cashout refi.
The property currently cash flows $250 per month and is financed with a commercial lender.

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

House was in need of rehab and a distressed seller so I was able to secure the deal 15k under asking price.

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

On the MLS

How did you finance this deal?

Cash buy and after rehab switched to a loan with a local commercial lender.

How did you add value to the deal?

2 Bathroom renovations and paint throughout the house

What was the outcome?

A successful brrrr and cash flowing property

Lessons learned? Challenges?

Try to find all contractors right when the deal closes. Get multiple bids. Order a dumpster for trash out