All Forum Posts by: Armando Neri

Straightforward question -- what credit card do you use to fund your material costs in a renovation? Why did you pick that card?

Before I explain my situation, let me add some context. I have solid money management skills, and have a six-figure career so I'm highly confident in my ability to repay the credit card debt (if incurred). I have a credit score that ebbs and flows around 800. We can all agree that having credit card debt isn't favorable but if used correctly, it can add flexibility to the renovation project. I'm not here to debate whether I should use one or not.

Now here's where I'm at today: a good friend of mine is a reputable contractor whose done hundred of quality renovations. He's let me know that I can purchase all of the materials, and I'll I'd be responsible for is paying the wage of his employees to get the job done. That said, I'm likely looking at $20k to $30k in material. My goal is to pay cash for the work and finance the material. As far as repaying ~$30k in material costs (credit card debt), I'm confident I can do that by 12 months and 100% certain I can do it by 18 months. One last thing, this is a BRRR strategy (buy and hold).

ONE LAST NOTE: This is not a joint venture with my contractor. I purchased a duplex on my own with conventional financing. Purchase price is $408k with and ARV of $600k.

I've been on BP for a number of years, mostly in the shadows learning and focusing on my career. I'm in a position now where I've saved enough for a down payment (and then some), and have officially started looking at duplexes with a realtor. I'm also pre-qualified with a lender. After walking through a few properties, I realized that the barrier to entry in Vancouver can be quite high (BRRR strategy). So much so, that I found 2 properties that (I believe) would have been solid deals but I needed to inject more capital than I have at this moment.

Now, I'm going back to the drawing board and rethinking my strategy. I'm not sure whether to wait a couple more years so I have ~$100k in capital, or if there's a better strategy that I'm not fully grasping yet. I'm sure it's the latter.

I was hoping that I could pick someone's brain on this, maybe partner on the first deal. I realize there are many ways to skin a cat and I'm going to make mistakes on my first deal. I'm excited to learn from these! But I also realize that my first deal can be a strong catalyst for my REI journey.

I've been on BP for a number of years, mostly in the shadows learning and focusing on my career. I'm in a position now where I've saved enough for a down payment (and then some), and have officially started looking at duplexes with a realtor. I'm also pre-qualified with a lender. After walking through a few properties, I realized that the barrier to entry in Vancouver can be quite high (BRRR strategy). So much so, that I found 2 properties that (I believe) would have been solid deals but I needed to inject more capital than I have at this moment. 

Now, I'm going back to the drawing board and rethinking my strategy. I'm not sure whether to wait a couple more years so I have ~$100k in capital, or if there's a better strategy that I'm not fully grasping yet. I'm sure it's the latter.

I was hoping that I could pick someone's brain on this, maybe partner on the first deal. I realize there are many ways to skin a cat and I'm going to make mistakes on my first deal. I'm excited to learn from these! But I also realize that my first deal can be a strong catalyst for my REI journey.

Perfect timing. I'm new to the area and this works out great. Thanks for organizing & I look forward to meeting all of you!

Great idea Lisa! Thanks for taking the time to get this going. Let us know if there's anyway we can help.

Welcome Jeff! I too just joined BP and I'm also located in the good 'ol Tri-Cities. Finishing up my finance degree at WSU this December and possibly looking to work in the debt and equity side of things. Best of luck to you!

Welcome Frank! I too just joined BP after doing some research on Reddit. I'm from Washington State as well, located in Tri-Cities. Finishing up my finance degree at WSU this December and possibly looking to work in the debt and equity side of things. Best of luck to you!