All Forum Posts by: Ben Frazier

I went with AMMT Management out of Cedar Rapids and the property is in the Wellington Heights neighborhood!

Investment Info:

Single-family residence buy & hold investment in Cedar Rapids.

Purchase price: $49,000
Cash invested: $12,000

Purchased a move in ready $49,000 single familia's home, with only a few cosmetic fixes needed. $320 a month mortgage collecting $900 a month rent.

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

Passive income and quick equity building.

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

Thought a Realtor.

How did you finance this deal?

Conventional Financing.

How did you add value to the deal?

Scouted out a property manager that has experience in finding tenants for the area. I also purchased a coin operated power box to regulate the down stairs laundry machine. This will bring in an estimated $20 bucks extra cash flow a month.

What was the outcome?

The deal went through smoothly and a tenant has put down a deposit.

Lessons learned? Challenges?

I learned much more about the loan qualifying process while doing this deal through the COVID epidemic. E.I during COVID non-liquified retirement assets could not be counted in your net worth due to the high volatility of the markets.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Natalie Parker of IA Reality,

Hello my name is Ben and I currently own one Primary residence and 2 rental properties. I want to continue expanding but my lender is telling my she cannot include the rental income from my rentals into my DTI until I've reported them for 2 years on my tax return. This is difficult because I've only owned them for 7 months. Is my only option to wait the two years to expand? Because I don't currently have the capital to purchase in cash and need financing.

Open to suggestions!

@ Bryan O. unfortunately it is not a walkout. It has a below ground egress window, but at least that makes it a rentable room! Fortunately I am not a disabled vet, but could you please tell me more about this VA funding fee. I'm also interested in this FHA option I hadn't considered alternating between the two.

Thanks.

@ AJ Leman thanks for your comment, I've had a craigslist ad up for a couple weeks and still haven't heard anything. Also, Zillow will only allow me to post the house renting as one whole unit but not as individual rooms..

1 year ago while serving in the Middle East I decided to begin studying real estate investing. I am finally at the point where I will be able to jump into the real estate  game. I am starting with purchasing a 3 bedroom (two BR upstairs and 1 finished basement) 2.5 Bath townhome in North Liberty IA for $167,000. This TH has a rough in for a third bathroom in the finished basement which I plan on finishing. I am asking for some guidance on how to maximize cash flow with roommates while I'm living there before owner occupancy. As well as tips on seeking out solid roommates outside of peak rental season.

Additionally if anyone would like to offer advice on reusing my VA loan for my next property when I turn this one into a rental please do!

Thanks! 
-Lieutenant Fraz