All Forum Posts by: Ben Unger

@Thomas S. : I understand that living in a multi is the ideal situation. I will keep looking for a MFH to buy, I just don't see any that I would be able to afford in my area currently. For me, if I evaluate a SFH correctly and account for vacancies, investor discount, ect., that property should be able to be converted to a rental in 3-5 years. All the meanwhile I can utilize the extra cash I have for another down payment on other investments either MFH's or singles.

@Cody L. : Good point. I think it would be wise also to pick a location where pricing is not as inflated due to everyone wanting to live there, hence returns would be low in those areas and costs really high.

So, would I assess my first live in SFH as an investment property, and seek an area that is maybe up in coming, not cost inflated yet, but is still showing signs of potential growth? This way there is potential for equity growth, and better cash flow?

We were looking around the Katy area of Houston. Any other areas that you suggest or have found could be a good starting point for research?

Hello BP community,

When buying any real estate property, regarding your own to live in, do you run an analysis the same as if you were going to make it a buy and hold rental? If so what are the basic numbers you would shoot for? (i.e. 10-20% below market value, NOI, Cap Rate..ect)

That is basically my current plan/strategy. I would like to buy my 1st home to live in for 3-4 years where the numbers workout up front based on assessing the purchase as if it would become an immediate rental property. Then after a 3-4 years I would move out of the property, rent it, buy another home and do the same thing. 

All the mean time acquiring other properties during that same 3-4 year time period to build my real estate portfolio. The reason being is we are currently in an apartment plan to move out around September.

My wife and I would house hack or buy a duplex/quad to start out, but we seem to cant find those types of properties in Houston, relative to where we both work. Plus, multifamily homes in Houston,  from what I have seen are either really expensive or in a bad neighborhood and need a lot of work.

Thanks in advance for your answers!

Hello BP community!

I am a newbie to real estate investing, and like others, have come to this forum to reach out, meet new people, learn the business, and gain confidence to take the first step in real estate investing.  

I appreciate any guidance, comments, and questions that will help me get started.  I have already been reading and researching to gain the knowledge required to make my first investment purchase and also establish an investment plan for the future.

A little bit about myself; I'm 26 years old and work as a engineer in the Energy Corridor of Houston, Tx. My wife and I are looking to purchase a home next year, but we are not yet sure on the best option/strategy to take. We want to focus on "buy and hold" but also want to have a home of our own.

Thanks in advance for all your advice!