All Forum Posts by: Account Closed

Thanks @Will Fraser for the input - what do you mean by "It would be simpler just to buy a 4plex in that case."

Wouldn't I still have this hurdle even with a quad or am I forgetting something?

To avoid the refinancing hurdle, maybe it makes more sense to do conventional loans at 5% down instead of FHA?

I have approximately 5 years renting SFH and am looking to scale, so a younger family member and I are looking to partner on some deals moving forward. The basic structure is similar to the deal Ashley Kehr described with her sister on pod #348 - my younger sibling would live in a MFH, we'd get an FHA loan together as she would live in the property, and I would fund the deal.

How should we structure things, basically who should get what? Is everything 50/50 fair? 

How will we be able to repeat this strategy yearly? Constrained to having to live in an FHA for a year (and only being able to have one FHA at a time), how can we refinance out of the existing FHA yearly, to something creative, so we can rinse and repeat yearly?

@Sean Maroni what probability do you put on the Downtown South proposal happening? Things seem to be trending well and if he's closing shortly, he must be very confident in getting the necessary funding from the city.

Thanks @Chris Martin - I missed that. Is there any guidance on whether or not a studio apartment (one room plus a separate bathroom) would count as a "guest room"?

Do you think it would be legal to rent out two of these units and comply with this ordinance?

thanks @Jon A. yes I've found the zoning requirements which use the term "room" and "cooking facilities" that aren't quite defined. I'm wondering if a studio unit - one room plus a bathroom - would count as one room in a property. I'm also wondering if a makeshift kitchen with only a sink/fridge count as "cooking facilities" since there is no stove/range.

Does this eliminate multi family homes from being Airbnb'd? I'm looking to go this route with a quadplex in Raleigh (4 separate studios units) while owner occupying one of the studios. I would rent out 2 of the units as Airbnb, and find a long term tenant for the 3rd unit, while living in the 4th myself.
Technically, the studios are only 1 room, plus a bathroom. They do have separate "kitchen" areas but don't include a stove/range, so I'm not sure if this qualifies as a kitchen in this case. Would this be illegal under this new bill?

I can vouch for Raleigh. 1% rule properties don’t really exist here but you can definitely cash flow better than that here. 

You could consider 1031 exchanging your current property into something here to postpone capital gains taxes. 

Hi Justin,

I'm an investor in Raleigh, happy to connect. I've also been looking at the Fayetteville area.

Any experienced MHP investors out there? I'm working through analyzing bigger deals and came across this one:

https://www.loopnet.com/Listing/Hopkins-SC/16714295/

To note, all but one of the homes appear to be owned by the lot so maintenance/repairs could vary wildly year to year and would require quite a bit of work. Other than that, the deal appears to net ~$250k/yr after expenses (not including prop mgmt I believe).

One thing I noticed, in 2017, expenses were ~$40k higher than 2018 and for 2019 (projected) due to "completely rehabbing several units"

Just as an update to this thread, @Dawn Brenengen and @Henri Meli, I purchased Home #3 and turned Home 2 into a rental, so we have 2 rentals and one we're living in.

I've gone down the rabbit hole of BRRRR investing and will likely go that route next. I will probably refi and take some cash out of Home 1 to use for that.

Also, thanks @Ryan Daigle for the interesting research!