All Forum Posts by: Brent Breitbach

are these properties all local to you or spread out? I'm looking at buying my first invetment property this time next year. using a VA loan and living in one of the units for 2 years (required for VA funding) but after that I want to reach outside of my market to find properties in the same price range you did. just curious on your experience with you properties locations

Originally posted by @Joe Villeneuve:

This looks like your first deal...because you are making all the "first timers" common mistakes.  Keep in mind this is a business, and should be run as such.

Here are just some of the list of mistakes you are making:

1 - Making decisions based on estimates.

2 - "My gut feeling..."...enough said.

3 - Not KNOWING the current sales comps in the area.

4 - Accepting negative cash flow because...?

5 - Rationalization...the most expensive work in the REI vocabulary.

This is NOT a good deal. @Brent Coombs has tried to tell you this a number of times already.

1. The decision being made on estimate is going forward to get hard numbers

2. Since when is a gut feeling to offer less a bad thing? 

3. I said I still need to meet up with an agent to get to know the comps for the area.

4. I'm not accepting negative cashflow. Because I haven't accepted the deal.

5. You missed the whole point of this post you are acting like I have pen to paper and am about to make this deal. 

Ok I see what you mean by taxes. No I would not be charging them any tax fees. 900 would be their rent. The mortgage would be roughly 940 property tax would be around 200 a month. These are estimates as nothing official

By me covering the difference I meant different  in the rest of expenses. 

I'm still looking at comps in the area and trying to get an idea for that neighborhood. 

Honestly my gut says offer 180k and I might.  I still want to talk to a agent in my area. 

And I know he will profit from that. He has been in the property for 15 years.

And I'm okay with eating a little bit of my cash flow on my FIRST property. Because it is a zero down va loan. Since I'm getting out of the military and moving back to oregon. 

I'll keep this post updated. 

It's priced at 240k I would offer 200k I'm just trying to make sure I'm on the right track or not. In oregon finding deals isn't easy. So I was just testing the idea.

It's me interested in the property not him pushing it. And no I'm not asking them to cover my utilities or taxes. It would be for thier unit only. 

so I'm looking at getting my first rental property.

I will be buying a duplex from my grandpa and residing I'm one side.

It has a long time tenants that he has never had problem with.

I am offering 200k and will be financing with a VA loan. Which will create roughly 20-40k in instant equity.

The tenants pay all utilities and the expenses come to around 1180$ a close estimate and might be less.

The tenants will be paying 900 in rent and I will be covering the difference for property tax and what not.

I plan on residing there while completing school than moving out at which it will than bring in 1800 which is about 300$ per unit for cashflow.

Does this sound like a good deal for getting started?

Hi I'm Brent,

I am 25 and looking to get into owning rental properties. Starting small and working my up to reach 100+ over the next 20 years. I don't expect it to happen over night but I'm not afraid to say desired goal.

I plan on buying my first property in about 9-12 months. I want to buy a duplex using my VA home loan. Live in one side for a little bit because you can't use the VA loan to buy property purely for investment. Than move out and buy a single family home for my family to live in for a while. And rent out both sides. While using the rental property to pay of both houses and my income from working to save up for future properties.

I plan on using these next 9-12 months to learn the best way to make this happen and how to properly aquire more properties and grow. 

I know my plan is vague but any input is welcomed and greatly appreciated.  Thanks