All Forum Posts by: Brian T.

@Christopher Giannino @Stephanie P.

Thank you! I've been looking into this and your feedback has been helpful. I've connected with a mortgage broker who is also talking to me about my options. It seems that starting with a 4-plex is the best strategy using FHA financing and going from there.

@Christopher Giannino

Thank you! I've been looking into this and your feedback has been helpful. I've connected with a 

@Steve Kontos

I need some place to live currently so that needs to be part of the strategy. This would be my first property - ever. So I'm trying to do it to set myself up with a place to live for myself (while maintaining it as an investment) AND for future ability to further invest within a short period of time. 

I would never have thought about out-of-state investing and would see that as a bit of a challenge currently given my limited time as well. 

I figure if I have to pay rent anyway, why not start with a smart investment that I can live in temporarily as I build a portfolio. I wouldn't mind necessarily moving every 2 years or so at first to build up enough capital to establish a primary residence with enough left over to continue investing. 

@Steve Kontos @Jeff Dulla - Thank you for your feedback! 

I have been thinking it was a tough strategy. I was looking at FHA owner occupied financing at 3.5% down, living in for the required amount of time, then if possible moving into another FHA owner occupied. Is that doable?

The other option was house hacking with MFH, same 3.5% FHA financing but again looking at approximately 2yrs out looking to repeat the process. I have limited capital and am looking to limit my initial cash investment with each mortgage. It seems like unless I have 20% down (I live in CT with high housing prices so you'd be looking at $20-40K+) I'm stuck. I could do an FHA owner occupied for my first mortgage, but then what?

I've been reading up on all the different strategies (house hacking, flip, BRRRR, wholesale, etc) and lets say I'm thinking house hacking / BRRRR, it still seems I'd run into the same problem. Or am I missing something? I feel like there has to be some strategy to do either with limited capital.

Hello, 

I'm new to investing and am looking to purchase my first property. I'm looking to live in it for about 2 years and then purchase another property to either live in or rent out, and continue the cycle. 

I'm trying to figure out financing strategies. I am currently debating whether to go the MFH or SFH route and each has advantages and disadvantages I'm sure, so I'm looking for guidance.

Say I choose either (SFH or MFH) and am looking to purchase again in 2 years, what are the financing hurdles I'll need to consider?

Anyone have any guidance or feedback?

Thanks
Brian

Thank you @Gina Baker and @Terry Flynn! 

I definitely appreciate the support and feedback!! Both god advice.

I'll definitely check out the book Terry. Although, my job is more like the 9 to 9. Ugh.

Brian

Hello, 

I am a 40 year old self employed professional who is tired of the professional life seeing client after client, hour after hour, for the same standard rate (I'm not in the right quadrant!). I am interested in starting a new career in real estate investing (I'm sure you've all heard that a million times!). I live in the northeast. 

I am working with a realtor who has sent me some listings for a condo (I know!) and multifamily properties. To be honest, I'm not really sure which strategy I will use just yet. This would actually be my first real estate purchase. So, I am looking at something I need to live in while also being able to make some $$ at some point, to start out. 

The first is a condo short sale for $116k for a 2 bed 1 bath, no garage, but a finished basement. Seems to be in decent condition and supposedly a great location in the area. The realtor says comps are between $160-180k if I add a 1/2 bath and clean it up. HOA $252. It seems to be in pretty decent condition from the pictures, but I haven't seen it to say for sure. Seems like it could be a good investment for a short term gain. If the HOA lets me I could use the BRRRR strategy, right??? or I could just sell and cash out?

Thoughts??

The second are a few multifamilies that I'm still running the numbers on.

But I have a few questions on both...

1. If I am not going to use a PM, do I still need to calculate that into the expenses? I know some of you say to do it "just in case". But, does it really matter if I'm pretty certain at this point I wont be using one?

On the multifamilies, WITHOUT PM, I'm looking at a 9% cap rate and for at least the two I've calculated it looks like 95% and 97% COC (crazy, right??? prob not calculating correctly). Each is an FHA loan with 3.5% on about $280k = down payment of $9500-9700 and each comes out (with me paying some of the PITI) at $769-854 cash flow. If I didn't pay any of the PITI, I could probably live there free.

2. I haven't seen the units so don't know the repairs yet. Does this get calculated into the sales price, down payment, or some other place? How does this effect the numbers?

Please bear with me, as I obviously don't know all that much what I'm doing... but will someday! :) just looking for some guidance so I don't make a big mistake.

Brian