All Forum Posts by: Brian Wilson

my parents house in kc (3/2.5) has increased in value every year the last 5 years and is at an all time high. I think its safe to say we are at the peak in the cycle. I'm very hesitant about investing in kc right now, but that's just me. I think the  market will maintain level for another 18 months or so before correcting (pure speculation/ gut feeling).

@Dominick Burgess

Hey man welcome to BP!

You'll find a wealth of knowledge here that you can tap into pretty easily. I would put together a reading list pertaining to wholesaling and focus on your education. My business partner and I will be utilizing wholesaling to help build capital for the company. 

My biggest advice is to check out a thread (see link below) started by @Will Barnard. It gives you a good real world look into how not to wholesale. 

https://www.biggerpockets.com/forums/93/topics/583...

Good luck!

@David Dachtera

Thank you very much for your insight. So without taking an interest hit I'm hurting or stalling my credit growth? I usually let my statement hit and then pay it off a few days before the minimum is actually due. So while I don't incur interest I still let the cycle reflect on my credit report as a payment (as my payment history on mint is reflecting this and my score has gone up since I haven't made a single late payment). Or is this all wrong? If I HAVE to take an interest hit to be viewed as carrying a balance, should I put a small amount on a card and just take the interest hits and make payments on it? I personally hate the idea of paying interest unless it's on a loan (assets/investments), so this may just be a pill I have to learn to swallow.


To everyone else,


Thank you all for your insight and input! It's greatly appreciated!!

Good Morning BP!

I'm at a bit of a cross road, and thought I would seek out some sage advice from the more seasoned individuals here on BP.


Goal: Trying to increase my credit score


Current stats: (score 709 according to Equifax via mint)

2 credit cards (avg 11% or less monthly usage on credit line)

-one account was opened in Jan 2016 the other in Jan 2017

5 total inquiries on my Equifax report

Average age of credit is 11 months

No debt

No additional loan history ( I've heard debt diversification helps boost your credit?)

I regularly check Mint and have been slowly increasing my score since getting my first credit card. However after just one inquiry for a home loan it brought my score down 13 points.


So my question is, since I only have 2 accounts open should I open more? How long do you normally wait between opening a new account?

Any additional advice and insight to helping me build my credit would be phenomenal, my short term goal is to leave the low 700's and go into the 740 range then ultimately beyond.


Thanks in advance!

@Vinny Lopes,

I'm fairly new to REI, so take what I'm about to say with a grain of salt. If the numbers work for the properties and you will see a larger profit by holding and renting them, then why not hold and rent them out?

Some things I would consider is that if you do use them as rentals:

-Will the potential wear and tear by tenants significantly decrease the resale value?
-Will this devaluation mitigate all of the returns gained during it's time as a rental?
-Will you have to rehab the property before resale?
-Will the cost of this rehab cut into your final ROI/profit margin?

Maybe holding it will allow your market to heat up and the properties to appreciate?

The most common question I see more seasoned investors ask when people pose the "should I sell or hold my property" question is: "do you have any plans to redeploy your capital gained from the sale, that would make you more money than if you were to hold onto the property as a rental"?



Best of luck!

@Caroline S.

Welcome to BP!


I moved out to the DC metro area about 8 months ago, as my career field only exists in major cities (particularly the east coast) so here I am!

For my investments I'm focusing in my hometown of Kansas City, MO. As everyone has already said, it's a fantastic market. MFH are very doable in the area's surrounding too, just be very cautious about where you buy. There are some maps floating around with good information surrounding outlining areas by risk. If I find it I'll PM it to you.  If you have any questions about KC, feel free to reach out to me.

Best of luck!

@Russell Brazil,

That makes sense. Thanks for your input and advice!

@Chinmay J.


House hacking was part of the plan! I just wanted something that would fit my budget should it be vacant (other than myself) at any point in time. Any imput on where I should be specifically looking? I agree with your idea of staying closer toward the city and eating the higher price.

@Russell Brazil,


I was looking into Alexandria, but I'll have to look a little harder to get a deal that works. Most properties seem to be north of 300k, but I haven't looked into Springfield yet. Any thoughts on buying a distressed property to get forced appreciation upon rehab, or is TK the way to go around this area? 

I appreciate the referral!

Thank you for your time Russell!


V/r,


Brian M. Wilson

Good Morning BP!


I'm a Kansas City transplant living in the DMV area. I currently work in Reston, VA (bit of a commute) but will likely be working closer toward the DC area in the immediate future (1-1.5 years) so I'd like to get a property that makes sense logistically.

Additionally, considering how high my rent is for my 1/1 Apartment in Huntington, I'd say it's safe to assess DC and the surrounding areas, yield very high rents. Therefore I'd like to stay closer to the Fairfax County and surrounding areas.

I'm still very unfamiliar with the atmospherics of my local market, as most of my REI is focused on my hometown market of Kansas City, MO (where my business partner still lives) for various reasons. However if I could obtain a couple properties while living out here, that'd be pretty awesome. I'm open to house hacking, but would like to be able to float the rent if I can't fill the room.


So my question is, what advice would you all have considering the following?


Budget for mortgage: 1800/m

2/2 or 3/2 layout (Preferably a SFR)

Turnkey or Rehab (no preference, just whatever would be better given the market)

Will be using FHA loan

I'm sure similar questions have been asked here in the past, but before I reach out to a local agent, I wanted to get a feel for what I should be looking for from my more seasoned investors here.

Thanks in advance for your time!

@Jason Smith,

What skills do you bring to the table? What are your goals?

As a general answer I would say regardless of what you want to do investing wise you need SOME amount of money. Whether that's a few thousand to start a marketing campaign for wholesaling or as a down payment for a property to flip/rehab/rent/etc. Everything costs something. You may be able to partner with a seasoned veteran and use their capital, so I'd say depending on your goals networking should be your biggest priority.

R,

Brian M. Wilson