All Forum Posts by: Carlos Vega

Its been close to two years since my first and last post. Since then I've relocated from Southern California to St. Louis Missouri area. I couldn't afford to make my real estate investment dreams become a reality or I wasn't thinking creatively. Anyways I finally pulled the trigger last month and purchased a 1600 sqft duplex (1bed, 1 bath units) for 90k with the intentions to owner occupy. Got the state to help with my down (they gave me 3600). My out of pocket was about 4100 including closing, inspection and earnest money. Currently in the process of moving one tenant out from the unit that I'll be occupying and keeping the other tenant there who will be paying more than half of my mortgage, my portion being $250!! I'm looking to put about 15-20k of work in and for an ARV of about 130k. I know it wasnt the best deal but I had to make a move, plus I'm only 2 miles from work now vs. 40. I hope to refi in 6 months, pay back the 3600 to the state and buy another duplex on the same street. My property is one of 15 identical duplexs on the same street. The goal is to own all 15!

Why would an rei ever buy a turnkey property? I understand the cash flow side and the minimal effort that would go into having to rehab, but doesn't the price you pay for turnkey ultimately eat away at that cash flow and whatever price the investor eventually sells the property at?

@Ben Leybovich Are you saying that buying turnkey isn't a smart investment in the first place? 

Thanks you guys for the information and advice. Im going to do some more research on owner financing as I never thought of that or asking the owner to make the down payment as Jarrod mentioned, both of which are extremely creative investing strategies. 

Hey Jason I'm also a Coronian looking for the same guidance as yourself!

Thank you David, if this actually fell into place an FHA was what I was planning on going with. I just read into buying multi units via FHA the other day and did read about the max number of units I just figured there were ways around it even if it meant putting down say 7% vs. 3.5 but if that were the case I guess it would still make more financial sense to stay with the 3.5 on a 4 unit. I'm definitely not set on this idea I have with my current property of interest and will definitely be looking into other multi units.

You mentioned owner financing. How is that normally different from traditional financing?

Hi readers, I'm a 26 year old guy in Southern California's Inland Empire region, Corona to be exact. I recently began renting a unit in a five unit multiplex and somehow want to talk my landlord into selling me the place, where I would continue to live for free and collect rents!  I estimate the property to be worth around 500-600k. Unfortunately my monthly income is 2-2400k. I think I would be lucky to qualify for a loan of half the amount of what I estimate the property to be worth.

So as of now I'm saving (5k now), keeping my credit score in the "excellent" range and trying to learn new ways to fund my first investment even if it isn't purchasing the multiplex I live in now.