All Forum Posts by: Amanda Hensley

I have one SFR and one condo. The rents are the same, but you have to consider condo association fees (and your lack of control in when those are increased and by how much) into account when you are analyzing the numbers. For us, it still made sense but that is not always the case. Townhomes can also have association fees. So just do your due diligence.

As far as your financial storm, I would try to spend way less on a wedding than perhaps you're planning, so that you can save for another home.  But I got married in jeans in a public park (and that was exactly what I wanted) :)  So I may not be the best to advise on this.

An alternative if you're willing to consider it, is to move into the new property so you can get owner-occupied loan terms, which come with much less down payment requirements, and you can rent out your current home.  

Welcome to BP - this is a great place to learn and network!

J Scott wrote an excellent book on how to estimate rehabs, and it's sold on this site.  It is worth the money to read.  He wasn't a contractor either, when he started out.  I highly, highly recommend that book.

There are portable, remote security systems you can purchase and set up in the unit.  

I try to keep 6 months of expenses in the bank (including mortgage payments, mgmt fees, taxes, insurance, vacancy calcs) for each property we have (including our own personal residence).  I haven't seen a formula yet - I think it mostly depends on your personal risk level.

@Marcia Maynard - GREAT post!

@Jay Hinrichs - you always bring such good knowledge and perspective to the table, thank you for starting this conversation.

This has been a GREAT thread to read, with everyone's perspectives. So much good info here.  Thanks, everyone.

I also vote for not selling and using your HELOC as a down payment/rehab of your next property.

I chose a solo 401K as opposed to a self-directed IRA because I wanted complete control and the higher contribution limits a 401K would provide. It's through my (non-real estate) business, but I don't think that would matter (as long as you had a business with no other employees). I chose Sunwest Trust to help me file my paperwork and I was pleased. I use it to invest in alternatives (gold/silver, etc) as well as to loan myself money to buy real estate. It works pretty well, for what I wanted out of it.

With my Homepath loan, I had no choice but to escrow the taxes and insurance with the lender.  With our personal residence it was our choice, but I did choose to escrow them (It's just easier for me).  I have heard many horror stories about lenders not paying property taxes (on time or AT ALL) and so I ALWAYS check on that, to ensure that they're doing what they're supposed to.