All Forum Posts by: Chris Reichenbach

Hey Colby!

The Charlotte market is definitely hot right now, however $50k would probably not be enough for a down payment unless you were doing a live in flip. Then you could use the 3-5% down on a house and use the leftover for reno.

If you're interested in doing a flip, I'd look on the outer edges of Charlotte or towns surrounding that are within driving distance. That is where I invest now with my partner where we're looking to do more flips. Just more affordable out there.

We have a great hard money lender that covers the purchase price and renovation costs. They then come back to us with a "Cash-To-Close" number. The homes we're looking to flip in our area would take less than $50k out of pocket through the hard money lender. Let me know if you're interested in learning more!

 Definitely tough starting out! I do expired listing calls for one of the agents in the Charlotte area and do a finders fee if they decide to relist, but I have the opportunity first to buy it. In the first 3 weeks, I'm buying my second house to flip on hard money and I have one that the agent list on the market for a client looking to relist. 

It's all about being creative! Listenign to some of Pace Morby's talks can get your mind thinking!

This is a great strategy for the area if you're close to the attractions in the city!

They could also work great for medium term rentals as well.

Hey Adrian,

I'd love to take a look at the house and see if how I can help!

I am currently renovating my primary home in North Carolina and intend to get a HELOC on the property after the renovations to keep my initial interest rate. A cash-out refinance does not work in my situation since I would need a 90% LTV for the deal to make sense.

Would I be able to remove my PMI from the mortgage, since the property would have more than 20% equity from the rehab before I get a HELOC on the property?

I appreciate the insight!

Hey Baker,

There's lots of cool areas right outside of Charlotte with a lot of growth opportunities. Growing areas like the Concord/Kannapolis area provide some opportunity for affordable housing and easier entry points but they're also close enough to Charlotte to commute. Those areas would be perfect for flips, House Hacking, and BRRRR's if you find the right deal and a solid area closer to the hospitals and attractions.

Congrats on getting started! 

There's lots of meetups in the Charlotte area like Pints & Properties or the CLT Buyers. A great way to learn about what other people are doing and motivation to take the next step!

Love the strategy! I'm currently doing the same just outside of Charlotte, NC where there's a ton of growth!

There's opportunities everywhere and being precise is a good thing. A House Hack is a good strategy and it's smart to run the numbers as a long term rental to see the worst case scenario if rent by the room does not work out, or you move out.

My area works well as a medium-term rental but the numbers work as a long-term rental as well, so this gives me options.

You might need to consider what strategy you want to use. If those numbers are the long-term rent numbers, then it does not look like a good deal. Renting by the room could be a good option as well but would be about breaking even if you are living in one of the rooms. Could cash flow if all 3 are rented.

However, if you are planning on turning this into a medium-term or short-term rental on Airbnb then this may turn into a better deal. It all depends on how much you plan to spend furnishing and setting it up.

Having lived in Salisbury before, there is a good opportunity for the medium/short term rental strategy. This all depends on the location though.

Multifamily will be very tough to find in the Charlotte area and surrounding towns/cities. I recently bought a SFH in Kannapolis about 20mins from Charlotte and rent out my second room.

It may take a few weeks to find a good tenant but it is 100% worth it to take the time. Posting on Facebook Marketplace is a good way to do this since you can see their profile. You can also be a bit more picky since it is owner occupied.

It will probably not cash flow but the point of House Hacking is to cut down your expenses to save for repairs or save for the next property. Whether you save $100 or $1,000, that is still money you're keeping in your pocket and should be counted as a win.