All Forum Posts by: Corbin Wafford

(Hopefully) Soon many of us "newbies" will be making their first moves in the REI world. It's quite a daunting idea that seems to overwhelm a lot of first time buyers for various reason. One reason that I have recently run into whilst searching for my first MFH home (specifically in Louisville, KY) is, what exactly gives me a competitive advantage? What sets me apart from an experienced investor in my area? How can I find a good deal when I am going against the "top-dogs"?

Sure, sitting at home alone browsing the computer/phone for potential deals and running the numbers can be easy/exciting, especially when you find one that makes sense! However, someone else is likely doing the same exact thing and has found the same exact deal. That being said, the question that I would like to open up to the community is:

How can or how do you think a newbie investor, with little (or no capital), can have any sort of competitive advantage in a market with experienced investors in the midst? What can a newbie investor do to set themselves apart to potentially land a "killer" deal? How can one proactively better themselves to achieve those better deals?

Specifically related to my situation (finding a multi-family home to house hack for a year), the only way I can imagine I find what I would consider to be good deal is that if the numbers (such as DSCR) do not work for an experienced investor and they pass it along for the newbie investors to feed on. 

OR, I am not too familiar with the clause, but I heard on a BP podcast that there was something that allowed first home buyers the opportunity to bid on the property before other investors could (I believe it was something like a 30 day time window for new buyers only).

Lastly, this just came to mind whilst typing, but could newbie investor may be able to get a deal over an experienced investor if the property does not have much value-add potential? Just a thought.

I understand there are countless variables that can be discussed, so I would love to hear your feedback. 

Thanks!

@Account Closed Hey Tim, thanks for sharing the document. Had a question for you and hopefully it helps others as well. 

I am not too familiar with book-keeping just yet but I am in a similar position as Rosy (buying my first multi family property within the next 7-8 months). That being said, I was curious if you could potentially elaborate or explain what the sheets labeled with the months are for (such as Jan, Feb, Mar)?

The main variable that is confusing me is the "mileage/miles driven" and "mileage calculator". What exactly does this pertain to? 

Anyone, feel free to hop in and help answer. 

Thanks!

@Billie Miller and @David Zhang, I appreciate both of your inputs. I will be sure to reach out when the occasion arises as it gets closer to making my initial purchase/once purchased, for advise.

@Thomas Franklin, thank you for the comment. This is very helpful information and I am glad I am hearing it sooner than later. A couple questions, if you are not a fan of "house hacking", what other advise would you give to a newbie investor (like myself) to jump in REI? BiggerPockets loves to advertise how beneficial "house hacking" is, so I figured that would be a good starting route. One of there most recent book released by @Scott Trench (Set For Life) even has several chapters that recommend this approach.

Secondly, if I do take the "house hacking" route, you make it appear the only logical route to take is Seller Financing. Are there any other avenues I can pursue (for funding) if I cannot find a motivated seller that offers this product?  

@Latoya Trueblood

Pulled this from an old post on BP with a Google search and it does a great job explaining the concept:

House Hacking is generally when you purchase a property and you live in while you also rent out part of the property.

Say you have a duplex you've purchased, while you are still fixing it up, you rent out part of it.

You can go to the following link and learn more about it:

http://www.biggerpockets.com/renewsblog/2014/11/20/a-new-way-to-look-at-the-concept-of-house-hacking/

@Jay Leisten and @Cameo Bennett, I appreciate the welcoming messages! I will be sure to reach out to either of you when and if the time arises (which I am sure it will!).

@Pavel Reyes Valdes I do not expect cash-flow from "house hacking". I just expect to hopefully alleviate or complete eliminating my living expenses in order to save at an exponential rate compared to what I am able to save at now. The end goal is to eventually save enough money in hopes to purchase a second property where the primary focus is entirely cash-flow/passive income.

Thank you for the 60-90 day recommendation, I will start browsing the market soon in order to get an idea of where I would like to live, cost of housing, etc. Thankfully, if my lease expires, I have the potential to live rent free for a short period by staying at a friends/local family place while the process wraps up!

Hello,

I started reading Set for Life by Scott Trench, great read so far! A big proponent of the book that Scott seems to adhere to is the idea of house hacking. Which essentially seems to be the best way to propel myself into a great future (in terms of REI) by eliminating one of my biggest spending buckets (living expenses).

That being said, I am currently renting from an apartment complex until February of next year. The goal is to find a duplex/triplex and live in one unit/rent the others out by the time my lease expires. The question that stands currently is: When should I start house shopping and in terms of finding a place/which approach should I take? 

Currently, I am using all the web apps out there to look at homes in my area and networking with local investors. Next step I have is to reach out to a reputable realtor and have them help me find local properties close to work. Any other ideas?

Does anyone else have a similar goal as mine? Those that have already walked this path, do you care to share your story/experience in this sort of setting? What are your next plans?

I would love to hear your journey (especially if it is in Southern IN or Louisville, KY)!

Thanks Adam!

Do you by chance have the link for reference? When I googled Biggerpockets top 20 books, I was directed to several post about "the best books to read" off of BiggerPockets site.

Appreciate the help and the reply!

Hello!

I am new to the game but love learning about real estate. Currently, I am listening to podcast, audio books (currently "How To Win Friends & Influence People"), and reading (The Ultimate Beginners Guide (UBG) and Rich Dad Poor Dad).

In the UBG, it states that learning the lingo and understanding the terminology/processes/education is the first place to start. So, with that being said, other than what I am currently doing, could you please share with me some resources that have helped/helping you grow (other the forums)?

Much appreciated!