All Forum Posts by: Corie Carpentier

Thank you to everyone who provided input. This is exactly what i was looking for! Thanks for being honest with me

I think im going to back out while i still can and try to find a better deal!

@Pete Harper

I would be manging the property myself for now so i didnt estimate that.

I dont think i that i could get much more than $1600/Mo right now

@Eric James

Thanks Eric. Yeah this would be our 2nd rental property to aquire. So trying to figure out if we want to buy one that is basically ready to go since we already have renters in line. Or buy one and brrrr it which would take a little bit longer to get done..

What would make these numbers look more ideal to you?

@Renee Moomey

Some of the problem came from misunderstanding of the loan. At first i thought i was going to be able to do 15% down with a 30yr conv but didnt realize that the loan offered was a 20yr ARM, which didnt make since once we talked about the numbers more. So then we went after a 20% down 30yr conv.

We do have an appraisal contingency in the contract also

@Greg Scott

Im sorry it's $50k down. $70k is about what we have in the bank at the moment. Which $50k still seems like alot for this deal

Thanks for your input

So I have a deal under contract right now. Im currently in the option period(inspection is today). We have looked at and made offers on several on and off market deals. Most of the houses for sale right now need work or updating. The other houses available would cost us about as much if not more to buy and rehab to be able to get the rent we want. This one could use some love but nothing major.

The house that we have under contract is in a great neighborhood that we are very familiar with. We have watched the value of houses in this neighborhood climb like crazy over the years. The tax assessed value has gone up about 10k$ every year consistently.

This house was built in 2013, vinyl plank floors, granite countertops, pex plumbing, 1450sqft plus garage and fenced in back yard.

We got it for $220000, which is high for our market, but less than asking. PITI with 20% down at 4.325% interest would be about $1290 and we would rent for 1600/month. We have renters ready to go after we close.

We have about $70k in the bank at the moment, but Im struggling with wanting to put down $50k in down payment and closing for this house for $300/mo cashflow. I feel like it would limit me from being able to buy the next deal, or find one that we could brrrr, or something.

Am I being dumb for struggling with wanting to commit to this deal??

How can I negotiate a better price after the fact??

Any thoughts, suggestions that might be helpful?

So the reason I think the value will go up in the next few years is because the builders for this neighborhood just finished another neighborhood on the other side of town and all that those houses have done is go up in value especially since they stopped building new houses at that location.  So I have a feeling that this house will do the same once they are done building in this neighborhood.

The escrow is way off because when they did the first appraisal when we bought the house they only had the land accounted for on the taxes. Then they threw in the updated taxes plus the current years estimated taxes. So basically 2 years of taxes on one escrow until we are caught up.

I have a rental property that we bought new in 2017, its a little over 1800 sqft, we bought it for about $235k. We lived in it the first year, then bought a house to do a live in flip. 

We now owe $185k on the house. Our tenants pay $1600 a month and have been on time every month for the past year. We are getting close to the end on the lease and they asked if we would be willing to sell.

The neighborhood and house should appreciate in value significantly over the next few years, so ideally I would like to keep the house as rental. 

The kicker is that our property taxes/escrow went up so we from cashflowing 350/month to breaking even everymonth. So we either have to try to raise rents, keep breaking even, or sell.

Hi

My church needs some updating done to it but "we can't afford it" is always the response, so it is brought up at the quarterly business meeting and nothing gets done. 

My investor mind is wondering why we can't do a home improvement type loan,  update and do what needs to be done,  then refinance with a higher appraisal value. 

It has been 30 years since any major updates have been done and you can tell. 

Does anyone have any experience or insight as to how this would work? 

Hi,

My Wife and I just purchased our first investment property. We found an outdated house one of the best neighborhoods in town. We just closed on that property a little over a week ago. 

We currently own a new house that was built before we moved in, and it is in a developing neighborhood, we are going to rent that house out then move into the house we just bought and do a live-in-flip and possibly sell or rent after two years to avoid the capital gains tax on the profits.

Our goal is to get as much stuff done to the house as we can before we actually move in because we have two small children and it will be rough trying to live in construction zone with these two crazy babies.

So, so far we have taken out the whole kitchen, removed ugly tile in the living room and two bathrooms, and started demoing the laundry closet. We have alot of work to do and not very much time to do it with our crazy schedules. I am having to get up at 4:30 every morning to go work on the house until i have to go to my job at 7:30. 

It is kind of a scary process, but it is exciting. I am writing for anybody who may be doing the same thing, if someone wants to learn about how we are doing it, or if anyone has any advice from lessons learned, or encouragement for the road ahead. 

Thanks for stopping by, I'll try to keep this thread updated as we go. Also ill be here to respond or answer questions.

My wife is also documenting our journey on her blog if you want to check that out, she has pictures of what we have done so far. Check out her blog at arrowsinaquiver.com