All Forum Posts by: Caden Wakim

@Esta Ryder said it very well.

Another strategy I like to use when finding a great contractor is to filter to sold homes on Zillow, look at some rehabbed homes that have sold, and pick a few that look really good, reach out to the owner or agent and ask for the contractors info! 

ALWAYS be sure to do you research, and verify via references, previous work done etc. that they will be a great addition to you team!

I agree with @Eliott Elias here. If you can build a relationship with even 3-5 active buyers in that market it could be a game changer for you. If you get good at finding a good deal, disposing it should be a relatively easier task.

Very great post!

The section 1 is down to a tee! You took the plunge already, now it's up from here! 

Best of luck

I second @Bob Stevens here 110%. 

Screen the tenant like you would any other, figure out through the housing authority how much rent they are responsible for, and get your unit occupied. 

I only rent to section 8. Most of my tenants portion of rent is no more than 100$... this means the government is backing the rest of the rent portion... the government doesn't miss payments... at least for now :)

Hey!

If you guys are first time home buyers, you may qualify for an FHA loan, I am not a loan officer but I believe you should qualify, someone will correct me if im wrong... if that's the case, you can put 3.5-5% down and occupy one unit and rent out the rest for the first year! After this you can move out and rent all units and cashflow a bit more.

Me personally, I usually only buy deals that I can add equity too, id try to find something turnkey but a but a bit outdated, you can then perform some updates to add value and also raise rents. Raising rents alone will increase the value of the property, and then if you can do some renovations on top of that id imagine you would do pretty well!

Best of luck

How many beds and baths? And how much is the property? I feel like 5k is high. I see some homes for around that number but they r big homes…

Hey Jeremy.

First off, you want to look at what rent you can get in your area... you take your PITI (principle, interest, tax, and insurance) and subtract that from the rent you receive and that is the amount you will net cashflow. I think step one is to make sure the home will make you some positive cashflow...

As far as insurance goes, in the market I invest in, all of my homes have a standard rental dwelling insurance, id talk to your insurance agency...

Another rule of thumb is the 1% rule... you want the home to rent for at least 1% of the purchase price, or even what its worth now... for example, a home that you buy for 175k should rent for at least 1750 to make for a decent deal.

best of luck

Hey Isaac.

I am located in the Chicago area, where are you finding a SFH bringing in 5k/mo? I feel like that's a high amount...

I have a few SFH in the Chicagoland suburbs, one of which I paid 95k for and im getting 1475/mo, and another one I paid 150k for and am getting 1795/mo.

I like these single family homes because if you buy the right deal, a solid home with good bones, you just won't run into much headache... that being said, the same can be done with multifamily... each deal will differ and have good pros and cons...

@Cristobal Soto I love what @Steven Wilson had to say! I also want to add another venture you can try to take up is wholesaling, if done right, it will be a low risk strategy to help build up some capital. You can meet with buyers like myself and I’m sure TONS of others on this app to help dispo your deals and make some extra cash! Best of luck to you!

@Megan Elliott I like that! I did this with a previous deal I was in, instead of selling I just did a cash out refi and profited almost the same as if I were to sell it! You definitely laid out a solid strategy! Have a good one!