All Forum Posts by: Daniel Kong

Ive got a great resource for you: Bigger Pockets Forums. Lol. That or Youtube...

Good luck with your DM campaign!!

Listen to every single podcast episode from Bigger pockets, read all their books, and go to every networking event in your area. You basically want to be a sponge and look for opportunities where you can trade your hustle/time for knowledge, coaching, or finances. The biggest thing is just to fill your head with Real Estate 24/7 and get around like-minded people. 

The short answer is you will have to come up with the rehab funding yourself. There are creative ways to do this - lines of credit, private loans, or using hard money loans which typically fund 100% of the rehab (Its a reimbursement funding usually though, just fyi). 

You can put in as much or as little sweat equity as you want. It might be harder to do out of state, though, so I wouldn't count on that part. You can order materials yourself, and have it delivered to your job site, or deliver it yourself. And no you dont have to buy a truck lol. Unless you want to. You can rent trucks from Home depot for like $20 for a little over an hour if you are just doing a simple material delivery. Just something to consider. 

1) For a conventional loan, Yes, its pretty much the same process - DTI, Credit Score, Reserves etc. The criteria changes SLIGHTLY for a refinance vs purchase but for all intents and purposes, yes its the same process.

2) Yes, if you are pre-approved, you should still qualify later on down the line. (Unless covid comes and lenders tighten their policies or the government adds an extra fee, etc)

3) Yes you can refinance twice. Just be aware that every time you refinance, you are paying around 5K in fees to the lender. (Maybe less, maybe more, depending) So just think to yourself if its worth it to pay that fee for the new lower rate. If it is, then go for it. 

@Zach Westerfield Gives a good breakdown. If you want an even shorter one - Unless your personal net worth is over 500K (Don't include your 401K), I would recommend just keeping it in your personal name for simplicity's sake. 

@Jay Hinrichs Do you think its possible to just sell one by one and keep rolling them all over into a DST using a 1031. Then when you have enough equity in that same DST trade up for a bigger multi family??

@Tyler Zwart Love the creative thinking. But like @Charlie MacPherson said, you don't know what you don't know. My suggestion would be to shadow an actual realtor, or take a course to become a realtor, and you would learn a lot. Either that or go for it and try and buy or sell a piece of property without one, and see what the experience is like lol. 

Welcome to the forums! Podcasts and books by Bigger Pockets authors are definitely the way to go. 

I have a couple with Vue too, and am happy with my experience. Shout out to @Elisha D.!

Original poster: (I cant @ your name to tag you lol...)

I think in the book you are referring to, the author is talking about cashflow assuming 20-25% down. So for a 500K property (assuming 4% at 30 years), you are looking at around 2100 for PITI. If you were to add in 1250 in expenses (vacancy, prop management, maint, cap ex, hoa, util, etc), then you would actually not cashflow. Again though, like others have mentioned above, its more of a rule of thumb to quickly weed out properties as you comb through hundres of them. Its not a hard and fast rule. Also, the higher the price point of the property, the less this rule applies.