All Forum Posts by: David DuCharme

Something that I’ve been debating for a while now. I am an existing homeowner $125K value with $895 monthly payment. My other debt payments total $251 per month. My income is $75,000 annually. I’m 23 years old and want to dive into real estate early so I can drop this 9-5 bs eventually. My real estate strategy is roughly:

$150K Price Point

Central Pennsylvania

3 2BR- $900/mo or $2700/mo Otherwise

2000+ Sq Ft

Initial Investment

$30K Down Payment at 20%

$10K Rehab Fund

$10K Emergency Fund

My question is, should I wait until I can save a full $50K before diving into this, or does it make sense (if the cash flow works) to buy on a 3.5% down mortgage with the added PMI. I think this problem/dilemma is solved by the BRRR method. If completed right I should be able to increase equity to refinance out of PMI, no?

Thanks for any and all input.

@David Zheng

It was really great to read about your success. I work as a financial advisor at another large firm and am 22 years old. It’s inspiring to see someone in a similar industry exit the rat race haha. I’d love to hear more about your transition and process. I’m hoping to purchase my first rental until by May of next year.

Hi everyone!  I am interested in buying a small multi-family, doing some cosmetic work, renting 2 units and living in the 3rd.  How much will a property generally appreciate for every dollar put into the property?  I would like to spend around 15K on the rehab, if I focus on items that really drive value how much appreciation can I expect?  20K? 25K? 40K?  Any and all help would be awesome. Thanks!!