All Forum Posts by: David Shakhunov

Short term rental near the hospital is always a good bet.

Hello.

There are few ways to approach it.

1. I would look at the historical prices for the increase. 

2.You can go to rentometer.com and see what are the approximate rents for you locating in the last 12 months vs 24, vs 36 vs 48. Based on that you can see the percentage increased and use the same one. 

3. Agree on some kind of publicly available inflation rate index, consumer rate index, etc and use that as the increase. 

Also I would check your state and local regulation about rent increase regulations. 

Congrats!

Just wanted to add that in a lot of different city permitting departments especially in California there are already pre-approved ADU designs/plans. If you are thinking if adding an ADU make sure to check with your local city permitting department to see if something like this is available. It saves you a lot of time and money to go that route.

At your age here are the things you should prioritize. This list might not seam like the a real estate related but it is:

- Build your credit score. AVOID having a bad marks on your credit score.

- Develop a good financial habits and try to avoid bad debt as much as possible.

- Invest in yourself. Educate yourself with Real Estate. Get a mentor. Work/Volunteer for someone who is involved in Real Estate. The things you will learn and connections you will make are priceless.

- Figure out how you can earn/make money so you can get a loan to buy a property. Nothing is wrong with starting out a W-2 job and then transitoning full time to Real Estate. Maybe get a trade school certificate, or a degree, or start your own business, or take a code/cybersecurity boot camps so that you will be marketable to get the job. I know some students who were able to buy a property by their university and rent out other rooms to students while living in one of them.

Also since you are only 18 years old play a long game. Don't rush into anything and invest in yourself, while you still can.

Here is a good excel file for the mortgage calculator that you can download: https://www.mortgagecalculator...

I would look into opening a HELOC. You will have 80% value of the property value at your disposal.

PROs: You don't need to draw all at once. You can draw any amount you need. Lower payments for the first 10 years (interest only). You pay interest on the amount drawn and when you draw it.

CONs: Variable interest rate. You might need to refi the newly purchased property.

Like most of the other BP members recommended get an attorney. An attorney could study the will/trust to see if there is a loophole.

I would definitely go with UMPQUA Bank then. I would recommend getting their debit card as well. If you have their debit card you can use your funds instantly once you draw from HELOC.

I use rentometer. Also make sure to filter by last 3, 6, 9 months to see the trend.

Not exactly. I did something similar. I opened HELOC on my primary residence and used it for the down payment to get the out of state investment property.