All Forum Posts by: Devin Creek

Well, just so happens I asked that question, and got a very timely response:

“Thanks for reaching out. We inform the poster if their post is removed and tell them of the forum rules they broke.​
Moderators remove discussions that are getting too political and not adding value in the forums.”

Others have said it, talk to a lender or two about cash out refi options, or get a HELOC. Depending on how your house would cash flow with the 15 year mortgage a heloc is typically much cheaper to get done. In the NW area many small regional banks will get them done for very little closing costs, practically free if you already do you banking with them. You would just have to compare both options and see what gets you the most cash. then go shopping.

@Justin V. The max leverage game works great until the disco ball stops, then.......

When is said meeting?

@Charles Elliott

If it has positive cash flow with a property management fee included, keep it and let it continue to work for you.

Many comments already mentioned finding a QUALITY PM.

If you end up not moving back to CS after your tour, then may be time to think about selling and re positioning to whatever market you move to. Then you could self manage.

Definitely talk to a cpa if you decide to sell, there will be capital gain implications.

@Mindy Jensen

Used to be Cozy.co, purchased by Apartments.com

Our tenants love it.

Great free option for landlords with 1 to a handful of properties/mom n pop, that handles marketing, tenant screening, payments (super simple for tenants to set up), maintenance request, and simple accounting.

Keeps your apartment accounting in one place.

We offer other forms of payment, worst case.

We use Buildium for our Management company.

@Tracy Schultz

If you feel like you have spent enough time analyzing and studying/getting to know the market you are in, start writing offers on places.

We invest in the Oregon/Idaho markets and lenders do 20% down for investment properties all the time.

We have done several deals where we get through the inspection contingency, into finance contingency and submit an addendum to raise the purchase price the amount of the closing costs.

That is a great option to preserve cash and use that to keep as reserves or use it for rehab.

If you are self employed,

We use a lender that offers:

80%LTV

7 year ARM

4% fixed for 7 years

2 points

1-4 units

Real estate can be done long distances it ultimately is a local game.

Market conditions are different

Purchase and Sale agreements are written differently

Lenders have different underwriting criteria, etc

If you have cash saved, next step is to build your team in the market you want to be in:

Realtor

Mortgage Lender

Insurance Broker

Contractor/subs if you are not doing your own rehab

As long as they are good, those people will be invaluable to you and ultimately make you money.

RE is a long term strategy if you want to build wealth.

I have respect, but Fix n Flipping is not investing, it is a business/job. It triggers dealer status and the income will be taxed at normal income tax rates.

If your not in a position to buy a single family, renovate it, live in it for a year or more then buy another on (house hack), A good option may be buy a single family that needs a little work/cosmetic improvements, rent it, and refinance it BRRR method.

The first option allows you to get a better interest rate.

Thats funny!

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Bend.

Purchase price: $618,000
Cash invested: $150,000
Sale price: $1,050,000

Contributors:
Cory Carlson

Successfully took a 4-plex full cycle.
Started as a house hack the first full year. The last year was fully leased.
Took the rents from 3,200/month at acquisition to 5,600 at disposition after extensive capital improvements.
We self managed the property and where able to realize over $1,800/month in cash flow.

What made you interested in investing in this type of deal?

We were able to acquire this property off market, watching it closely when it first came on the market then noticed the listing was quickly pulled. We then called the broker and aggressively went after it.

How did you find this deal and how did you negotiate it?

Was on the market for a month and then was pulled. We contacted the broker after the listing was pulled we were able to negotiate a purchase.

How did you finance this deal?

This was a house hack.
Conventional financing.
Purchase Price $618,000 with about $7,000 in closing costs
18% down, about $110,000
3.5% APR

How did you add value to the deal?

We put about 50,000 in renovating the landscaping, exterior, and interiors of the units.

What was the outcome?

Much needed interior and exterior improvements, as well as the landscaping.
We were able to raise gross rents about 75%, from $3,300 to $5,600 at exit.
Net $417,000
Got back all our down payment and rehab costs.
Created about $276,000 in equity in 2 years.

Lessons learned? Challenges?

Definitely NOT easy to move into a 4-plex and rehab the other units, with a 1 year old daughter.
We had one tenant being evicted at acquisitions and had to serve notice to vacate to two tenants in those two years.

The property had major sewer issues at acquisition, we had to address that.

If you are willing to put in a lot of sweat equity and have the ability and time to do it, returns can be sweet.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Cory Carlson with Realtyield, if you are in the Portland, OR area definitely look him up.

Hi Michael,

Would love to hear if you found something.  

My wife, daughter, and I just moved to Boise from Bend.

We are also RE investors and Property Managers looking to re-invest and get started in the Boise market.

Hope you were able to find a great place.

Hi Boise BP community.

New to Boise and looking to connect with other RE investors who are investing in the multi-family and commercial space.

I am a multi-family investor and looking to acquire our multi-family or commercial deal in the Treasure Valley.

Looking forward to connecting.