All Forum Posts by: Dorian Weber

I will only be in the new state for 3 -4  periods of between 4-6 weeks year 1 (Orr the max I can be without loosing my FL residency) with the aim of just using my spare time to meet agents, contractors, HVAC people etc etc so that I have boots on the ground and start with a property or two but with a low enough price point of entry that I can do that. South Florida is just to expensive

Was only planning on using an FHA in florida if I was able to find a MFH local I could buy but even at the top end of $775k allowance I am priced out unless I want to live in very undesirable areas, which I dont want to do as there will be tenant issues plus appreciation in those areas isnt very good.

So for me - the next 2-3 years is simply portfolio building after that I will worry about where I want to live / quality of life. With my regular 9-5 work from home gig and additional RE work its not like I will have much time to really go crazy  in the local community. 

Im just wanting to building a portfolio and South Florida is just not the place to do it

So I recently just changed jobs from a door to door salesman to a 100% remote sales role

Numbers for the sake of numbers (base 80k, commission 50-80k..ote is 70) so lets say a nice conservative guess of 120k. Im told I can at the very least use my base for a loan. initially I would also have a RE license and I am a licensed MLO also which might be helpful

Have around 50k saved up and own one home in South Florida (owe 150k on a 320-340k home) - have roommates that offset that but couldn't use that as income on an approval. Will either rent that out and use the income to offset a loan. I would consider buying a multi in florida with an fha and 3.5% down but the returns are horrific for the home prices and if I did I would just rent a room out of state while being feet on the ground in another state

Question is - I have 2 years of this job and can be based mostly anywhere east coast (within an hour time zone) where can I base myself to really maximise my investment growth with rentals. South Florida is very difficult to find good cash flowing properties (more an appreciation market) and though im told Jacksonville is an option if I am going to temp relocate I see no difference between moving 5 hours and moving 13 hours away. Fl is still where I will keep my residency initially 

Thanks for all the tips

Cheers

maybe someone said this already but I didnt read all the replies - If they bought a property you showed them you may have a procuring cause situation 

i.e. you showed them property A, then then went back a week later / submitted an offer with Agent 2 and bought property A.

Anything other than that you are out of luck, buyers agreements are complete waste of time and merely a show to make a buyer think they are signing something which on a subconscious level makes them think they are locked in. 

It sucks, I had several people do this to me in my first year of real estate and there is no way I was not on the ball when it came to communication etc 

Guy 1 was just a POS and kept telling me he was waiting for a new preapproval but would never give me the lender contact details - he strung me along for over 4 weeks (he had closed on a property and was still to chicken sh1t to tell me) I eventually found it on social media, called him out for being a pu55y and left it at that

Guy 2 went back a week later to a property we submitted a contract on (massively low balled and didnt get it, which was not my idea) with his friend who listed his home in the other part of town and who I had spoken to so to make sure he was ok with me being the buying agent  and resubmitted an offer (the lender told me). That deal eventually fell apart and the friend dodged my calls until I called him from an office number.

Guy 3 - was a previous room mate, showed him several properties. Then I got injured and had to have surgery, had my business partner show him homes. Went under contract on home A - inspection came back with a lot of little things. He cancelled, a week later he told me he was moving out and had bought a home we showed him with another agent. I called the buying agent up and we got 25% referral fee. I kicked him out of the house after that.

the average real estate agent is a POS making zero money and will throw you under the bus for a dime, the average buyer is no different. 

People Suck

Ex - Pro athlete here who did a sport that paid no money but I got to do some cool Team USA stuff. I wish I started when I was your age (10 yrs my junior)

my advice which I wish someone told me 10 yrs ago

1) max out the Roth IRA if you are eligible

2) start investing in real estate - buying a unit in each town I live in and either having roommates to help save the cash and then turning into a long term rental after I leave

So im considering using the FHA MFH loan to purchase a quadplex in my county however the numbers might not make sense so im wondering if some other eyes can have a look and say yay or nay

There are presently no "deals" on the market at least from the MLS and the last Quad I saw online was the following

$750k - rented at 4x1500 = $6k (it was in an A class neighbourhood with the best schools in the county and the same quad in a b/c neighbourhood is around 650k renting at 1200 per unit) so for the first 6months and 1 day - 12 months I would in be living for free but would be putting that $1500 a month into a high interest earning emergency fund for when things go wrong and then when I move out the new cash flow would be going in there)

Well below the 1%

now the reason why I would consider it is because as a realtor and hopefully soon to be mortgage lender by the time I wrap in all the commissions and fees out of pocket I will only have about .5% needed for a DP and closing costs so around 15k

So I would be able to get a 6k a month producing asset (probably cash flowing around 800-1200) after PITI for 15k total initial out of pocket (not including initial inspection costs etc)

There are no FHA MFH in my county that fit the 1% rule so advice on this would be great. I am also looking at turnkey investment units out of state and have cash saved up for those as well but it seems a waste not to use the FHA MFH loan if I can

Thoughts on this would be great

 So I 100% agree, but im hoping that there might be a realtor who has those and when I come with cash / pre approved and its as sure a deal as can be it will help. I would plan a trip to both locations in May time to get some understanding and meet a realtor / realtors and go from there.

Thats the plan, but life happens when you are making plans though haha

Appreciate the insight, the idea of Memphis appeals as I feel like it is a place if everything went bad I could always live there. who doesnt like country music - right. For me I would want positive cash flow to be able to take out as much as I can every month over greater appreciation potential

Thanks for the reply - my concern is that as an out of state investor I do see the great potential of a turnkey property however with buying at cost/fair market value I dont know if it would make more sense to work with a realtor who hopefully has connections with contractors and buy off the MLS, and have them assist in getting a Tennent etc.

HI everyone one, so the COVID put a hold on my first real investment (I have a property where I live in S FL with tenants but this is the first out of state property)

I am looking for any further details on these states - from the research I have done Cleveland and Memphis seem to be good places.

Now with that in mind I was debating on going the turnkey route but most people I have spoken to say there is no real equity in those and you are buying at top dollar and you either need to ideally by a wholesale deal cash or work with a realtor but one that also has connections to contractors/builders/property management etc 

So any advice - the aim is to really be cash flowing every month as I need to increase my income so I am able to spend time with ageing parents. 

I have about 60k cash just sitting around and would qualify for a 200k mortgage (at least in florida)

feel free to pm me - im a realtor in South Florida so I understand this job board is full of hungry sales reps (and rightly so) but if you dont have the necessary connections this might not be the deal for you. once I have 2 or 3 units and a plan then for sure but in this early stages connections on the granular level would be pivotal 

If you got this far thank you and I look forward to some replies