All Forum Posts by: Erickson Sainval

Can be inexpensive to get in, but you have to ensure there is a need. In terms of renovations it can be cheaper than doing a home. The problem can be moving the home which can increase cost.

I would suggest focus on one market. Get a list of commercial properties and start getting a hold of the owners.

As a first timer unless you have the cash, lender, and experience it will be hard for brokers to take you seriously. Of course, still keep building those relationships and provide them your criteria and feedback on the deals they send.

If your looking for a percentage, 50-55% would be good for your expense ratio.

If your long term goal is to be able to purchase one apartment building, either one can take you where you want to go. 

If the property cash flows and you can get all your money out, do so.

this way you are accumulating net worth and capital to eventually dispose of all your properties to get the one.

It all depends on your goals but I will suggest a few things.

1. Do not get homes together (IE: both on loan). Keeps your options for both to have 10 properties each open.

2. If you aren't coming on top $300+ net from renting, and since it will take your savings which will also put you in a risky position to support 3 properties, I would sell.

3. I like to have about 5k a door which usually comes out to 3-6 months of payment depending on purchase. So After getting this new home, if you can have 3-6 months of payments for each home in reserve, then rent it.

Does the same technique hold for you currently in this market?

What blows my mind is when things like refinancing will lower payments but they wont do it because your DTI is too high. Even with good reserves, good payment history, and no credit utilization.

Love it, some cold hard truths some people need to face. It can get real easy to go overbudget especially with marketing.

I think your on the right track and have your answer. The multifamily will allow you to move out and live on your own. You need to find one that can keep our budget the way it is now or better. Do not also forget moving out now gives you principal paydown thus increasing equity. Multifamily should be the priority, if it cant be done than single family is the next option. 

If you end up SFH, try and rent out the rooms.

I agree with many of what has been said. There is so much free content, utilize those. If you need a base there are many books you can read that will hit the wave tops. Once you have the wave tops you can fill the gaps with free content. Doesn’t hurt to find someone doing what you want to do and providing value to them either by bringing a deal or raising capital.