All Forum Posts by: David Fals

I am a newbie investor looking to purchase my first rental property, and I have been caught between going for a single-family or a multifamily rental. I am scared of servicing two mortgages in the case of a vacancy. I saved up the down payment for a few months and have a few remaining as emergency funds. I would not want to go for the single-family and then run into a vacancy, as I foresee that could happen as one of the cons. How did you all start out? I am basically looking for a cashflow property in the Lehigh Valley or anywhere else, but I would love to visit the property as I am staying in the NJ/NY region.

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Looking to invest there. Lets connect

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Quote from @Donald Hatter:

I would vote for buying a new construction home. A great time of year to do so. Pick a desirable neighborhood where your home will appreciate and go for it!

I like this idea, but do families rent new constructions? I'm new to this and would like to learn more.

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Houston, Texas

Quote from @Donald Hatter:

I would buy a $400,000 new construction home which could appraise for $430,000 to $450,000. Those type deals can be found when builders are trying to close as many deals as possible before Jan. Buy from a quality builder in a neighborhood which is going to appreciate. I would lease it to cover cost for 2/3 years and then I would sell once I could get $475,000+ Would be a nice ROI and is actually doable.

Love this idea! Would definitely look into this

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Quote from @Paige B.:

Could you rent out your primary residence and buy another primary home to move into? You can buy a primary residence with only 3.5-5% down. I would avoid pulling from investment accounts. Even if you buy something that needs slight renovations, you can do them while living there, and then in a year or 2, you can rent that one and have 2 units in your portfolio, and buy another primary residence to move into with 3.5-5% down. Repeat this process and you can easily build up a portfolio.

Thank you! Househack sounds like a great plan, it's always been on my mind. However, I can't keep the current residence, HOA stopped new owners from renting due to a flaw in the bylaws that allowed so many renters than owner-occupied. I dislike HOAs 😭

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Quote from @Nicholas L.:

@David Fals

definitely do not exhaust your savings. it sounds like you need to keep saving. don't believe the hype on the Internet. most of us buy property with... money. from our W2s.

are you in a position to house hack? that would lower your down payment requirements - you could keep your primary as a rental, and move into a househack. but if you're not in such a position, you're not.

I thought about house hacking, but where we are does not seem like my wife would want to move again and then we would have to sell.
Unfortunately, HOA stopped new owners from renting due to a flaw in the bylaws that allowed so many renters than owner-occupied.

I think the goal would be to continue saving. I thought I was ready, but seems I don't have enough cash yet.

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Quote from @Jonathan Greene:

PA would be a good option because it's an easy drive, affordable, and there are a lot of renters. If you do Philly, you have to know the blocks, every block, because the change from block to block is drastic. Taxes are low in Philly. You could also go a little farther to Stroudsburg. College rentals work in both, but not always a great option for a first-time landlord. 450k can get you a small multi or you could row house or similar for less and practice as a landlord

Thank you for your advice. Appreciate

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Wondering if anyone could help out with an advice

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I am looking to purchase Real Estate. I have about 75k in HYSA and an Investment account combined. I also got 40k in my 401k.

I was thinking, should I invest in RE or continue to save? I recently got preapproved for $450k, and I own a primary residence (a condo that appreciated from $250-310k). I’m looking at PA, DE, CT, or MD, for multifamily homes (if possible). I'm based in NJ it's so expensive here. I chose those locations because I would like to drive to the property.

Is it worth it with less than $100k+ for a downpayment, plus closing cost, vacancy, renovations, etc Also, that's all my savings, which means my Emergency fund will be depleted. However, I have my job and side hustle still bringing in income. I'm so confused.

How do you guys make that first investment?

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I've been reading through, and I'm also NJ-based; I'm scared of out-of-state. I have some money for a downpayment (I have a primary residence), but the prices here are astronomical, and a listing gets multiple offers while cash eventually wins! I feel perplexed. I've been looking at the Lehigh Valley, PA, but I can't see any MFR deals. I have no 100k lol. It took me a while to save this, and I want to get into REI.

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All Forum Posts by: David Fals

David Fals has started 4 posts and replied 28 times.

Post: Single or MFR (Duplex)

Post: Allentown, PA

Post: $130k Cash what to do?

Post: $100k Cash what to do?

Post: First Real Estate Investment

Post: First Real Estate Investment

Post: First Real Estate Investment

Post: First Real Estate Investment

Post: First Real Estate Investment

Post: Invest in NJ or out of state for first multi family