All Forum Posts by: David Fals

Has anyone here considered investing in real estate in Reading, PA? If so, I would appreciate hearing your thoughts and experiences regarding the local market, investment opportunities, and overall outlook for the area

Same here and I am surprised no one has replied. I'm also looking to invest there for cash flow

0 Votes

I see that your unit is pending. Could you please let me know if flood insurance is required for all houses in Uptown?

0 Votes

I'm looking to purchase my first rental property and have been searching for a deal that would generate positive cash flow based on my projections. However, finding properties that would cash flow with a 20-25% down payment on 400k property has been challenging. I have some funds in my 401(k), and I'm considering whether I should cash out some of them to help with the purchase.

I want to remain local in NJ or at most drive down 1hr to PA (self-manage or, last resort, hire a PM)

However, I must also consider maintaining reserves, a safety net for my primary home, and an emergency fund.

It's just hard for a new investor now :(

0 Votes

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.

1 Vote

Looking to invest there. Lets connect

0 Votes

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.

1 Vote

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

0 Votes

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 😭

0 Votes

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.

0 Votes

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

1 Vote

All Forum Posts by: David Fals

David Fals has started 5 posts and replied 31 times.

Post: Thoughts On Reading PA

Post: Seeking investor for Uptown Harrisburg, PA rental

Post: SFR or MFR starting out??

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