All Forum Posts by: Fenilkumar Patel

Trying to learn about BRRRR

Any savvy experienced agent/investor in Central Texas up to San Antonio area?

Hello

There is a residential property that is a few acres with a tiny home on-site that we are interested in buying. Just trying to brainstorm to see what can we do with the lot.

Does someone have any experience or any ideas about converting this kind of space into commercial property?

Just need some guidance on how to approach this.

Any feedback is appreciated. Thanks.

Rent could easily be 2200 to 2300 per month. My rate is 2.5% at 30-year fixed. Current mortgage I pay is $950 per month. Property tax is about $6000 per year so $500 per month. HOA is $37 per month.

You are right on the LTV part. The max access I have from the house equity is probably $80 to $100K.

Just quick numbers. 

Location: Georgetown, TX

Primary Single family home (First home) purchased at 280K with 2.5% rate

Current Value = $450K , Equity = $200K

The area still seems to be growing and doesn't look like will slow down for a couple of good years. 

I am thinking about taking cash out of my current primary home and buying a little bigger house for ourselves and then renting the current home.

Does this seem like a reasonable idea? What would be the best way to use the equity? 

Sorry never invested in real estate besides my primary. I am kind of a newbie.