All Forum Posts by: Brian Garrett

That is more of a D class area. Taxes are based on the value of the property not the size of it. There won’t be significant appreciation in that neighborhood like there would be in better parts of WPB. I personally wouldn’t invest there but I focus on C+ or better areas. Everyone has their own strategy, risk tolerance and goals.

@Stephanie P. Thanks for the info this sounds like the same loan product they were talking about.

I was just talking to lender who said they offer a loan for primary residences and secondary homes that requires no income or employment verification. All you need is a bank statement showing you have the down payment, closing costs and three months of reserves. Down payment ranges from 25-35% depending on credit score. Rates in the mid 5's with 30 year fixed and no prepayment penalty. I've seen the bank statement loans that don't require tax returns but you still have to show income and ability to repay the loan which I thought was a Dodd Frank regulation for owner occupied properties. This lender is saying they don't require any proof of employment or income whatsoever for a primary home. Has anyone heard of this program or is anyone familiar with it?

Look up what similar properties are renting for on Zillow, Realtor.com, etc.

You can also put in the subject property address on Rentometer.com to get a gauge.

I would have 3 of them rented and keep 1 unit vacant in case you get a buyer who is looking to house-hack and wants the ability to move-in one of the units to take advantage of the low down payment owner-occupant loans.

In the words of the great 50 Cent, if they hate then let them hate and watch the money pile up!

If you do a quick search you'll see tons of posts that are identical to this one with plenty of feedback.

@Adam Smugala It sounds like you are mistaking "cash flow" for "gross rents" and these are drastically different. At $500/month for 8 units that would be $4,000/month in "gross rents" not "cash flow" because you have not factored in any of your expenses yet. Your actual "cash flow" is your net income after all operating expenses.

House hacking doesn't work the same way with commercial real estate because they don't offer the low down payment loans like FHA and conventional do for residential.

Cape Coral is a super hot market right now with a lot of new construction and developments going on.

Personally, I would lean towards building on the lot and capitalizing off all the demand for the area right now.