All Forum Posts by: Genisha P.

Thank you for your response, @Patricia Steiner. I appreciate the time taken to give an outline of the things I can use as parameters in my purchase contact that would protect me. I had not given any thought as to whether the property would qualify for insurance or not either. I honestly thought it was an "automatic." I have a lot to learn but you've given me some great tools to work with. Thanks for your input, and vote of confidence. I'll keep you posted on the outcome. 

Thank you for your response, @Arman Jay Tigran. I wasn't aware that there were no limits on having independent appraisals completed on a property. It just sucks that if the lenders appraisal comes in lower, there are really no other alternatives to revisiting that figure. It seems their appraisals are concrete, and that sucks.

Good morning, Bigger Pockets:

I am new to real estate investing and although the process of finding my first property has been exciting, I have to say it has been equally intimidating. I have finally found one 3-unit home, which I think will be a good buy. (Note: I consulted with my mentor on the property, and he thinks it's a great property. However, he is out of state and will not be able to walk the property with me for another few weeks). I am a little apprehensive about the investment because it appears to be in need of a major rehab, which may prove to be too much for me to jump into for my first property. I have contacted a licensed contractor and scheduled a walk through of the property in a couple of days to get a better idea of how much rehab would cost. If the numbers make sense, I'll submit the offer for purchase. The question I have in regards to the appraisal of the property is this: Is it common, or unheard of, for a buyer to get an independent appraisal of a property prior to submitting an offer? If so, has anyone ever had an independent appraisal completed after the lender has had the property appraised? And if so, what were your reasons for doing so?

I appreciate everyone's feedback in advance. I'm still learning the ropes and I don't want to get in over my head on my first deal. Just trying to cover all my bases before going all in. Thanks for your assistance!

Ismael, I share a similar experience. My desire to be financially free began nearly a year and a half ago while working Dave Ramsey's baby steps program, and my increased interest in building wealth was sparked a year ago after listening to hours of the BiggerPockets podcasts and then reading Rich Dad, Poor Dad. Like yourself, I'm ready to dive in and purchase a multi-family unit and build from there using the BRRR strategy. I wish you the best of luck as you start your journey in real estate.

This post was very helpful for me. Breaking down the entire process from start to finish, with numerical figures, was a great written example of how BRRR works. Thank you for sharing, Brian!