All Forum Posts by: Gini Vidal

Hi Charles! Welcome to Ithaca! 

Hi Nick! Can you tell me more about your experience with AirBNB in Cortland? My husband and I were discussing it last month but did not know what the demand would be like in Cortland.

Welcome to the area Chris! Congratulations on your little one! I hear you regarding prioritizing. My husband and I have a goal for him to reitre in a few years by investing in real estate. We have three little ones he would like to spend more time with. I am also getting my real estate license to help supplement our income and to help with our investment goals. I heard great things about the REI group in Binghamton. You should definately look them up.

Hello Phillip,

Thank you for your help. I was wondering if you can be charged for code violations that were done during a previous owner's ownership of the property.

Absolutely and good luck @John Spina jr!

Hi @John Spina jr. I don't mind at all. We used a VA loan at 3.785% interest and purchased it for $149,250. Being a VA loan we did not have to put anything down but had to pay a VA funding fee of $3208, but rolled that into the loan too. With closing costs and improvements we spent about $15,580. The ARV on the house is a conservative $160,000. We rent the upstairs 2 bedroom 1 bath for $1000/month. We live in the downstairs but can rent that unit out for at least $1100/month. It is a two bedroom 1 and a half bath. After expenses we would cash flow about $367/month if both units are rented. Because we put very little cash down our ROI would be 28.28%.

We do not have cashflow while we live here but our housing costs are only $328/month because of the upstairs rental income. That includes mortgage, taxes and insurance. So we are able to save a lot faster then we were when we were renting an apartment for $800 in Cortland and we are a lot closer to my husband's job now too. 

It hasn't been two years since we bought this duplex but have saved $20,000 already for our next purchase. We are very conservative with our spending too. We are looking now for our next rental property but are looking for a tri or 4plex. It will help speed up the saving process. If we buy another duplex we want to get one with two three bedroom units to max our cashflow on it. 

If we were to do it again we probably would have bought a tri or 4plex to give us more cashflow. Then do another VA loan or an FHA loan to buy the next property with very little down so we have the cash to do improvements and build equity.

Hope this answers your quesions.

Hello Nate, Welcome to BP. 

My husband and I are newer investors in the area. We are currently house hacking our first duplex in Groton. House hacking is a great way to get into the real estate business where you can get your feet wet as a landlord. It also helps save on housing costs so you are able to save quicker for your next purchase. 

Cortland is a great area to purchase a multi-family at a reasonable price. Just remember location is important. A good chunk of Cortland is in a flood zone. Flood insurance is pricey so be sure to account for that if you need it. Like other cities, Cortland does have some rougher areas too. Not sure what types of properties you are interested in. We are looking for rentals that we would feel comfortable living in ourselves. But some investors are up for more of a challenge. 

We do not have a lot of experience yet but are here if you have questions. Good luck with your investing!

Hi guys, I just wanted to add some additional info. I am currently working on closing on my next rental. I called 15 banks in my area to find out what they require to qualify for a loan on an investment property. If you plan on living in one you can qualify for an FHA where you only need 3.5% down. But if you will not be living in it you need 20% to 25% down. And all of them said they will not take rental income into account unless you have been renting it for at least two years. And then they will only take 70% as possible income to account for turnover and delinquent rent. A commercial loan will look at rental income as a factor and you can get a commercial loan on a 5plex or higher but again with 25% down.

There are many factors that an underwriter looks at to approve you for a loan, like income, debt, credit report, assets, your net worth. Many banks have a free blank personal financial statement that you can download and enter your info into and see where you stand at getting approved. Check out this post to get you started:

Confessions of an Ex-Banker: How to Get Your Next Mortgage Loan Approved, Guaranteed.

https://www.biggerpockets.com/renewsblog/2014/11/2...

Thanks @Mindy Jensen .

I just updated my profile. It was quick and painless.

Sure Chris. Just let me know.