All Forum Posts by: Hunter Burrell

Hello! my Aunt is looking to sell her 4br/2ba SFH in Commack on Long Island. They are inexperienced and I believe are working with an agent who isn't investor savvy. Wanted to try and give her advice on getting the most for the sale/if she can and should use a 1031 exchange.

I believe the exchange can only be used for rental properties? They have been renting out one of the rooms but I don’t think were reporting it. I know it’s a long shot but is there any way they could now report the past rental income, pay taxes on it, and then be eligible for the 1031 exchange? I’m assuming the taxes paid for the rent would be lower than the savings on the sale.

Sorry if that’s a silly question. If you have any other suggestions on her sale for getting the most I’d appreciate it. Right now she has a lot decluttering to do, and I recommended possibly an interior repainting as well. Thank you for your time!!

Thank you for getting back and for messaging me @Ray Smith. Looking forward to speaking with you more!

Hi my name is Hunter Burrell and I'm looking to house hack a small multi-unit property (most likely duplex) here on Long Island. I'm currently renting the upstairs of a house in Huntington Station for $850 (utilities included), but am interested in house hacking to live as close to free as possible, while building equity and learning about property management.  Based on several posts in this thread it seems like Suffolk would be the best for my first house hack mainly for property tax reasons. 

Ideally, of course I'd love to find a property that I can add value to, such as adding an extra bedroom/half bathroom with the extra sq ft on the lot, but don't now how realistic this is due to building codes around here and also lack of any experience (I know next to nothing about estimating rehab costs). What are the best ways to force appreciation in Suffolk on duplexes or other small multi? Or should I be staying away from projects like this for my first property and focus on finding something that doesn't need too much work that would still slightly cash flow (when I'm not living there), and has a potential to appreciate naturally? Is it even possible on the island to find cash flowing properties without putting major work into them?

I feel like some areas in Huntington Station are bound to appreciate significantly over the next 5 years because they are in close proximity to the attractive areas of Huntington, Lloyd Harbor, Cold Spring Harbor, Dix Hills, Greenlawn etc, yet it has much more upside than those already established areas. Keep in mind this is coming from a real estate newbie, but I see different complexes being built around here and it just feels like Huntington Station will start "catching up" a bit to the surrounding areas, which would make it a decent place to buy and hold. Any opinions on that?

I'm new to deal analysis, but from pro forma data on sites like Zillow I'm able to find some multi units from around $300k-$500k that might meet my criteria in Huntington Station, Centereach, Patchogue, Deer Park, Ronkonkoma, and others. Some of these listings seem like good deals but I think I'm underestimating the amount of work that will need to be put into it. I know I can possibly get a 203k loan which would bundle the rehab costs in, but once again I'm just not sure if I should be going for something that needs to much work anyways. 

Thank you very much for taking the time to read my long winded post, and I'd greatly appreciate any feedback you might have for me! 

Thank you Amy and Casey and sorry I have not responded until now. I really appreciate the analysis of the area and will keep that in mind if I decide moving to SC is right for me.

Hi BP!

I'm new to the real estate world and am very interested in getting started with a house hack. I've made some small plans but still can't see myself getting started for a couple reasons. If anyone could help guide me I'd really appreciate it.

Currently living in Long Island, NY paying $850 (utilities included) for a nice private upstairs in a middle aged married couple's house. This is a good deal but my goal is to start building passive income through rental properties. With extremely high property taxes, unfriendly landlord laws, and expensive housing, I think investing somewhere else makes sense. My best friend lives in Daniel Island, SC, and after researching it a bit SC seems like a great place for me to buy my first house hack, most likely a duplex. I want to get land lording and maintenance experience with a small property while also hopefully living there for free or close to it.

I'm mainly interested in a decent area that still has upside and is surrounded by a better area. Based on past posts on these threads I plan to focus on the lower peninsula of Park Circle, along with Larson, Hanahan, Goose Creek, Ridgeville, Moncks Corner, and Summerville. Would anyone have an opinion on how I can start narrowing this in to just one or two locations? Also while searching through Zillow there seems to be a bunch of townhomes where the numbers seem to make sense but I'm not sure if I can trust some of the estimated expense numbers. 

I think ideally I would contact a real estate agent in the area so I can discuss what I'm looking for, but since I won't be able to get financing yet I don't want to waste any agents' time. I have a major credit problem right now which I am trying to work on. Currently low to mid 500s so I'd need at least another 100 points to qualify for an FHA. In addition to that I have left a couple of jobs the past couple of years and haven't maintained one steady one like the banks want to see. Because of this, I've thought about the possibility of seller financing but not sure the feasibility of that, especially with everything that is going on right now. Maybe if the real estate market gets really bad, sellers will start accepting creative financing?

I know I'll probably have to wait until my credit improves and I've had a steady job for at least 6 months but I can't help but try to plan some of this out now. If anyone has any suggestions I'd greatly appreciate it! Sorry for the long winded post and thank you for your time!

@Jaysen Medhurst Thanks for the reply. I’m going to take out a secure credit card to try to raise my credit a bit. I’m hoping lenders lower the requirements back to pre coronavirus levels within the next year.

Hi BP,

I'm really excited to get my first rental but not sure how realistic it will be within the next year. My plan is to house hack a duplex or triplex for my first property using an FHA.

I have a 575 credit score because of a bunch of stuff I messed up on. FHA min levels are pretty low so I'm not that afraid of that but I'm more worried about the fact I've only had my current job for a couple months.

Do lenders still need to see 2 years at the same job? Also are there ways around this if I have a partnership and they co-sign or own half the property with me will that work if they have superior credit?

Thanks so much for your help.