All Forum Posts by: Jailen Holt

Call GREC and ask them. I went through the same thing, but they will be the ones to give you a definitive answer 

Hey Denise, the first thing you need to do is to clearly outline your goals. What are you looking to do? Buy and hold? House Hack? Rehab and flip? Wholesale? Or perhaps all of the above? Since you mentioned that you are not familiar with the market, the next thing that I would do is reach out to a local real estate agent and explain to them your situation. You would also need to specify what area(s) you would be considering moving to. Analyzing and fully understanding the market from out of state can be challenging. I would also recommend attending REI networking events that take place in Georgia when you are in town.

Those purchase price expectations are also unrealistic for metro Atlanta. With enough efford though, you could find Duplexes in rural areas far from the city in the $50,000-$100,000 price range. Over the last few years most duplexes within about 50miles of metro Atlanta are selling for a minimum of 180K. More than double and triple that for more desirable parts of town.

In the mean time, look for a higher paying job. There are tons of entry level jobs all over Atlanta that pay more than $12.50 with little to no experience. Lenders typically dont mind if your employment history shows that you recently changed jobs. As long as there isnt a 90 day gap between changing jobs. However as @Andrew B. mentioned, your debt to income ratio is probably the most important factor to improve before you apply for a mortgage.

Hey @Minuit Spence, I hope things are going in the right direction for you. 

As others have already stated, your primary focuses should be improving your financial literacy through self educating while at the SAME time, looking for ways to increase your income and decreasing your expenses. Improving your credit score will make things a heck of a lot easier for you moving forward. If you plan strategically, there are ways to do all of these things simultaneously.

With regards to investing in Real Estate, you will need a minimum 580 credit score for an FHA 3.5% downpayment loan or 620 credit score for a Conventional 5%-20% downpayment. If you can get your credit score up even higher, you open the doors for qualifying for downpayment assistance programs. Most programs will require minimum of 640 credit score to qualify, although some prefer you have a 680 minimum credit score. The programs usually require a minimum cash contribution from the buyer such as $1000 while also completing a First Time Home Buyer Educational course (the course only takes a few hours and can be completed within a week).

I strongly recommend trying to acquire multifamily family (2-4unit) properties as your first purchase. Qualifying for a loan for a multifamily is actually easier than a standard Single Family Residential property because the lender is allowed to include up to 75% of the gross total rental income as income that will offset the mortgage payment. For example, a buyer who currently qualifies for a $250K FHA loan for a Single Family could also qualify for a $500K Quadruplex if the rents are high enough to offset the mortgage of a $500k loan. In my area of Atlanta, FHA loan limits are $380K for a SFR, $485K for a duplex, 587K for a triplex, and $730K for Quadruplexes. What does this mean for you? It means you and everyone else is capable of owning extremely valuable real estate for 3.5% down while cash flowing exponentially, if done correctly. 

Next, I recommend obtaining a real estate license. I got my real estate licensed 3 years ago when I found out that I would be getting paid the commission when I purchase my own investment properties. The standard commission rates paid on purchases is typically 3%, although there are purchases that I've received 2% on and even a purchase that I received 4% commission on. Imagine combining this with downpayment assistance. A real estate license for an investor is almost invaluable. It is 100% possible for you to obtain a cashflowing multi family and walk away from the closing table with several thousands in commission and have a place to live, rent free while you owner occupy 1 of the units (Most feasible when done with purchasing Quads and triplexes).

Just persevere and grind towards your goal. Plan accordingly, and you will make it out of your situation. I'll see you at the top.

Best wishes.

Welcome to BP @Tracia Reynolds

Some multifamily neighborhoods could have restrictive covenants that you might want to know about before you put in an offer. I have a duplex under contract in Lawrenceville. The seller was willing to do owner financing for up to 36 months but wanted 10% down. Most sellers that I've asked if they would entertain the idea have also mentioned similar sizable down payments.

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Hey Kelly, does your MLS have a new software called Remine? If so, it can be a GREAT tool that only licensed real estate agents/brokers have access to. The software utilizes a google map interface coupled with property tax records, sales price, estimated equity, length of ownership, flood map zoning, and tons of other features. It 99% free to use, only certain features that require subscription or 1-time fee of $1 for info like owners contact information, personal email, etc.

I am not endorsed by nor do I have any affiliation with Remine outside of personal use.

Hey Marcus, are you still looking for multifamily deals? I am a licensed REALTOR working the Metro Atlanta area. Perhaps I could be of some help, lets connect.

Welcome to Bigger Pockets @Omar English! I am a licensed REALTOR/investor from Metro Atlanta. Let's connect so that I can get an idea of your needs.