All Forum Posts by: Jared Hawsey

@Kam Mill congratulations my friend! I’m new as well to this game and have two properties about an hour and a half from you! Dothan is a great market!

@Steve K. No I am not factoring in every single one of those you listed. There are quite a few companies around me advertising $49-$59 a square foot for a new home. Obviously I’m not going to live there myself so I’m not particularly picky on what type of countertops and how energy-efficient the windows are. My plan was to find some blueprints online I was happy with and purchased those. I can also get anywhere from a 1/4 to 1 acre of land downtown ranging from 4K to 8k. keep in mind where I live has a population of around 8,800 people but is within 1 hr or less of major cities. You are talking to a 25-year-old who has only purchased two homes in his life. So at this point everything I do is a learning experience LOL I just can’t afford to put 10k every time I go to purchase a home. The rent just is not high enough

@Parker Eberhard no just a rough estimate. I’m adding about 5 grand to it and the land that I have found is clear and flat with city hook ups.

@Mike M. Thanks for your advice Mike! I think that’s a fantastic idea but what are your thoughts on building a new house to rent? I live in South Alabama and in my market I could buy land and build a two bedroom one bath home on a concrete slab about 850 ft.² for at or less than 50k. It would also be a fairly small down payment. Most of the homes where I live whether they are 30K or 80K appraise for 5k to 15k less than they are worth. Keep in mind not what they are asking but what they are worth. The last house I bought I thought I was getting a good deal negotiated another $8000 off and ended up having to put over $5000 cash on the loan. I had no money for renovations left and no equity either. Rent average is anywhere from $600-$850 a month for a decent home. I can get a 30 year mortgage on a $50,000 loan for only a few hundred a month. I’m just trying to weigh all of I had no money for renovations left and no equity either. Rent averages anywhere from $600-$850 a month for a decent home. I can get a 30 year mortgage on a $50,000 loan for only a few hundred a month. I’m just trying to weigh all of my options but have never done this before.

So in the market I live in (which is a relatively small town) it would literally be cheaper to buy land and build a 2 bedroom 1 bath house than buy.. it’s a crazy rental market and by crazy I mean everyone is renting and there aren’t enough rentals to go around. I have two home but had to put hefty down payments and even though I am making 250 cash flow I had to put down thousands to get them. All of the homes for sale are 10s of thousands in some cases over what they appraise for and I’m just at the end of my rope. Everyone I’ve listen to have said never build to rent always buy. But is building a bad thing given my circumstances?

I have two rental properties that I am going to refinance at the beginning of the year.. BUT! I’m needing some advice on what to do with the money.. I can build a small rental house on one of my properties, buy land to build, or look for another rental property. I feel like this will be a decision that ultimately will propel me forward years a head of schedule or drag me back a year or two. I’d love to sit down for a cup of coffee or just a phone call to explain where I am at. I just want to make the right decision for me and my family. If you can help hit me up! Thanks in advance!