All Forum Posts by: John Devereaux

BP,

I am currently taking pre-license courses for my real estate license and aim to be completed in about 1-2 months. This will be very much a part-time / weekend job for me because I am currently on active duty military orders in Milton, FL. I am looking to learn more about the business, network, and produce some extra capital on the side to start purchasing more investment properties. Generally reaching out for mentorship in this career path, especially since I will be strictly part-time in a very competitive market and broker suggestions once I am complete with the state exam. Appreciate any input!

My wife and I recently moved to the Pensacola, FL area and looking to invest in a single-family home that needs work in a relatively good neighborhood. This would be my first time executing the BRRR strategy, so I am trying to get my ducks in a row before diving in. My main roadblock right now is utilizing a HELOC or a HELOAN on my investment property in San Diego, CA. From a few lenders I have spoken to recently they say that they are not offering HELOCs at this time on investment properties. Is that normal? From what I have researched people are finding success with it. And is a HELOAN more preferable than HELOC? I liked the idea of HELOC initially because I would only need to pay back the money that I spent and would not have to start making monthly payments right away. This bring me to my next problem that I am new to the market and do not have a general contractor to talk to about potential estimates for flipping a home. Because the HELOAN gives a lump sum and I need to start paying right away I want to make sure I only pull out what I need. So, I am looking for a GC in the local area with experience in flipping that would be a good ft for what I am looking for and would be able to give me a ball park estimates so I can manage my expectations in this new market. If anyone has any referrals for GCs, lenders that offer HELOC on investment properties or just generally has successful BRRR stories in the Northern Florida area I would love to hear them!

Greetings BP!

I have recently posted about being on the fence of selling our single family home in San Diego area in the next year when I receive new orders from the military. I will be submitting paperwork to head back east to my roots in New England (Hopefully Mass or RI area). My wife and I have decided that we are more than likely going to sell our house upon the 2 year mark to avoid capital gains tax and walk away with about 150-200k (depending on where the market swings in the next few months). I would really like to purchase a turn-key multi-family back east but they are rather expensive. The ones that I have my eye on are in the Newport, RI area considering they rent well to college students in the off-season and rent at a premium for the summer months. However, we'd be looking at spending around 1-1.5 million on our first multi-family investment. I would be looking to house hack our first multi-family which would only require 3.5% down or even no money down with VA loan. However, there is a chance that I do not end up in that area but would still like to purchase a property there which would require the 20% down and taking up that entire 200k. If I do not get stationed there and unable to house hack, would you recommend looking at cheaper multi-families that could use fixing up in a cheaper town/city or state or recommend continuing with my approach if the numbers work out? All suggestions and tips are appreciated!

 Thanks for the input! We do not intend to come back to San Diego. 

My wife and I are in the Navy and will be receiving new orders in the next year to be relocated (location unknown at this time). We currently have a single-family home that we purchased back in January 2021 in the La Mesa, CA area (technically still San Diego, CA). We have been discussing selling the house at the 2-year mark because we believe we are at the peak of the market and its beginning to cool off. Furthermore, we will not have to pay capital gains tax since it has been our primary residence for the past two years. We estimate after agent fees/ closing costs we will profit approximately 150k. Our first idea is to take that money and re-invest it into a multi-family wherever we get stationed next. It will more than likely be a cheaper area like the panhandle of Florida or Virginia. However, we realize that we got the house at a very good price with a 2.75% interest rate. The big problem we can see is it not producing enough cash flow and might even have to pay out of pocket if we were to rent it out. Is it worth it to keep this property and rent it out or should I just walk away with the profits and re-invest it into a multi-family? 

My wife and I are looking to invest in a single family home in San Diego, California more specifically San Carlos/Allied Gardens area. We are first time home buyers. 

Our plan is to buy a single family home for max $700k utilizing the VA loan and put approximately $40k into it then sell (or rent) in three years. We are looking for any insight that could help our home buying process and also for any opinions or advice on the outlook for the market.

Thank you!