All Forum Posts by: Jon Adamowich

@Timothy Smith I'm going to try to make it. Unfortunately I work 4-12 that day and I need to find a swap so that I can make it. 

@Hud Floyd Hey guys, currently working as a Customs and Border Protection officer in Buffalo,NY. Still pretty new to investing; I currently own one duplex that I’m house hacking and plan on purchasing another property this summer after I save up some more money. Nice to meet you all!

@Timothy Smith Wow that looks great! What a transformation. Now did you do the work or did you have a contractor rehab the property? Also you mentioned that it rents for 2,300 total, you bought it for 125k and put 75k in to finish it. What does this property cash flow for you after all of your expenses? Also, what do you look for when considering a property to rehab and then rent out? To date I’ve only considered turn key properties because I’m not very handy but I feel like buying a cheaper property that could use a little work would be a better investment.

@Timothy Smith Congrats on this purchase Tim! It sounds like this is really helping you take your investing to the next level. The West Side seems to be the next big area in Buffalo. I might start looking around there as well for my next property. I’m still saving money for it, but I’m hoping to purchase by this summer! Do you have any more before/after pictures? This looks great!

@Timothy Smith I ended up getting there around 7, so a little late. I had a few things to take care of after work that day. I hope to meet up with you at the next meet; I had a great time! @Matthew Irish-Jones I haven't used an FHA loan. My only worry about that is that I'll have to pay PMI. Are you allowed to use an FHA loan on an investment property? I thought conventional was the way to go for that.

Originally posted by @Adam Wigdorski:

@Nicholas Standford

I literally just had exactly 26 windows done. For

7984 Them removes wood windows, disposal, removed triple tracks, installed new windows, insulated jams, caulked inside and outside, and wrapped exterior in aluminum.

Energyking 100 double hung double pane with grids , half screens, and security locks.

 @Adam Wigdorski This seems like a very good deal! The windows in my double are old and may need replacing soon. If you don't mind me asking, what company did all of your windows? 

@Timothy Smith I missed you the other night at Thin Man, but it was a great time. I'm looking forward to the next meetup. Also, that's great to hear about your? South Buffalo duplex; I feel like South Buffalo is a good place to invest right now. Once I rent out my upper, my duplex should get me $850 per month after mortgage, taxes, and insurance. This number doesn't account for vacancy for any money I put aside for repairs/maintenance; I've been very lucky and have yet to lose any money due to vacancy. Aside from that unit in South Buffalo, where else do you own properties and how well do they do? 

I listened to that podcast with Jocko Willink! That dude is inspirational but I don't think I can do what he did. That was the second BP Podcast I ever listened to and it was very motivating. 

@Nicole Heasley BeitenmanThanks! Do you own multiple properties? What would you say your average cash flow is after all of those expenses?

@Adam WigdorskiYes that actually makes a lot of sense. I feel like I would not be disciplined enough to pay it off in 15 years if I took out a 30 year mortgage, but that sounds like my own problem. But you're right; if things ever were to go bad, the lower payment from a 30 year mortgage would certainly be helpful. 

I'm not sure if I'm eligible for an FHA/VA loan. But buying new duplexes and moving into them each year was my original plan. Things changed slightly when my girlfriend took on her house, probably for the better because now I can live there and get the most out of each property because I won't have to occupy a unit that I would otherwise receive rent on. I should look into a refinance on my current property and see how much I could get; I feel that would give a boost toward purchasing my second property.

Yes that makes a lot of sense. I agree that I would rather own a good quality property over a few bad quality properties that would just give me a headache in the long run. Also, that's nuts that you make that much in North Buffalo; that seems like such a tough area to get into because the house prices are so high. $1,500 per unit average sounds great though! 

@Timothy Smith That's very true, I definitely need to do some networking and find a great contractor. From what I've read, that seems to be one of the toughest people to find to be a part of the team of people you work with regularly. @Adam Wigdorski I believe I do have some equity in my current house to look into a HELOC. That's a great idea and probably something I will look into in the near future. The idea behind a 15 year mortgage for me is this: I currently work a government job which allows me to retire with 25 years on the job; I currently have three years in. My goal is to purchase our "forever home" seven years from now and use my cash flow from my rental properties to pay for this "forever home," which will also have a 15 year mortgage on it. Using this strategy, my "forever home" along with my rental properties will be paid for by year 25, the year I become eligible to retire. Also, those are some great examples of expenses that I didn't think of, especially that sewer line insurance. I should really take advantage of that ASAP; it's peace of mind for a relatively cheap price. I should check with my insurance company like @Timothy Smith said to see if they cover any part of that. @Kyle A. Thanks so much! The next house actually was half-inherited by my long-term girlfriend. She is going to buy out the other half and I will live there with her. I'm pretty fortunate for this because it allows me to rent out the unit I live in right now. That's a good point you make about the clientele you get when purchasing houses in the 45-50k range. My original goal was to save up quite a bit more money and purchase a duplex in a nicer part of town like you said. Where do you currently own properties? Do you notice a difference in clientele between certain areas?

@khaled morad Yes it is exciting! In regards to house hacking, I currently own a duplex in South Buffalo. I live upstairs and rent out the lower unit. This pays for my mortgage, taxes, and insurance and gives me about $150 extra per month after all that is said and done. We are planning on moving in the summer which will allow me to rent out the upper unit. Also, for the properties that I see now, the $16k I have would be for a down payment. The houses I see now range between $55k-$65k. I figured that chances are slim that something in that price range would work, but I always try to keep an eye out just to keep my options open. Thanks for your response, I'll PM you! @Nora Holt Thanks so much! I had no idea this was going on. Currently I'm scheduled to work but I'm going to see if I can swap to an earlier shift to attend this. I've never been to a meeting like this. @Timothy Smith That's actually a really good idea about factoring in the cost of property management. I never thought of that because I don't plan on using a property manager right now. This may change in the future as I acquire more properties and come closer to retirement. Thanks for the tip. Also, I haven't yet considered purchasing a property that will need a rehab. I'm not very good at fixing things and I'm afraid of underestimating the rehab costs. Perhaps the confidence to dive into one of those properties will come with experience.