All Forum Posts by: Jonathan Riordan

Hello everyone, 

I recently just closed on my second home that I will be house hacking and am doing a significant rehab. A majority of the house is now gutted and I will be replacing most of the drywall throughout the house. I obtained a quote for drywall hanging and finishing that comes out to around $60 per sheet hung and finished (4x8 ft drywall sheets) and that is just for the labor, I pay materials. Does anyone have any recent rates in the Atlanta area that I can compare this to? the house is only around 900 square feet and I will be doing walls, ceilings in 2 bedrooms, and a skim coat on the ceilings in the other rooms. Labor only was quoted at $3,300, materials will be around $1500. 

Thanks so much! 

Awesome! It sounds like you're in a great situation. I think it all comes down to what you are wanting to accomplish. If you are happy with the current cash flow you're receiving through these two properties and just want a steady flow of income every month that you can count on, I would keep doing what you're doing. If you would like to scale and continue growing your portfolio, it sounds like you are in a great position to do just that. Taking a hit on cash flow with these two properties would be worth it if you find the right deals to buy with the cash-out refinance. If you do it right, you can possibly turn that cash-out refinance into a better appreciating property with better cash flow than you currently have.

@Michael Hutchinson Definitely. I think I also value relationships over shopping for the best prices. I have already formed a relationship with the current loan officer I am using and would almost feel bad not using him at this point because he has been very helpful throughout the process. There is a lot to be said about finding someone you trust as opposed to just shopping for best rates. 

thanks again for all of the advice. 

 That is a good point. I will likely just discuss with him and see if there is an area where I am making up for the higher up front cost. Thank you for the input. 

That is where I am having a hard time, I see people recommending shopping multiple different lenders, but also know there is a lot of benefit in using the same lender for every deal if possible and forming that relationship. Do you recommend searching for the best rate? or using the same loan officer if it is someone that you trust/form a relationship with regardless of their rates and fees? 

If you buy in areas with better appreciation, you will see greater future rent growth potential, less turnover, less property damage in between tenants, etc. All of these things lead to better future cash flow. While it may not cash flow in the first few years of purchase, you will have future cash flow and more equity in the property with better tenants and less headache. Real estate investing is a long play. Invest in more sought after areas that will appreciate at a more rapid pace with future cash flow potential. 

awesome read. Thanks! 

 the loan amount is $220,000. I gave some additional details in replies below as well. Thanks for the help! 

 great advice. Thank you for the input! 

 good to know, thanks!