All Forum Posts by: Jordan Fulmer

You could also check out Rentometer.com. It allows you to run a report on houses recently listed for rent within a certain radius of your property. It's hit or miss based on the area though. Sometimes they just don't have enough data.

You can give it a shot though. I'm pretty sure they give you 10 free pro reports as a trial.

Wow that's a huge rehab! Do you have access to the capital to do that?

The first thing I would do is make the improvements that you're talking about to your primary home. The improvements you're talking about probably won't make a huge difference, but it might slightly increase the appraisal value when you go to refinance. Note here: since you will be making this a rental, make sure you leave some equity in the property and don't overleverage it. Also, make sure it will still have a decent amount of cash flow with the new payment. I would say refinance here because you will be using most of it to leave in an investment long-term (down payments)

Then you could move onto either of the 2nd or 3rd options. I might recommend buying your next house to live in. That way, you could get your feet wet renting out your first house before diving into multi-family.

I would say to use traditional financing for the purchase of your next home. 

The financing on the multi-family depends on whether you will be buying something turn-key or something that needs repairs. If it is turn-key, I'd go with traditional financing, and if it needs work, you could do some variation of a BRRRR.

Hope this helps!

They have leases here to buy. I've never used them, but I'm willing to bet they are pretty solid.

I think your best bet for buying foreclosures with a loan is actually buying PRE-foreclosures (Before the auction date). That way, you can deal directly with the seller instead of jumping through the hoops of buying from a bank. Just make sure you allow enough time to actually close the deal before their auction date since buying with a loan usually takes about a month.

One thing to note here: I wouldn't stretch it too much on the amount you're pulling out. Some folks would say not to take out more than you have invested. I can't say I've always followed that principle, because an instant payday is undoubtedly nice. But there is definitely a balance there.

I usually try to ask open-ended questions about the property first to get them talking. Things like, "Can you tell me a little about the property," or "what is the overall condition." Gauging motivation is sometimes difficult. You really just have to have a genuine conversation with them and figure out why they're looking to sell. But it usually comes across better when it isn't so scripted, if that makes sense.

One more option outside of what has been mentioned already is creative financing. It's a little bit harder to find deals like this, but you can find deals that require little, if any, money down. Lease options, subject-to's, etc.

We typically set aside 15% of the rent for vacancies and maintenance. It's good you're already thinking about that! Most people don't, and unforeseen repairs are then a huge burden.

I would suggest something similar to borrowing from family and friends but reaching a little bit outside of that circle (associates, friends of friends, etc.). You would then pay that private lender interest on the money you borrowed until you pay them back.