All Forum Posts by: Jose Batista Abikarram

If you want to start investing with no or low month down, BRRRR might not be the best strategy to use.

In order to make your first deal with BRRRR you need a good amount of cash. The cash doesn't need to come from you but as a first timer is going to be hard to have 0 cash invested. This cash is basically recycled every time you make a good deal which as @Herndon Davis says the numbers you have wouldn’t be good enough.

If you want to start with low capital look into house hacking and doing an FHA WITH 3.5% down.

Be honest with your buyer and show him the math. Educate him through the process. That would make them less afraid. The only reason I would sell for lower would be if I was afraid that it wouldn't sell at all. And also if it is a little bit lower than the formula get creative like doing the BRRRR directly.

Look for your local REIA I'm sure they have some happening at different points in time. I would be very cautious of anything online since there are many "gurus" out there that just want your money. Good luck!

For a first property this is not bad. The cash flow is pretty good for a single family but the ROI is not as good. 7% is good don't get me wrong but you could get the same by investing long term in the stock market and is more passive than real estate. However if your goal is to start and learn about Real Estate this might be a good starting point. As @Josh Bakhshi mentions it really depends on your goals

I did a little googling around and found this website https://www.hardmoneyloansolut... they gave good reviews in both Facebook and google. Seems legit and they do business in the Caribbean 

I believe that your best bet will be to use financing in the Dominican Republic or some kind of HML that knows the market. There are not as many banks in DR and if they don't know the market they won't invest in it. In fact the only international bank that I know over there is Scotiabank and they are Canadian.

In my opinion jumping in is 80% better most of the time think about the likely hood of a bullet hitting you if you don't move vs if you move!

However in since Real State can either make you rich or poor I understand this is a big decision. I say look at deals and make some calculations since three years gives you time to take a big advantage for house hacking. This is due to the rules of FHA which require you live at least one year in the house. However if you live in the house for 3 years then you can use another FHA to househack a new place with your girlfriend wherever you guys want to move. This will increase cash flow, net worth and give you practice to keep growing.

Good luck in the journey, I know how it feels not living in a city you want!

I am currently closing in a house with the help of Steve Pheterson, he was recommended to me by the local REIA. He has been very professional and with good with advice. If you want his contact you can message me in private

This seems too risky for the benefit you would get. In terms of percentages you would be doing about the same as the stock market and in the stock market you do not even have to hustle or risk loosing your hole mortgage. However focusing that this is a Real Estate community I would recommend to target a higher Cash-on-Cash return for such a risky move. One way to reduce risk may be using a home equity loan which allows for a fixed interest instead of a variable one like HELOCS (You may not even need to refinance with interest rates being as low as they are today). Another way to increase Cash on Cash return is by managing it yourself. There are great articles and tools in this website that show you how to be a landlord and that would give you 9% more. Now that is what I call a deal!

Seeing what our goals are I believe you should do a little bit more analyzing. If it was me in order to make those decisions I would try first to use the rental property calculator and try to find out what your "cash on cash return" would be if you refinance (as low as interest rates are nowadays it might be a great idea). If those numbers work out do that. If they do not I would just concentrate on frugality and try to advertise some sort of seller financing for the house. Look for comps so that you can have a fair price for the house. Seller financing might be better than just selling as you can get some money down and will have a monthly "paycheck".