All Forum Posts by: Katrina Morato

Quote from @Ryan Deasy:

@Katrina Morato

thanks for your service!

im a huge believer in using leverage. get a hard money loan and buy another property that you can add value to. allow the hard money loan to pay for your rehab, and then do a cash out refi and hold the property and then do it all over again.

Thanks Ryan! 
I have never done a rehab so I am pretty hesitant to try a hard money lender for my first one. Especially because I would need to outsource the work (husband is deploying and I will be by myself with two kids) so finding the right property is absolutely crucial. Any tips on buying distressed properties for someone who is doing it for the first time?

Quote from @Angie Castro:

You can still use $70k as a down payment with a hard money lender plus some of the renovation tcosts and then refinance out the hard money lender. Maybe your market isn't the most cost efficient for this strategy but other markets like Birmingham or Jacksonville have much more affordable houses. @Clay Collins

Thanks Angie! 

I have actually spoken to a hard money lender but they are a bit hesitant to fund me since I have never done an exit. Or any extensive rehab. 

I convinced them to give me a loan, but now I am a bit apprehensive on flipping or brrrr’ng with a high interest rate. 

Thanks for the advise , I have never done an out of state investment but virginia housing market is so competitive that I might start looking!

Thank you for the reply Paul! 

Other than the mortgages, we have no other debts and thankfully no ‘evil debt’. Cars are paid for, no credit card or student loans. Our only expenses are the daily ones, partial mortgage (house hacking), food, utilities and child care. 

We do have emergency funds in bonds. And we are both maxing out our traditional and roth. 

My husband is very much into the idea of paying off the condo to get the extra $1200 cash flow monthly. And to also free up part of our VA loan to potentially get another property without needing down payment.

We are opposite in that aspect, where he would like to sit and see where our investment takes us- and I on the other hand feel like we’re wasting time if we don’t have a new project going. 

I do see his point with paying the condo off. I received a phone call today saying that the heloc i am requesting from our primary residence was denied because of our high dti. The two short term rentals are less than two years and they do not consider that as a source of income. 

I feel stuck.. and not sure what our next step should be. Virginia housing is so expensive that I would need a lot more than 70k to purchase a home in cash (i have been wanting to do a brrrr since learning about the strategy)

Thanks for the advice!

Hi everyone!! 

I need ideas on how to invest my $70k cash. A little about me, my husband and I are both AD military and stationed in Norfolk. We have 2 short term rentals, 2 long term rentals and also house hacking.

My question is- how do I invest my $70k in a way that it makes the most returns?!

Options-

*paying off our condo and use the extra money for monthly cash flow. 

*use as downpayment for another property (probably a flip from a hard money lender) 

*stocks?! 🫣 never tried that before! 

*save enough money to buy a property and BRRRR?!

Any advice is greatly appreciated!!

Hello! Any specific things I should know about out of state investing in Colorado? I live in Virginia and would love to try my first out of state investment. Either short term rental or long term rental. What are the things I should know about the area? Thank you!!