All Forum Posts by: Kayla Heine

I own 2 properties with one property being rented out by rooms. I cover water, wifi, and even have a cleaner come by once a month to prevent any problems with cleanliness. They are long term rentals. I suggest buying 3+ bedrooms and renting out by room to 3x your net profit. The reason is because Portland is a high price market and you have to make things work for you. Hope this helps feel free to reach out. 

 Thank you!! Very exciting 

Investment Info:

Condo buy & hold investment.

Purchase price: $242,500
Cash invested: $12,000

New 2022 build condo, 2 bed 1.5 bath 855sq ft. $20 monthly HOA, my interest rate is 5.9% which isn't bad compared to the time I'm writing this (June 14 2023)
Purchased home in 2023! We temporarily moved in and plan to move out next year and purchase another primary. My plan for this home is to turn it into a medium term rental so we're leaving all the furniture and supplies behind! If that doesn't work, I can do a long term rental, or rent by the room. I made sure I had options.

What made you interested in investing in this type of deal?

Buy and Hold has been the easiest and most simple way to invest, when I saw these brand new condos up for sale and the time they spent of the market, I had to dive deeper and get all the details. New homes have the most profit potential

How did you find this deal and how did you negotiate it?

MLS and my rockstar agent negotiated a brand new fridge and brand new stackable washer and dryer tied in with the loan, it was a great deal and less hassle for me to spend time buying new appliances out of my pocket, OPM for the win!

How did you finance this deal?

5% down conventional loan through the suggested lender the builder was working with

How did you add value to the deal?

Adding appliances and now I let time do its thing!

What was the outcome?

Move in

Lessons learned? Challenges?

I learned that I need to take more time when deciding to purchase a property, the first condo I attempted to purchase I decided I didn't want it, after earnest money ($5,000) and appraisal money paid. Long story short I wasted $800 for an appraisal and inspection fee wasted, my agent made a mistake and lost my earnest money, but with her being a rockstar agent she forfeited her commission and communicated with the lender of the new condo and basically kept me from giving up another $5,000!

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Absolutely! I will always work with Michelle when I'm buying in Oregon.
My two lenders that I have worked with in the past Micheal King and Josh Hitsman are always my go to

Investment Info:

Condo buy & hold investment.

Purchase price: $272,000
Cash invested: $14,000

Purchased as a house hack and has been going great!

What made you interested in investing in this type of deal?

After finding and listening to as many episodes as possible of bigger pockets it only took me another 6 months to purchase my first home as a primary.

How did you find this deal and how did you negotiate it?

MLS. It sat on the market for 20+ days so I used that to my advantage, I got the seller to pay 3k in closing costs

How did you finance this deal?

FHA

How did you add value to the deal?

Re done the backyard, added some tenants

What was the outcome?

Primary home!

Lessons learned? Challenges?

Storage is a must in a primary home & to be a bit more selfish instead of considering other people’s opinions

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Absolutely! Michelle Newman

@Wyatt Franta Thank you, you are right. I need to be very firm on lowering the price or else it’s a terrible deal. If he doesn’t then I must walk. 

@Ned Carey the inspection will be about $530 and appraisal about $1,000 is what I’m hearing for Portland, Oregon. It can be $750 but up to $1,000 if the property is complex. I am very new at this. My lender says if the inspection is terrible, then we wouldn’t order the appraisal 

@Joe Splitrock I agree, I think I want to sit down with him and my agent and explain what could happen before I spend $1,500 and risk wasting it. That would also give us a chance to explain the contract in person and express how serious I am about his house, but yes if he doesn’t budge then I would have to walk away ):

Thank you for your response! I appreciate it

Hello everyone! I need advice, I am attempting to buy a 3 bed 2.5 home (My very first home) from a older gentleman with;

no representation

who is trying to move out of state ASAP

Who refuses to pay a broker fee (because he absolutely does not like agents)  

and he also DIY his home by adding the extra rooms and bathrooms. The problem is that permits were NEVER pulled for the additional work, so on paper the house is considered a 2 bed 1 bath. He is VERY firm on the asking price, and is very proud of his work. And wants to walk away with full asking price, he says that if I offer over asking price, that can pay my broker fee.

My agent and I are worried that if I go through the inspection period, and appraisal period, which will cost me $1,500 roughly, the appraisal will not count the additional added space, it will only be considered a 2 bed 1 bath, which is great for me because then the price can be lowered! BUT we are worried he will not drop the price because he feels it is worth more. 
He is going to have this issue with all potential buyers, the fact that permits weren’t pulled will be an issue. 

So do I take the risk of losing $1,500 in hopes that he drops the price, or do we explain all of this to him and negotiate beforehand? 
Asking price is $295,000 but in my market a 2 bed 1 bath is around $250,000 leaving me enough money to pull permits and bring the house up to code. 
Right now he countered offered with paying $3,000 of closing cost. That’s where we are at. HELP