All Forum Posts by: Kenneth Williams

Have you looked into Memphis?

Hey Josh,

Yeah, I can totally see why that preapproval feels a bit low, especially with your strong financials—$100k income, $100k cash, low student loans, and a 780 credit score. On paper, you’re looking solid.

A few things could be going on:

1. DTI (Debt-to-Income Ratio)
Even with low debt, lenders have their own limits on how much house you can afford based on your income. Sometimes they’re just conservative with it.

2. FHA Limits Might Be a Factor
FHA loans have specific limits that vary by county. In most Midwest cities, you're probably under the cap for a duplex, but it's still something to double-check.

3. Rental Income Isn’t Always Counted Fully
Even if you’re planning to house hack, some lenders only count 75% of the projected rent—or not at all—especially if you’ve never been a landlord before. It depends on the lender.

4. Not All Lenders Are Created Equal
Some banks are just stricter than others. I’ve seen clients get totally different preapprovals from two places within the same week.

What I'd Do:

• Shop around—talk to a few lenders, including ones that know how to work with house hackers.

• Ask how they handle future rental income.

• Look at both FHA and conventional options, just to compare.

You’re definitely not crazy for asking—sometimes it’s just about finding the lender that knows how to make your numbers work. I got a guy that may be able to help you. Just message me and I'll send over his information.

Hope that helps!

Congratulations on getting the triplex and it's very smart to move into one of the units. You definitely want to present yourself as the property manager. I would do this so that there is some distance between you and the tenants. Also, keep everything as separate as possible. I have a separate bank account and credit just for my investment property. It makes things very easy when tax time comes around. Hope this helped. If you need anything feel free to message me anytime!

Wow that deal looks good! Keep up the good work!

What cities are looking into?

Are you looking into out of state investing or would you like to stay in Tampa?

Hey Ying! 

Welcome to the BiggerPockets family and congrats on everything you’ve built so far!

I'm a realtor, investor and property manager here in Memphis and I totally get what you're saying about how tough it can be navigating unfamiliar markets especially when you're trying to balance cash flow, appreciation, and different strategies like BRRRR. I actually bought my investment property using this strategy. I also want you to know upfront. Every market has its quirks, and Memphis is no exception lol.

Here, success really depends on your approach. Are you looking for turnkey properties with immediate cash flow? Value-add plays that need some work? Or long-term holds in appreciating areas? Memphis can check a lot of boxes depending on your goals, but it helps to have someone on the ground who understands the neighborhoods and how investor-friendly certain pockets are.

If you ever want to chat more about what investing in Memphis looks like or need help figuring out if it aligns with your bigger strategy, feel free to PM me. I’d be happy to share what I know and help however I can!

Yes, absolutely! You will definitely need to consult a realtor or property manager . We would be able to really break down the market and guide in the right direction based off of your strategy !

Hey BP Community 👋

I wanted to share some practical takeaways from managing rental properties here in Memphis that might help fellow investors—especially those who are out-of-state or just starting to scale up.

Over the past few years, I’ve managed a mix of single-family homes and small multifamilies across different neighborhoods here in the city. A few patterns have stood out that might be helpful for those considering investing here:

1. Leasing speed matters more than you think.
Vacancy will eat your cash flow alive. I’ve found that having a clear 7-10 day process between tenant move-out and re-listing is key. Delays with vendors or indecision on repairs can drag this out, costing you big time.

2. Tenants want structure and clarity.
I used to think being flexible would keep tenants happy—but what really works is clear expectations, timely communication, and systems (like scheduled inspections, easy rent payments, and benefit packages that give tenants a reason to stay longer).

3. Neighborhood knowledge goes beyond ZIP codes.
Two streets apart can mean a totally different experience in Memphis. What looks like a solid rental on paper might have local challenges—so having someone who really understands the micro-markets can save you a lot of headache.

4. Repairs: cheap isn’t always cheaper.
It’s tempting to go with the cheapest option, especially from a distance. But repeated fixes and tenant complaints often end up costing more than hiring the right person the first time. Building a team of reliable vendors has made a huge difference.

If anyone is investing in Memphis (or thinking about it), I’d be happy to trade notes, answer questions, or just share what’s been working and what I’ve learned the hard way. I’ve made a ton of mistakes—but those lessons have helped create smoother, more profitable rentals.

Looking forward to learning from all of you too.

House hacking is when you are using one unit or property to create multiple units. So for example. We took a duplex that had an attic and we turned it into an efficiency unit. Does that make sense?