All Forum Posts by: Krys L Burke

Hey guys! Excited to say that we just closed our first deal on a duplex, yesterday. 

75k total loan. FHA. $850 /mo mortgage with P&I + escrow.

We will be house hacking.

I need help with the following: 

We want to buy another ASAP. we have nearly 10k cash left over, and no rehab is needed currently (bought off a flipper, newly rehabbed). 

Do I rush to be able to refinance out of the FHA, then get another? Or go the rehab route (really like this idea) and buy one to fix up?

Or is there another way I'm missing? 

Just want the fastest way to get into our second investment. I'm addicted already. 

There was tenants living here when we bought it. And yeah, it's in NY. It all depends on the price range that you're looking for and the rents in your area. This property we got for 75k, but rents are 650-800, depending. We're renting this for 700, and it covers our mortgage

@Andrew Kerr That's exactly what I was skeptical of. Since I don't have a proven track record, I may be getting ahead of myself as far as a lender is concerned. That puts a damper on things, initially, but it can be worked around. Thanks for the post and knowledge, man!

Hey ladies and gents. Let me tell you first, I've been dreaming of taking this first step for entirely too long. We finally dove in and made the purchase. And although we haven't close yet, we feel we're getting this place for a steal. 

My questions are as such - If I'm purchasing this on an FHA, but want to purchase another property conventionally, before I can refi, would that be possible? My plan is to have another down payment saved up within the next 6-8 months. And then, once I refi, grab another FHA loan and ultimately end with 3 properties this year. In the interest of disclosure, I'm staying sub- 100k in these deals. This first one is 75k overall... Am I reaching too far? Am I missing a vital piece of the puzzle? Or are my plans on track?


Question 2 - I've done the numbers and I'm wondering if I'm missing anything? Typical closing costs, etc. 10% vacancy (long term tenants) $2,000 a year for maintenance. $900 insurance, $2800 taxes.. Both actual numbers. What am I missing? The numbers seem too high. Or is this just a really good deal?

Thanks in advance. 

Hi David. I'm no professional. I JUST purchased my first property. However, I can tell you that it is completely possible to have your mortgage paid in full, even if you're doing an owner-occupied situation. 

I purchased my duplex with an FHA (typically higher mortgage, due to less down payment, as you know) and my mortgage is still covered completely. I'll refi in a year and rent out the second unit.

@derek e taxes are around 4300 /yr.   since I'm going fha my mortgage will be 1100 /mo 

No renovations are needed, however I'd like to eventually get the downstairs as show worthy as the upper unit. Not a concern right now though. 

If my numbers are right, this should cash flow about 700 /mo when we move out and rent the upper unit 

First let me start by apologizing if I leave out any critical info. 

The property is a duplex, 3 br top and 3 br bottom. Tenant occupies lower unit and has been there 10+ years with perfect rental history 

Top unit all redone except needs modern windows in a couple rooms. 100+ year old building. 

Quals for FHA.

 The house is valued at 106,000, the seller asked 125, I offered 120 (basically to hold a spot and get some advice). 6% closing costs to me. 

Tenant pays 825, heat and hot water included (will be raised). and i know when I move out, I can get 1000+ for the upstairs. 

I honestly don't plan to sell, so the value of the home would be just for refinance purposes, correct? 

To me, the numbers add up in the long run, but I wanna know if I'm skipping something. 

Hey guys, thanks for the welcome. 

@steve that's my thought as well. Though, given the zip code it's in, it has some room to grow. (the 4plex) I know some paint, carpets and appliances could drive up rent. 

Hey ladies and gents. My name's Krys, I'm 29 and looking to finally purchase my first property. Been listening to the podcasts for 6 or so months now, before I decided to take the plunge and join BP. 

Having trouble deciding on a SFR or cheap, already renovated 4plex. I know the smart answer, but the SFR plays to my "I wanna own a house and live in it" side. Ah well.

Currently I'm a truck driver, Im on the road 3-5 days a week, and gross about 75k. I'd like to make that passively haha. 

Other than that I enjoy hunting, bows, cars etc. Typical guy stuff. 

Look forward to hearing from you all!