All Forum Posts by: Lester Hess

Thanks for the feedback Cody.  The seller did not accept the counter offer I made at $365k, so I have walked away from the deal.  

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Good morning BP.  I could use some help on a deal I'm considering in NC in a nice small town near Raleigh.  The property has a 1045sf, 2 BR, 1.5B SFH and a duplex with each unit containing 2 BR, 1BA.  The duplex units are currently rented at 800 ea. and the SFH at 900.  Lease for one unit is up 1/21 and the others 5/21.  All tenants seem great and want to stay.  Property is in good condition.  Rents are below market for area.  I would manage the property.  COC Return is not great to start, but if I raise rent 5% annually for first 3 years to get them closer to market rent it will improve to 9%.  Property is zoned commercial so future opportunity for other uses.  I would finance with a 30 yr. conventional mortgage with 25% DP.  Would have a partner and would draw half of my DP from a low interest HELOC. I'm in negotiation with seller and hoping to get sale price down to $365k- $375, but included worst case in my analysis.  Appreciate any thoughts as this is my first investment property.   Thanks!

@Sean H. Worth considering. Thanks.

Can anyone provide any insight on whether or not Wilson, NC is a good city to invest in rental properties?  

I’m a new investor in the Raleigh area and am looking for a good wholesaler to connect with.  Any recommendations would be appreciated.  Thanks 

Sorry, I have to cancel for tonight.  Hope to get to the next one!  Thanks for organizing!

@Brandon Dumbuya. Thank you! I will definitely look into the Home Style loan option.

@David M. Thank you. Makes sense.

Thank you Paul!

I am just starting my real estate investing journey and am in the process of trying to find my first deal.  I'm looking for a property that we can renovate and then hold as a rental.  I've been looking into what different financing options are available.  My question is:  Assuming the home will qualify for it, does it make more sense to go with a conventional mortgage or to roll the rehab costs and purchase into a renovation loan.  Thoughts?