All Forum Posts by: Lien Vuong

That's awesome you're learning different types of strategies and looking for ways to get into the RE industry. Have you had success with wholesaleing thus far? Have you been driving for dollars? That's definitely a good way to gain some momentum in learning about the geographical area as well getting to know the community. 

I used to live in Beverly myself so I'm well versed in the North Shore market, there aren't a ton of multis except for Salem but it's a strong market where you could definitely employ the BRRR strategy if you find the right deal! Another great way is for you to find a property and use your FHA 3.5% down which is very low and try to house hack that way.

I love the idea that @Eric Sullivan employs both the long term tenant and short term tenant strategy to create cash flow! It capitalizes on the market entirely and helps to diversify your rental income. 

If you wanted to close and are firm on that, you can write in the contract that you will close by x date or pay a penalty. Make sure that performance is done on your part and if any delays does happen, which is VERY common in foreclosures as title is always a little messy, you are not actually penalized, the bank is and is obliged to extend the contract.

That's a great bargaining tool, you have cash, no contingencies, and ready to close on time! What more do they want?!

What a bromance conversation here! I'm very entertained! I think it's great that you're sitting down and considering your next 20 years as - from what I'm told - it creeps up on us quickly. What you've managed to achieve for active income stream is tremendous and really commendable and it's time to put that money to work! 

For me, another millennial living in the Boston area and aiming to achieve financial freedom and positive cash flow, I exercise the rental strategy for sure. There are many of us and opportunities if you're actively looking. For example - there's a 4-plex right now in Malden that you could purchase for about $1M that has gross income of $105k. While you do not have a lot saved up just yet, you can still put 10% down and create positive cash flow from and and the property will appreciate after time. In this particular case, you could actually condo out these units as they have a great layout. 

I also exercise the strategy of Airbnb - currently working on my third - to have low start up costs while cash flowing a very similar amount as a rental property. I just need first, last, security, and a weekend of interior decorating. Those units cash flow for me about $3k a month and they're in completely different states! NH and FL! There's nothing you can't do without a phone haha

I think your next steps would be to get your gf on board so you guys can really hone down on your long term investing plan and decide where your passive stream of income would be. Start out small, rent an Airbnb and try to be a landlord or buy a 2 family. I'm a big believer in 'proof of concept' before expanding. 

Good luck and let me know how I can help! 

This policy will no be owner occupied it will be vacant with rehab. I think you might be shopping with the wrong insurers. Looks like you're in good hands with @Jason Bott 

Amazing story and bargaining story! This is the first of many I am sure!! You've caught the bug! Make sure you capture all the moments for your little one. Congratulations on your success :)

Congrats on making a move onto financial freedom! I think you're making the right steps to met with professionals such as lenders and agents who know the market well and give you feedback about it. 

I would definitely shop lender rates without running credit to see who has the most advantage package comparing a bank's rates vs. credit unions vs. mortgage companies. Know that origination fees/points/rates are all negotiable. Even if you found a great property and did not properly shop your lending you could be paying for it in the back end. That's been my personal experience thus far. 

Additionally it is obviously great to speak to agents as well but be mindful to speak to ones that know the strategy you're employing. The majority of agents out there work the 'retail' work aka buying/selling someone a property once for primary residence and that's it. Based on what you've expressed that is not your goal so establishing that rapport and foundation of trust and knowledge is imperative at this point in your investing timeline. 

Good luck!

What are your goals for the property? Are you looking to live there and rent some of the space or other units out? Are you looking for flips? If you've already met with banks what's the obstacle of you obtaining a traditional loan? There are a lot of programs out there for low income individuals. Additionally you can always go with the Hard Money Lender route that and get funding that way. 

Hey Adam,

Why don't you ask your agent to do it? This is very standard procedure when it comes to selling a property because the selling side does the appraisal. The ones I have used in the past have been very straight forward using three comparables in the neighborhood (.5 miles whenever possible), within a 6 month timeframe of houses SOLD - do not use currently listed, as well as similar specs of the house such as bed and baths. Obviously you're going to use the higher ones in the area so that it will represent it in a better light but this is a fairly common practice. 

MLS systems will definitely be able to do this and that is why I asked you to reach out to your agent. Alternatively you can search Realtors.com or Zillow for solds in your local area also if you do not have that resource.

Good luck!

This is an interesting means of considering .. following this thread to see the cause of this also. I have seen $1 a dozen times in cases of inheritance or something but never $0. 

I know a HML that lend on a property as long as it cash flows. They analyze the property and see what your rent roll looks like and decide on the lend based on that not on your personal income. Their rates can be competitive as 6-8% 85% LTV and you ca obviously refinance in the future but if the deal is sweet enough I think I could make that work!

There are so many creative financing strategies out there, just ask the right questions!