All Forum Posts by: Lindsey Iskierka

Hi Billy!

Have you been living there since 2010?  If so, you won't be hit with capital gains taxes when you sell and earn your profit.  If you're seeking newer construction in OC, I would suggest putting a good size down payment to keep your mortgage payment lower and give you room to save for an investment property.  Or put down just some of the profit and use the rest of the proceeds to purchase another rental property.  

How much would you cash flow if you were to rent it out?  

Hi BP Members!

A friend/client of mine is asking for access to a selection of section 8 housing here in Los Angeles; preferably a SFR or duplex unit if possible. Does anyone have insight to how I could help her access a list for her husband's aunt to live?

Thank you in advance!

@James Hill III Anytime! 

Hi Kyerin! Welcome to BP and to real estate! You’ve found a great place to start this journey. Do you have an idea of what you’d like to start with? I house hacked for my first deal and it’s a great way to get started and grow your portfolio. The savings in your mortgage along with with equity you build will help fund future deals and open more opportunities. Let me know if you’d like to chat more! Blessings, Lindsey Iskierka

For wholesaling you'll most likely need an escrow company that will do a double close or a simultaneous close.  

The "and/or assigns" clause isn't really permissible here in OC. 

I would ask for referrals to escrow companies or reach out to wholesalers here in the area and ask how they close deals.  It's harder to wholesale here, but people are definitely doing it =) 

Are you looking for just a title company specifically?  Or do you need an escrow company that will do a simultaneous close or work with wholesalers?  

@James Hill III Welcome to BP!  I enjoyed reading your intro and am excited for you to start this journey.  

Living here in SoCal it could be difficult for someone new to investing without a ton of capital to get started, but so many investors (including myself) have done it and it's absolutely possible with the right strategy.  

My husband and I live in Long Beach and are currently house-hacking our triplex. We live in the front house and rent out the duplex in the back. We purchased it using a VA loan, very similar to an FHA loan where you can get in to a small multifamily with little money down. After all expenses and rent checks, we pay less than our 2 bedroom tenants do for their rent! We live very cheap and reap all the benefits of owning an investment property. Our strategy next is to do seller financing for a fourplex in Belmont Shore and to fund other investors' "flips".

I'm a Realtor here in the Long Beach area and work with investors who are just getting started.  If you'd like to see the current list of inventory of small multi-family homes let me know!  I think that would be a great way to get your feet wet and purchase more than one unit for your first investment.  We live in a great area for that.  

I'm here to help and serve if you'd be interested.  Best of luck! 

Blessings, 

Lindsey Iskierka 

@Harsh Patel Our house hacking property is just under our personal name. As we acquire more we'll put in an LLC. Tax advantages are still great owning in your own name, particularly if you just have one.

@Harsh Patel I am currently house-hacking in Long Beach and am having great success with it.  We bought our triplex in October 2016 and have slowly been doing some moderate renovations to one unit at a time.  At this point we are sitting on over $150k in equity and when we move out of our unit we will be positive cash flowing over $500/month after property management expenses.  

We used a VA loan which is very similar to an FHA loan. FHA does have loan caps for multi-family though so you would have to come up with additional capital should the purchase price exceed the loan limit. For example, the limit for a duplex is $870,225. If you wanted to buy a duplex listed for $950,000 with a down payment of 3.5% at $33,250, you would combine your down payment with the maximum loan limit of $870,225 and get $903,475. Therefore, you would have to bring in an additional $46,525 in capital to equal the purchase price of $950,000.

So yes you can use FHA loans and they're easy to qualify for, but there are loan limits you should be aware of in our expensive market.

Loan limits: 

Duplex- $870,225 

Triplex- $1,051,875

Fourplex- $1,307, 175 

I hope this helps!  If you would like a current list of inventory for small multifamily properties in your area let me know!  

Blessings,

Hi Sean!

The best source for information like this and market statistics is to contact a competent real estate agent in your area.  They have access to raw data on your neighborhood and can show you the standard DOM (days on market) and the list to sale price (how much are homes listed for versus what price do they actually sell for?).  The real estate agent works for you so they should be happy to provide market updates and any information you'd like to have about your area.  Referrals are the best way to find a great agent versus Trulia, Zillow, or Realtor.com which sell ad space for agents regardless of their experience or expertise in working with investors. 

I'm from Orange County so I'm about 2 1/2 hours away, therefore I wouldn't be the best expert for you.  I hope this helps though! 

What exit strategy are you aiming for? Flips? If you're concerned about holding a property or letting it sit on the market for too long and losing money, consider having more than one exit strategy.  If the home doesn't sell for the price you're looking for in a flip, would it be a good rental?  Be prepared to analyze the property with more than one exit strategy and you should have much better confidence in investing. Best of luck!

Blessings,