All Forum Posts by: Laura Shinkle

Hi @Sydney G.congrats on your upcoming relocation. I looked up some stats for you to get an idea of how common what you're looking for is and the price points. I'm looking in our MLS in the Charlotte area, both NC and SC.

In the last 12 months, there are 4 multifamily properties that are new construction in Charlotte. None in the Indian Land or Rock Hill areas. There were 429 multifamily properties in total during that time, but most of the concentration of properties like this are north of Charlotte, in Kannapolis, Concord, Lincolnton, Hickory, etc. So that's 0.9% of the already limited inventory. The ones that match your criteria are listed/sold at $735,000 on the low end and up to $1.5M. 

I love multifamily as much of the next gal. But just looking from a likelihood scenario, those are some rough numbers and is literally looking for a needle in a haystack. Doable, but tough and you would need to act very quickly if you saw something that matched your criteria. 

Happy to discuss more if you have questions on specific areas. 

 I don't blame you! I don't think I could convince my husband to share a living space either lol. Best of luck with your new adventure!

Definitely talk to lenders, be upfront about your situation, and see what you can do. It'll be a lot of talking, phone calls and document uploading, but that's how you'll find out definitively. 

A co borrower isn't a bad idea, but does take some of the autonomy out of owning the home, plus you have to find someone with good credit and income that would be willing to do so. That may hinder the co borrower from buying another home or getting loans. 

Also, I recently saw a lender that posted your commission can be used for certain things in purchasing a home, such as down payment. That may open up lending options if NFCU won't allow it. 

All this aside, talk to some lenders. That's your first step. Best of luck!

Honestly, tenant evictions need to be handled carefully. If the letter of the law isn't followed and your tenant knows more about the law than you do, then they can play the system. I would honestly recommend getting an attorney involved. Perhaps a letter from an attorney will be enough to get out. If it's not, you'll know you have an attorney that can handle it should more be required. AND you'll know it's being done the right way. 

And don't let this stop you from house hacking. It's a great investment strategy. Just make sure you have a written lease in place from the beginning, before anyone moves in. 

@Tucker Myers I would actually start with finding a Realtor that is familiar with househacking and can guide you on locations to look as well as good lenders to help you navigate the loan and figure out what you need to do/how long you need to be employeed before you can qualify. 

I am not familiar with the Fort Collins area, so I can't speak to what kind of inventory there is. That said, I would recommend that you be flexible when you're looking and not try to force a certain strategy. By that I mean, if multifamily properties aren't available and/or too expensive, look for something that has a second unit in the basement. or above a garage. Maybe get a construction loan to add value AND add the second unit. Maybe you'll need to househack a SFH and have roommates. maybe those roommates should be a mid term or short term rental rather than a long term roommate. Do what the market tells you will be the most feasible and makes sense financially.

Best of luck!

Definitely find a good agent that has an investor mindset and can help guide you in your local market. What works in NY may not work in Greenville. That Realtor can then help you find a good lender that will guide you on what loan product will work the best for you. 

For a mid term rental, these are typically traveling professionals, right? So if you were traveling for work to a new place, what would you want? A safe place to stay, privacy, security, easy commute. 

Depending on your market, running the numbers as a LTR may not be super helpful. Each market dictates what will work best for your goal, so if LTR doesn't work, don't get discouraged. That's not your specific strategy anyway. 

Check out FurnishedFinder.com for furnished mid term rentals and see what's out there in your area. Pro tip: ALWAYS get professional photos. That will help you stand out from the noise. 

Best of luck!

@Michael Cai what is your goal with real estate? Are you wanting to build a portfolio of homes? Replace your W2 income? Get into real estate full time? Will you require money for a downpayment on a home wherever you move to with the family? Do you have 3-6 months worth of reserves (separate from your family's emergency fund) set aside to be able to float any expenses that come up? Because they will. 

There's a lot of different options, and every investor can argue a different strategy until they're blue in the face. But you need to be clear on your end goal so that your decisions line up with that end goal. As well as lining up with your family's needs right now. 

In my thoughts, it doesn't matter what your interest rate is. People have gotten so emotionally attached to their 2.5% interest rates. It was great while it lasted, but that's no reason to hold onto a property. 

With your numbers....$2100 for PITI, $300 for PM, $150 for vacancy, $300 for cap ex and maintenance (some would recommend 10% each for Cap Ex and Maintenance) You'd actually be cash flowing about $50-$150/month (back of the napkin math).

With those numbers in mind, what best works for your family's needs and to reach your RE goals?

Well the first time homebuyer and the househack are two different things. 

For what it's worth, I don't think that 2% (potential) difference is worth changing any plans over. :)

Sounds like you have a big decision to make soon! Good luck and if there's anything else real estate related that you need help on, let us know!

 I completley agree with @Lawrence Potts. 

1)Talk to a lender first, no one here will be able to tell you if you are able to qualify for that loan. Also, it'll depend on what you're putting down. Are you intending to put down the full $200k you've saved? Or less? Also talk with a lender who can walk you through the pros/cons of FHA vs conventional. FHA is spoken about like it's the best thing since sliced bread on these forums. But FHA is a loan product made specifically for people with less than stellar credit and higher debt to income ratios to enable them to buy a home. This doesn't sound like you.

2) what's your goal? Do you really want to be able to buy a home like the one you linked to? OR is your goal truly to eliminate your living expenses? It's very easy to squirrel and bounce around on strategies, but always come back to your goal and make sure you're buying properties that match that strategy. 

3) is this finished basement home with a 2nd living space in the basement a COMMON thing to find, or no? Inventory may dictate what you can do with that strategy. 

4) if you don't already, get a Realtor in the area that knows the market well and can guide you on your strategy. 

5) Can you afford the full mortgage payment if finding a tenant becomes challenging?

Overall, I'd say it's a great strategy. It's often tough to househack when you have a family so I love that you're looking at ways to make it happen. I personally would want to find something in a lower range to try to eliminate my living expenses or make them as low as possible. However, my focus is on my budget and expenses, whereas yours may be on quality of life. That's the beauty of real estate, there's tons of ways to invest and make it work for you. Focus on your goal, and make it happen!

The only real benefit of being a first time buyer is you're able to put less down. With conventional loans, you can put 3% down instead of 5%. You can househack regardless of if you're a first time homebuyer or not. 

I don't actually know the nuances of the answer to your question, but does the difference of 2% change what you'd want to do? 

Are you living outside the US currently and wanting to buy a home where you live now? Or is buying outside the US a vacation/investment property? I think more information would help us give advice on your circumstances.