All Forum Posts by: Marc Rice

@Gustavis Martin

Buy real estate. You can do an owner occupied loan on a 2-4 unit for as low as 3-5% down.

@Amelia Ghold

I always recommend doing an owner occupied low money down loan since you're putting 3-5% down and are seeing insane CoC returns. But in your case without an income you won't qualify.

The other option is to have a family member co-sign on a single family owner occupied loan (2-4 can’t do non owner occupied coborrower) and then house hack by the bedroom.

You could also partner with someone who has a W2/is loanable and provide 1/2 of downpayment and split responsibilities.

Other option is just buy cash, could borrow a small portion for the remainder you don’t have privately.

@Carl Dispoto

Surround yourself wit investor friendly agents who own rental property and you’ll learn a lot

@Gabriel Lopez

You’ll want to start backwards.

1. How much money do you need to be making in rental income to leave your job in 3 years?

2. What’s the average rental income you’ll earn per a rental property? How many do I need to purchase?

3. How much cash will I need to purchase those said rental units?

I recommend finding a local investor friendly agent who can help you analyze deals and bring you deals also. Especially being new to the area you’ll want a local guide

@Mike V.

Did you see their offering Airbnb hosts initial stock offerings? Was tempted to do that since we host a lot of units and would be nice to have an interest in the growth of Airbnb, but concerned on their financials and government restrictions

@Justin Franklin

I can only speak from research/videos. The biggest risk you face is the due on sale clause being triggered causing you to have to pay the entire note.

That also isn’t much cash flow, what if there’s a vacancy or any capex? YouTube has some great deep dives on how Sub2s vs Land contract vs owner financing works.

@Allen Tracy

Rentometer is good as a reference but I always recommend checking actual listings on Zillow/Apartments.com/etc as well as checking with a property manager. I always think it’s important to not just look at bed bath count but the entire units layout and amenities. You’re renting a place for someone to live, not just bed/baths.

@Alex Craig

Do you think there is a middle ground such as hiring a project manager employee to coordinate subs and projects?

Yes, that's important to consider. But that's also where all the return on investment is. Find good local partners and scale.

@Marc Rice

Does not include debt service in my above rule.