All Forum Posts by: Mariano Mossburg

Hey Stephen, 

Thanks for post! It seems that listings are sitting longer on the market and fewer offers with 20% or higher are being put in. I'm working on my first deal, but am hesitant with an FHA due to the criteria the home needs to meet to be approved. I am looking for a deal with a little more sweat equity.

What input do you have about an FHA 203(k) loan? Am not sure if that makes the process a little easier or if I should just go for a conventional loan if the deal does need that work and an FHA wouldn't be approved.

Hey Vladimir,

Since you are new to RE it wouldn't hurt to look for affordable markets in your backyard, Florida. It gives you the flexibility to be within an afternoon drive to your property. Another aspect to take into consideration is population growth.

Take into consideration the market, and your long-term goals. I'm located in Northern Florida and recently moved from Miami. Every market in between us has seen tremendous appreciation.

I am no expert, although am halfway through Pace Morby's book "Wealth Without Cash". He is all about creative finance. It has opened my view on how to finance properties without going the route of traditional financing. Hopefully, he can ignite some creative ideas for you.

Here are two of his podcast episodes on BP:

I missed this recent meet-up but should be there for the next one! Excited to hear market expectations for the upcoming months.

I agree. I'm around the 200k price range and that limits my options, although a good deal can still be found. I've allotted a portion of my budget to do the renovations for a property to convert a portion of the house like you mentioned to maximize rent. Depending on the situation and location, it could be an airbnb single room unit if the a br is included. 

Thank you for your input Jenn!

 There are good options for house hacking in the area. I've also seen a lot of ongoing development,  apartment/cookie-cutter single-family homes closer to the 75 exits West of the college. Thanks for the advice!

 Thanks for the feedback, Michael. 

I grew up outside of the DC area in Anne Arundel and Montgomery County and am quite familiar with the markets surrounding the Beltway. What areas do you find most of your success? I've been thinking about purchasing a property in Maryland later on down the road. The market I'm currently in is easier to get started with average home prices. 

Location: Northern Florida(Gainesville)

For your first property, what do you think about house hacking compared to purchasing a rental? In this scenario, your current living situation would most likely be cheaper than the cost of your house hack expenses. 

I'm leaning toward a house hack for three main reasons:

1. Financing options... Buyers are also more likely to accept an FHA loan during current market conditions with less sale volume.

2. Tax benefits.

3. Ability to increase the value of a house(renovations) over the span of a year while it is your primary residence.

Concerns: 

1. The mortgage expense for the first year before renting it out.

2. Financing options limiting the possibility of a good deal(not getting approved for a fixer-upper with sweat equity)

Am I wrong? Am I right? 

There are other financing options, but I wanted the bigger pockets community opinion. 

Congratulations on taking the leap and committing to posting your goal on biggerpockets! Life is easier when a community is supporting you. I am new here and planning to do the same thing in the Gainesville area. Please follow up when you make the purchase and let us know what you learned through the process.

- Mariano 

The correct location is Gainesville, Florida.  

Here comes another first-deal advice post!

 Time to get the first property out of the way! I'm leaning toward a house hack to get more familiar with the process and build my network in the area. In other words, a first deal with training wheels. My main criteria are finding a property where value can be built by me renovating, building that extra room etc... My main goal for this deal is to put me in a position of strength for the second deal. I am in no rush. The uglier the better. The economic outlook is uncertain and interest rates are high, but people just can't stop moving to Florida. 

Excited to join the community with this first post and contribute any knowledge I have to help others.