All Forum Posts by: Martin R.

This is going to be my first meet up and am very excited to attend (and of course get a beer)!  Thanks for putting this together and see you guys soon!

@Evan Polaski

Never thought about pulling out a construction loan Evan, thanks for the suggestion !

@Dave Peterson

Thanks for your response dave! I have a lot that I’ve been looking at that has an asking price of a little above 50K. A rough construction cost would be 300K and is in an area that some new construction just got approved for (~50+ homes). A costco just got approved to be built next to it as well so there are some really good upsides to it. The properties value should come up to around 450k+ using comps in the area and this is not including the upside value given with the new construction that is going around in the area!

Hello BP members!

I an investor based in Sacramento, CA and have recently closed on my first deal where we built a new home from the ground up! Being my very first deal, I was surprised to find that new construction was considerably cheaper than the average purchase price per home in my area. I am now looking to BRRRR my next deal and house hack it to kick off my longterm investment career.

I was wondering if it might be a better idea to build my next property and refinance out of it instead of acquiring a distressed property.  If the numbers work I can refinance out of a hard money loan and have a new construction property that would nearly eliminate any typical costs that are associated with older properties.

Thank you guys in advance for your advice and suggestions!