All Forum Posts by: Matthew Brill

@Angel Sledge

There is a rent estimator on BP. I also use rentometer.com will search adjacent listings on craigslist, rent.com, and padhopper (realizing that listed rent won't necessarily what ends up being the contracted rent).

I would first look at states with investor friendly tenant-landlord laws. I'd also look at states with no income tax in the south. That would really put you in Florida, Texas and Tennessee. You can find cash flowing markets in each state, just matters how close to a big city you are. In Florida, I'd look around Orlando, Tampa, and Jacksonville.

One thing you consider is partnering with someone that will actually live in home for a year (sibling maybe?). Not ideal but you get in for 3.5% down. Or you just wait a little longer (might take you months to find a deal anyways), and then "intend" to live in it. 

 It depends on the interest rate. I'd say roughly $50 per month. But interest rates being low it makes more sense to do it. I have recently refinanced 4 properties and bought the interest rate down in all of them, rolling the points into loan which have resulted in a lower mortgage payment than the par rate.

I would start by asking the lender if they originate FHA loans.

Your question regarding the getting the seller to increase the purchase price but concede closing costs will be seller specific. It is no net change to them but you put the appraisal at risk since it now has to appraise for a higher amount. This would be the ideal situation though, especially at today's interest rates. The lender credits will be lender specific, sometimes they have a promotion or availability to give a credit and sometimes they don't.

You can always titrate the downpayment amount up until you get to a cash flow number you are comfortable with. Generally, a lower down payment brings down cash flow but will increase ROI.

In general, I would ask an agent if they have heard of house hacking or if after describing what you are trying to do if they have helped a buyer with a similar purchase before. You can also ask if they have worked with investors before since you'll probably have more luck with an investor friendly agent. Asking about working with FHA buyers is also a valid question as @Brandon Sturgill mentioned. The other thing you can consider is going with a lower down payment conventional loan (depending on how many units the property will be).

I have house hacked twice and helped some friends do it as well. The best place to start is with knowing what you want to accomplish with the house hack for both the near and long term, there are a few different strategies to take with it. From there it will help narrow down your criteria to have a more focused search. Happy to chat more about it.

I would look at the numbers and determine what will put the most money in your pocket each month. I think that @Zack Karp is right. As long as the condo will be cash flow positive after the refi and you find a house hack that will decrease your living expenses from where you are at currently, that will be the best option. The less you are spending each month the more you are saving each month towards the next investment purchase.

If you are just using the LLC as a leasing company then that wouldn't be an issue. But if you are talking about transferring the deed to the LLC then I wouldn't do that while you live in it. You will lose you homestead which will have negative tax and asset protection implications. But like @Jaysen Medhurst said, any asset in the same LLC will be grouped together for a potential creditor.