All Forum Posts by: Matthew Patton

Hey all,

As I hunt for my first multiplex, I'm coming across 3/2 SFHs with either one or two apartments in a detached building behind it. I'm curious for anyone out with one of these setups. At first glance, it would seem like someone interested in a full size single family home isn't interested in having people live on the same property behind their house and it may prove harder to rent out than the apartments themselves. Or at least, that's my guess. Or am I wrong? I keep coming across a 3/2 SFH with a detached 2 car garage and a 2/1 above it.

The numbers work for me. But I'm concerned about rentability with the front/main house after I move out of it in a year. 

Thanks again! 

Thanks all for the welcome. Looking forward to diving into this! Glad to have discovered the forum!

Hello! 

New to investing in real estate and on the cusp of making my first purchase. First purchase plan is a 3 or 4 plex with an FHA loan. After that I'm interested in SFH investments. I'm quite happy with my career so I'm not looking to quit my job, but, it's a boom or bust industry and I want another "iron in the fire" to break off from having to rely on that career. I'm born and bred in Florida and have spent most of my life in Pinellas County.

For the past couple years I have been reading everything I can get my hands on, put my finances in order, and I'm ready to jump in. 

Wish me luck. 

Thanks Anthony. I thought about that as a possibility. I'm curious how many others like to do that as well. 

I'm aware of all of this. Up until today (Before I paid to have access to the pro membership), I have been doing the math manually. Via an excel spreadsheet I made. It automatically factored in the FHA percentages.

However, the Biggerpockets rental calculator does not seem to do this. And it actually kind of screws me up because I can't even put in a custom financed amount number. It's just a sliding percentage bar with preselected percentage amounts. 

I really liked the printout analysis that the calculator does but because I can't put a precise financed amount in, it effectively makes the calculator useless for FHA loans.

Please correct me if I am wrong. 

Well an FHA loan, if below 10% down payment, adds an insurance fee onto the purchase amount of 1.75%. So this would affect the actual monthly mortgage amount. Also, it then charges a 1.05% monthly insurance fee.

I could, under expenses, add the monthly PMI expense. However, there's no where for me to factor in the upfront FHA 1.75% fee that affects the financed amount.... or even anywhere to manually insert a financed amount.

Please correct me if I'm wrong, but it's how I've been doing my manual math calculations. 

hi all,

I am in the Tampa area attempting to buy my first 3 or 4plex to move into. When crunching numbers for a max offer price, I'm factoring 10% maint, 5% vacs, 10% management.

Some of the units are rehabbed. Some are not. Most of them are over 50  yrs old. I'm curious what you are experiencing with these costs in the St Petersburg/Tampa area. I feel I may be trying to put aside too much for rehabbed units (or maybe even non rehabbed for the price point of everything down here) and am coming up with max offers that are well below asking price. And with this market Im not sure I'll be able to safely get in on the fun.

Appreciate your time.

Matt

I am just starting to play with the rental calculator and am wondering if there is a way to factor in the expenses associated with an FHA loan? Without these expenses, all the numbers it gives me are going to be incorrect.

Appreciate anyone for the guidance. 

Thank you. 

 Thank you! I'll do that. Nice to see a different perspective with your percentages amd experiences. 

Thanks John.