All Forum Posts by: Matt Suchoski

Allie Schraeder - yep, the Investors Network NEPA meet-up still occurs every 2nd Wednesday at 7:30pm at Perkins.

@Juan Rubio

You'll want to find comparable sales (aka "comps") in close proximity to the property in question. Ideally you'd be looking for houses sold within the last 6 months that have similar square footage, bedrooms, bathrooms, features and finishes. Also, you'd probably want to filter out non-traditional sales including foreclosures and complete gut-job type rehabs as these will skew your numbers.

Sites such as zillow.com and realtor.com would be a good starting point.

Thanks @Odie Ayaga! Yes, I've already met several people in my area through the power of BP. I am truly grateful for this community. 

@Scott Vincent

Have you considered Northeast PA (NEPA)? It's within a 2 hour drive of NYC. 

There are plenty of small towns in the Wilkes-Barre and Scranton metro areas that would fit the bill. NEPA is a great market for cash flow and ROI. Don't count on much, if any, appreciation though. That's not necessarily a negative since it shows that the area is stabilized and is minimally impacted by market fluctuations.

There are many areas here with lower crime rates, great school districts and very affordable home prices. They are your typical working class, C -level neighborhoods and they all have access to standard amenities such as restaurants, shopping and public parks.

I'd be happy to go into more specifics if you wanted to send me a PM.

Bryan O. - Great feedback. And good point on the transfer of ownership. I’ll have to look into PA regulations. I don’t necessarily want this process to hinder my first purchase, but at the same time a little due diligence up front to make sure I’m properly structured can certainly save a lot of headache and money down the road.

@Jaysen Medhurst - Good to know. Thank you.

@Kevin Romines - Great feedback. I'll be sure to have my insurance broker provide me with quotes for the various scenarios/coverage levels. Perhaps this will help make the decision process easier. And yes, I'm certainly looking for the best rates and terms while at the same time setting myself up to be able to scale in the future.

Mike Dorneman Yeah, I’d be a bit cautious about Nanticoke as well. I know it’s tempting because on paper many of the deals look incredible. I have no doubt you’d be able to cash flow in that market, but the trade off is that the tenants you’d attract may not be up to par with some of the other, more desirable Wilkes-Barre suburbs. And, at least for me, that’s a deal breaker. That said, I just met with my attorney this morning who told me that a client of his has acquired 100+ units in Nanticoke over the past 3 years and is absolutely killing it. Opportunity is definitely there. It just depends on your overall investment strategy and personal risk tolerance.

I’m a few days away from sending out my first direct mail campaign. I’m focusing on one specific town and I’m targeting duplexes with out of state owners. I’m hoping to purchase a BRRRR deal out of the mailing. I have a few hard money lenders lined up for the initial purchase, but they only lend to business entities and not individuals. That’s not a problem since my plan was to form an LLC anyway to stay protected. Here’s my question on the refinance. Once I purchase the property and get it rehabbed and rented, when I refi do I now need to get a commercial loan since it’s in an LLC or should I look to transfer title back to my personal name and get a conventional loan and then move it back to the LLC? Is this even possible? What are the advantages/disadvantages of residential vs. commercial loans? I do want to note that I’m looking to work with a local portfolio lender and I do plan to scale my business to acquire 10+ properties in the next few years. Thanks in advance.

@Mike Dorneman

Hey Mike. I live in Mountain Top and I'm looking to network with other investors as well.

I'm currently looking for my first rental, likely a duplex, by the end of 2017. I have my first direct mail campaign going out within the next 2 weeks. I'm focusing my search in several areas of the valley such as Plains/Hudson, Kingston, Luzerne, Swoyersville, Exeter, Wyoming and West Pittston.

What areas are you currently investing in and what has your experience been so far?

@Joel Moran

I live in a suburb of Wilkes-Barre. I would say Pittston is the best area out of the 4 that you mentioned as far as crime rate and school district are concerned. 

If you take a quick look at the MLS in these areas, you'll notice that there are many properties listed for under 35k, so just make sure to check your comps to validate that you're truly getting a good deal on the buy side. On the rehab side, again just check the comps to make sure you're not over-improving for the area. For example, buyers in these areas typically aren't expecting granite countertops and floor to ceiling tile in the bathrooms.

If you're looking for a more moderate or higher end flip, or just areas where the demand is higher, I'd suggest expanding your search to a few surrounding suburbs including Mountain Top, Dallas, Shavertown or Clarks Summit.