All Forum Posts by: Michael Lyons

Hi all,

I'm looking to start my Real Estate Investing journey very soon. I'm interested in connecting with a local lender + a wholesaler (or agent or anyone!) who has off-market SFH inventory specifically in the South Philadelphia area. I can't seem to gain any traction in the few different routes I've tried so far, so I'm turning to BP to see if there's anyone out there who could point me in the right direction. Any help would be greatly appreciated, thank you

 gotcha. it wasn’t originally an investment property, I’ve lived it in the past 5 years. I currently owe $134,500

Sorry, if you have a minute do you mind explaining LTV to me? I can't seem to grasp the definition I just found, it's pretty confusing. Something in layman's terms would be much more helpful lol. Like I said before, I'm as green as they come as far as real estate investing goes so I don't know a ton of the terms

 Another good idea, I think I like this one best so far. If I were to sell now I’d wind up losing out on some money on the closing costs for the recent refi + the extra appreciation (if the house is worth more than what I’m projecting it to be in 3 years). So with your scenerio, I would be able to use some of the equity + still have the house just in case my projections are off, which is very likely. Like having my cake and eating it too, I appreciate the input thank you

 this is exactly what I was thinking. I think im going to test the waters and see what people are thinking, thanks for your input

 yes. Mortgage, Taxes, Insurance, Water Bill, Repairs, & CapEx. I didn't included vacancy because I know someone already who will sign a 3 year lease the moment I make it available, or property management because I have a family member here who will handle it for free.

@Kyle Keller yes. Mortgage, Taxes, Insurance, Water Bill, Repairs, & CapEx. I didn't included vacancy because I know someone already who will sign a 3 year lease the moment I make it available, or property management because I have a family member here who will handle it for free.

Stats if I DIDN’T refi..

Total Expenses = $1,321

Projected Rent = $1,650

Cash Flow = $329/Month

CoCROI = 13%

Full disclosure, I’m new to ALL of this.

I bought my first property in Philadephia in August ‘16 ($145k), and through sweat equity (about $30k) + appreciation it has been appraised for 1.75x ($255k) it’s original value. The reason I got it appraised was because I refi’d a few months ago (before I knew ANYTHING about investing) and knocked it down to a 15yr while bumping up my monthly payment $200. Knowing what I know now, this was probably not a good idea. My future plans have changed and I’m going to be moving across the country in the next 6 months and the 2 things I was considering doing were: 1) rent the house out for the next 3 years, then sell and the Owner Occupant Sales Exlusion will still apply or 2) just sell the house when I move. Whichever way I go, I’m 100% going to be investing in other properties in the very near future. I will have some solid liquid assests ($100k) by the time I move, so that’s why I wasn’t too concerned with selling the house immediately, as I don’t necessarily need the profits at this moment (but I know it won’t hurt). I’m going to throw out some stats on the house and any replies would be greatly appreciated because I’m torn on what I should do, and any other suggestions on what I could do would be great too, because I know there’s alot of stuff I still need to learn about investing. thank you guys! 

Total Expenses = $1,521

Projected Rent = $1,650

Cash Flow = $129/Month

CoCROI = 5%