All Forum Posts by: Michael Warthen

Welcome! Awesome challenge for yourself. I am new to the game myself. Definitely checkout some of the local meetups around Phoenix. I personally have attended the FREEdM Meetup, The HOT Real Estate Investing Meetup, and Greg with Green Zen Investments has a meetup. All are different and beneficial in their own way. Also there is a conference coming up next month here in Phoenix. Hopefully I will run into you at one of the events!

Hi Sam,

I am currently doing something similar to what Josh mentioned. 5% down using equity from current primary. I will repay it with the rental money so I am considering it as an expense for the rental. 

If you have the remaining 15% leftover from the original down payment, finding a value add situation could increase your equity on the new primary, allowing you to follow Josh's point about rinse and repeat next year. Good luck!

I enjoy the "Seeing Greene" episodes just to hear questions others have that I may also have or not thought of. Those started a few month back.

On The Market rules too! Started last year as well.

Very interesting read, something to pay attention to in my own market. Thank you for sharing!

BP has several podcasts and books about this. I would utilize those resources. I am in the process of doing this myself. Good luck!

Hi Luciano,

I personally don't mind a slight loss at first if the property will appreciate. I have the same mindset of refinancing to a lower interest rate and maybe pulling money out to purchase another property later. However, any major issues and you are hurting. Can you rent each room out? Use the garage as rentable storage space? Just a few ideas to increase the money coming in from the property.

Congrats Scott!

I am actively looking for my second primary in Chandler as well and renting out my current. Was there any special requirements for the 10% second home loan? My current situation requires a security deposit from a tenant for my current home and then I can purchase a second. Thanks!

Hi Broc,

In the forums under Real Estate Classifieds there is a section for Events/Meetups. I have found a couple in there. The BP Rookies Podcast is doing a live recording and meetup in Tempe as well in December.

@Phi Tran I have found a few that break even or slightly cash flow so keep looking! I have some other thoughts as well, if they don't cash flow are you willing to hold them until they do while hopefully getting appreciation? Are you renting out your current primary when you do this? If so, after renting out part of the multifamily, will the amount you have to cover be cheaper than your current mortgage, if so, that could be a win. If you can hold it for a few years while not cash flowing much, depending on the area, you may find greater appreciation and higher rent and it will make it all worth it. I am new to all this as well but that is the feedback I have seen on here and heard on the bp podcasts. Good luck on your investment journey!

As a Phoenix resident I have had similar thoughts about MTR. I was wondering if close to a hospital, the months won't matter as hospitals will still have to have staff during hot months. Hopefully you get some responses!