All Forum Posts by: J.R. Gutierrez

@Bill S. so if I was ready to pursue this property, I would assume the first step would be to drive to it and see the property and area for myself. I could also set up a showing with the agen. Would that be a good way to start and see if it's worth it?

Thanks @Bill S. The property does have share washer and dryer in the basement and there is shared yard space both in the front and back of the property. I've only been in Denver for 2 months so I'm still learning the areas. This property is in the Lincoln Park neighborhood, but again I don't know much about the area. Being that this is more of a study than an actual purchase, I'm really glad to get feedback from experienced members of BP so that I can learn what to look for when I'm ready to pull the trigger on my first investment property.

John Calafato You should put away some money to use towards future repairs. Things like appliances, roof and carpeting replacements can be costly. Better to have the extra money and not need it than to need it and not have it.

Thanks @Dan Mackin. I'll have to research the numbers a little deeper to get a better feeling as to what the costs would really be.

I'll preface this by saying this is mostly hypothetical. Unless I found a lender or someone willing to partner with me on this, it's more of a study than anything. So here it is:

I found a listing for a Fourplex in Denver. The property consists of three 1 bedroom/1 bath apartments in a building upfront and a 2 bedroom/1 bath single family home on the back of the property. There is also a 1 car garage in the back. From the photos and a Google Maps search, the property and area seem to be in relatively good shape. The property is listed for $700K. I did a Zillow search to check what similar units rent for in the area and actually found one of the 1bd units listed for $1,200/mo. So 3 x $1,200 = $3,600/mo for the three apartments and an additional $1,500/mo(?) for the house in the back. Plus something for the garage?

Hypothetically: I would live in the less desireable of the units (probably the basement apartment) and rent out the rest, including the garage to whichever unit wanted to rent it.

So here are my questions based on the simple information I gave:

1. Is there value to this property in regards to house hacking?

2. Are my rent figures off or in the ballpark?

3. How much would one expect to spend a month on mortgage, taxes, etc?

I've only been on BiggerPockets for less than two weeks and I'm pretty much new to REI. I've been learning a lot and I think simple exercises like these will help me understanding the business better. I'm sure some of you will point out information I've missed that would affect this as an investment.

Thank you in advance for the help!

@Aaron Van Curen I'm a fan of the modern style so I like the direction you're heading in. Let me know if you have any other questions. I'll be happy to help if I can! 

@Aaron Van Curen depends on the floor plan. If it's open concept and it's open to a dining room or living room, I would keep it consistent. That's a personal preference of course. If it's in your budget, you could do tile that looks like wood in the kitchen and install a transition molding where the two materials meet. This will create a "boundary" to each space while still keeping the same look throughout. That seems to be very popular these days as well, but you'll have to do some shopping around because it can get expensive both in the material and installation cost of it.

Having worked in residential construction for a while, I've noticed that wood and laminate floors seem to be the popular choice. There are some really nice looking laminate floors on the market that won't cost you much too. Of course, you need to make sure you have a skilled installer. I've seen projects where someone installs $10/sf flooring and it looks like garbage. And I've seen Home Depot clearance floors installed that look awesome! Laminate is also fairly easy to install if you feel up for it. I've done it several times myself. The finishes of the rest of the house will also affect any flooring you install. They'll either compliment it and make it stand out, or conflict with it and make it seem out of place. Tile in the bathrooms should still be the standard, in my opinion. Wood and water don't play nice with one another. Granted, my experience is with homes in the Southern California area so what I've experienced may not work in your market. 

@Robert Herrera sounds good. Let's connect!

Thanks @Craig Curelop! Definitely agree with both of you. I always approach any new venture with an open mind, even if I may already have some knowledge of the subject. No harm in learning.