All Forum Posts by: Nate Burnett

I wouldn't necessarily say I'd hinge on the property value but an increase in rent potential in the area. If a person renting in the city, works in the city can commute, pay what they're paying downtown for a nicer place on public transit, a lot will choose that option. The lightrail will continue to improve mobility and renter pools in areas that previously were limited due to traffic on the already congested highways around the metro. 

@Jackie Sladky as I don't live in the area anymore I'm not up to date on the market. I was a renter in Minneapolis for ~ 6 years, the biggest thing for me was location.

I would gamble on the Blue Line Light Rail expanions, as it will allow better transport in and out of downtown to those further out. The last infographic I saw the plan seems pretty laid out.

http://www.metrocouncil.org/Transportation/Project...

While it wouldn't be completed until 2021, it's not that far out to have a property that has low cash flow and then as the expansion makes it's way to an area you are targeting you can increase rent as the transport is a great value add. Live cheaper, outside the city but able to reach it without having to drive and pay huge amounts for parking.

If I were in the area still, that's the gamble I think I'd take as the likelihood of this expansion is pretty good with the success of the project as a whole

@Aj Ferrer   can you generate a public link to it? The link you sent is just for the one under your account.  You should be able to go back into it and then click on "Share PDF Report" and it will generate a public report you can share. 

Well something to remember, if your brother is on Section 8, he won't be able to live in the unit you do. Your income more than likely will disqualify him from the benefit. If you try to make it appear as if he is legitimate renter it could be classified under fraud and cause more issues for both of you. I would just approach this carefully.

Maybe you get a triplex and it has a smaller unit in which could be approved by the program and he could rent it, still not sure on the legality of it. 

Hi all,

I've been pre-approved for an FHA for $250k for a SFH and ~$300k for a MFH. I've found one that I'm going to be making an offer on, it's listed at $229k, comps in the area are few and far between but the value is more than likely around $210k.

This is going to be a house hacking experience. I'll be doing 3.5% down so ~$7350 if my offer is accepted. As far as cash on hand for closing costs and reserves, nobody at the lending company I'm using can tell me what exactly I'll need until much closer. 

Are there any good ways to find out what exactly I'll need on hand? While I will have more in my accounts I just need to know if I need to be more aggressive on setting things aside until closing. Some things I've read say 2 months of reserves, some longer, some none at all. I've got a steady income for the last several years with ~$7500/month pretax. 

I'm also unsure if I should use a 203k loan to finance the rehab, I'd prefer to do the bulk of the work myself and bringing in trades when needed and then refinance to get cash out when we're ready to purchase the next MFH, so I could see there being more savings if I self finance the renos through one of my 0% apr credit cards or just pay cash. 

Thanks! :) 

Yes it is :) We've spent the last several moths away in Ireland but are coming back to the seacoast to buy our first MFH as a house hack and trying to plan on 1-2 purchases a year in the coming years. Hoping to have small clusters in the Dover area as I think that's the next area to gentrify after Portsmouth. 

Hi @Joe M.

Sent you an email with our info, maybe we can work something out! :)

I wouldn't.  What if something with the inspection delays closing? What if there's issues with the title, etc. Take into the fact that tenants will want to preview the property before moving in, and if they drive by with a big for sale sign outside,  they could think it's a scam and never come back.

What's your end goal?

Here's how I look at it @Brandon Beale, look at your DTI, interest rates and balances. I shuffle mine around when I need to so I get get it back to 0% and pay off large purchases in chunks. Right now I have $6000 on 2 cards, combined available credit between them is $30,000. I pay between 500-1000 to each car a month, extra when I can. I will do a balance transfer if my promotional 0% goes away, usually the other card has it and if you call your card provider up and ask nicely I've had them drop transfer fees.

My balances are a tad higher than I normally but I purchased 6 sets of airline tickets for 3 different trips and corresponding hotels. I try to have them paid off before we go for each trip. 

Are your cards maxed out? If so, pay on those and it will make saving easier. I have a savings account for money that I can "forget" about and it takes ~$100 a week and tucks it away out of sight. And a different account that when paycheck #2 comes in for the month, I move the remainder of paycheck #1 to the other savings account. The first savings account I don't touch, no matter what, I have it hidden from view on my web login and just have it on my account statements. I can transfer out of it but that's last resort until it hits the amount for the purchase it's been ear marked for. 

Thanks @Cave Johnson and @Teri Feeney Styers

I'm hoping they'll say yes to it in planning, the house next door, smaller lot, same exact house and layout was converted to a 6 unit, so hopefully the approval process for a Tri or Quad will be easy. The neighborhood is full of conversions of similar. 

I plan on going with the neighbors idea of adding a shed dormer to the 3rd floor to add space, as long as planning approval goes ahead.  I'd like to do it to the other side of the house as well but the neighbors have some oversized trees right where it'd be and probably not a fight I want to have to get them removed/ trimmed properly. I'll trim what overhangs and might be able to get away with a dog house dormer or something and squeeze in the space for a 4th unit.