All Forum Posts by: Nicholas L.

@Peyton Finical if it's new construction, it's likely not a candidate for the BRRRR strategy even with the 10% discount. That doesn't mean it won't be a great property for you, just that it wouldn't be worth the trouble to refinance - especially since you're financing up front.

@Kevin Higgins a hard money lender is going to be more focused on the deal than a bank, and they are typically able to close quickly.  But you would want a relationship with one first.  Then you just fill in the details of the specific deal you're looking at and they'll give you terms.

The type of deal you're looking for - buy for $50K, rehab for $50K, appraise at $150K - is going to be very tough to find.  Sub $50K houses may be rough, and in rough neighborhoods, depending on what market you're looking in.

@Matthew Brichacek hello! I'm in Valencia, where are you located? I'm hoping things get back to normal next year and I can start attending the Pittsburgh REIA meetings.

@Amelia G the 50% rule is intended to just be a very rough rule of thumb for quickly screening lots of properties. Once you hit on something you're interested in, you would want to then do what it seems like you're already doing, and discard the rule and switch to a bottoms-up analysis. Some properties have HOA, and some don't; some have all new HVAC, and some need to be replaced right off the bat; etc. And, those costs can be the difference between positive and negative cash flow. So, when you say "it just might not work for mid-priced properties in the Las Vegas market," you may be right =)

@Aaron Barker welcome.  I'm looking in Pittsburgh as well.  I don't plan to "wait out the pandemic" - I will buy if I can find a deal.  Do you have specific neighborhoods or zip codes you're looking in?

@Samantha Villanueva have closing when you want it, and then have the seller do a "rent back" where they remain there and pay you rent until they move out.  Work with your agent and attorney to have the proper paperwork in place.

@Zachary Ulven how many units?  That's a lot of cash for just $50K down so it seems like it's likely in a rough area.  Doesn't mean it won't work but will be very hands-on.  Can you provide additional details?

@Candice Gallego move out of your condo into a rental.  Rent out your condo until a lender will count the rental income.  Buy another property.

@Karen Williams I have no experience with Fundrise, but it doesn't seem like the right starting place for a new investor.  You won't learn anything about buying, selling, landlording, etc... you'll just have cash tied up in an investment and no control over what happens.

@Ashish Rizal I'm with @Steven Foster Wilson.  I really don't see how investing in a syndication as a beginner is a good strategy for parking money in the short term.  If it's something you're interested in long term, great - follow the advice in this thread.

With interest rates so low, the answer for where to park money in the short term is... there is no good option.  Syndications are not like savings accounts.

Do you already own?  There are places in the DC suburbs where house hacking is possible.  There are a bunch of threads on this.