All Forum Posts by: Nicholas L.

@Michael Prejean

can you house hack instead

@Tom T.

the exact number is going to depend on the investor.  but i would think you would want a really solid amount, and probably to be accredited.  funds invested in syndications are illiquid.

@Tom T.

hello

definitely house hack

syndications are a diversification strategy for HNWIs

not a starting strategy

good luck

@Christopher MacDonald

can you start with a house hack?

real estate definitely can cash flow... but usually in the long term

good luck

@Lane Demette

you'll need credit so get credit first

then do a live in flip where you live in it while you're rehabbing it

Is a Live In Flip the Right Investing Strategy for You?

this will require cash - there's no doing this without cash. down payment, reserves, emergency fund, etc.

good luck

@Scott Trench

you absolutely nailed it on expectations. two different investors could buy the exact same property and get the exact same results, and one thinks it's a disaster, and the other thinks the first few years are a stabilization period on the way to long term wealth.

there are so many posts by new investors on BP pursuing cash flow, and they can't even get to closing before their expectations are not met - they get their draft settlement statement and see that they're paying $9K in closing costs and their minds are blown.

@Fabio Cattolico

i never know how to answer this type of question.  where do you WANT to live?

@Brenda Reems

i think you'll be negative every month on this one.  "not a lot of repairs" is not specific enough... how old is the roof?  how old are the HVAC systems?  are the appliances in good shape?

but with a duplex you generally have 2 of everything - 2 furnaces, 2 dishwashers, etc.  lots can break.

so - pass

@Matt Agnew

sure - the big one on a refinance is going to be points / origination fees. especially on a DSCR loan, the lender may charge a sizable fee just to do the loan. i've seen some posts on BP recently with lenders charging almost 10K just in points and origination fees. not saying that's a good deal but it's out there.

@Chris Barrett

agree with you. i don't think i mentioned appreciation though - are you talking about when i said "losing cash flow to get your capital back"? the point i was making is that i would do a break-even BRRRR to get 100% of my capital back.

@Carini Rochester

agree - although on a refinance there's no realtor commission. the point i was making is that, as a buyer, you pay closing costs (whatever they end up being) twice in a BRRRR transaction. once on the buy and once on the refi.

@Jaron Walling

yep.  i am scratching my head at some sales that are taking place.  primary buyers are having to compete with investors of course and they don't need a "return" like we do.  but i am still seeing very distressed assets go under contract at prices that look like they don't make sense.