All Forum Posts by: Nick Schultz

Hi @Katherine Sommer! All the exciting news has not changed my personal strategy much. I will say it has made me slightly more flexible on what I will accept for day-1 cash flow numbers knowing that rents have a strong probability of increasing YOY.  It certainly makes deals harder to come by, and it can be hard to stay committed to my deal analysis metrics when deals come in go in a matter of minutes. It also validates my feeling that the triangle housing market boom is not a "bubble," and will see sustained growth in the coming years. Raleigh is an exciting place to be right now!

Greetings BP! I hope you are all having a great day. I'm moving into commercial real estate and I'm looking for partners (active or passive) interested in teaming up/pooling resources to take down deals primarily in the NC market. Please message me for more details if you're interested.

Thanks for the feedback @Steve Vaughan

Hello BP! I hope everyone is having a great week so far! I'm recently under contract on a duplex that I'm purchasing with cash. My name is on the contract as the buyer. My plan is to refinance but also put the property into my LLC. I have a few questions that I'm hoping someone can help answer:

1. Can I simply transfer the property to my LLC right after closing via quitclaim deed? Is there a waiting period?

2. If I transfer the property to an LLC, am I forced to refinance with a commercial loan or can I still do a residential loan?

3. Suppose I refinance with a residential loan under my personal name, and then transfer to the LLC via quitclaim deed. While unlikely, if the lender exercises the due at sale clause, then I would have to essentially rebuy the home and then re-refinance?

I'm really just trying to make sure I get the order of operations right on this.  Any feedback would be greatly appreciated!

@Nicholas Budincich Welcome to BP!  If you're limited to a $70k budget, that won't go very far in the Raleigh market. Your best bang for your buck seems to be house-hacking, so that you can get a loan at 5% down vs. 20% for a standard investment property.  Ideally you'd find a duplex, live in one side and rent the other. Unfortunately duplex inventory is extremely low in Raleigh. In addition, Raleigh is an appreciation market and finding cash flow is tough, 1% rule non-existent unless it's an off market deal. If you venture outside of Raleigh an hour or so, you can find properties within your budget that will cash flow. Your second question about 2 vs 1; my opinion is that diversity is generally better.  However if you find a stellar deal that costs $200k you go for it.  Good luck! 

@Anthony Sellers I'm also a GC in Raleigh and available to talk anytime. 

https://finance.yahoo.com/news...

Raleigh is the 3rd most competitive housing marking in the US! As a native to the area, it is astounding to think that it is harder to buy a home here than LA, San Diego, or Portland. My partner is an agent and regularly hears of houses selling for 25% (50-60k) over asking and due diligence money at up to $100k. It seems to be a factor of the population migration from higher priced markets (NY/CA) who view the current prices as "affordable." The trouble is a lot of middle class and/or first time home buyers are getting priced out of the market. Impossible to predict when the market will settle down unless you're Michael Burry.

@Xavier Garcia as Tyler mentioned, Jacksonville has a low inventory of small multi-families. I grew up there so if you have any questions about specific neighborhoods feel free to reach out. Also, I'm hoping you do not end up in Yuma! Good luck!

@Abhishek Pareek Check out Southern Realty Property Management 

https://www.srpmonline.com/

Best to Live: 1. Raleigh, 2. Durham, 3. CH

Best to Invest: 1. Durham, 2. Raleigh, 3. CH