All Forum Posts by: Nick Velez

Gainesville is an awesome place to invest! 
Rents are high and if you go with the individual student leases route, your potential for cash flow increases dramatically.   Prices have appreciated here significantly the past year, but should still fall within your budget.  I personally live here and have for the past few years.  
Feel free to message me if you have any questions about the area! 

If you are looking for a conventional mortgage product, look into the Freddie Mac choice renovation loan.  It is a lot more complicated than a hard money loan but it’s an option! 

@Samuel Smith

Fannie Mae home possible (or home ready) allows you to use border income to qualify for a primary if you can document living with them in the past years (I think, double check the matrix). An alternative option would be a DSCR loan that Dosent take DTI into account and you can get a 30 year fixed. Feel free to message me if you ever have questions about those specifically!

@Ryan Moyer

Those are actually closer to the current value haha.  He purchased the one that he did 80k on in 2019 I believe for 140k (needed a little work).  The other he purchased early 2020 for around 180k I believe.  
They are both 3/2s under 1700 sq ft and only lightly remodeled.  Nothing fancy at all. 

@Ryan Moyer

This is my first one so I can't speak from personal experience yet but I know several people have some. One of my friends grossed 80k on a 200k house last year and 44k (listed 6/15) on a 240k house. So you can imagine his COC return was fantastic. I know a few people who list theirs with evolve and the returns are def less than that.

@Kevin Schellinger

Hey Kevin, 

I just purchased a STR in Gainesville as well. I could give you the name of a few STR managers I know here but I would consider self managing. Feel free to pm me anytime!

@Nick Terrano

Nick is an agent I would recommend in Jax for out of state investors.  I am sure he can point you in the right direction! 

@Tommy C.

Hey Tommy, 

The lender will likely base the DSCR on the appraisers market rent valuation. New builds are tricky but if there are rentals near by, they should be able to come up with a number. Our main DSCR lender just requires a ratio of 1. If you are looking for what potential rents would be, you can go on Zillow and see what is for rent near the subject property. I hope that helps!

@Luke Harris

Sounds like you could also look into a DSCR loan for your clients as long as they have decent credit. These loans use the market rent to qualify the borrower. We do a massive amount of them currently as the rates are competitive.

@Wilson Vanhook

The loan you are likely referring to is a DSCR loan. The appraiser will determine a market rent for the property you are looking to purchase and the lender is basically looking for that rent number to cover the PITI of the property. Feel free to message me if you have any specific questions!