All Forum Posts by: Noah Corwick

Hi Cru, 

Great to meet you!

The first step to house hacking would be connecting with a lender so that you can understand what you qualify for and have the financial piece understood a bit more. 

From there, I''d suggest working backwards and game plan your long term strategy and doing your research on areas, the rents in those areas, your potential exit strategy, etc. Connecting with a trusted agent can definitely help out with this part. 

Hope this helps you move in the right direction!

You're welcome Nick. 

Got it, Tempe makes sense. 

I can connect you with a few LOs. Check your DM! 

Hey Nick, 

Most on market seller carry's will require a steep 20% down. With most SFHs in PHX averaging around $460k, it could become difficult to find one. 

I like your idea about a lease to own scenario. This might be the best route to get you in the door and secure your investment until you have a full time job/W2 job. 

There might also be some loan options to explore, so I would definitely suggest talking to a few Loan Officers. 

Are there particular areas that you are aiming to purchase in? 

Hey PJ, 

Depending on budget, I find that uptown/midtown is a great centralized area to live in. You are right near the 51 and 101 and can places generally easily because of it. 

Plus the area is great from a appreciation standpoint as well. 

Hey Austin!

That's great that you already have a build in business partner with your girlfriend right from the jump as you dive into investing. 

I would suggest house hacking as an excellent strategy to start out. It will kill many birds with one stone. It'll allow you pay your mortgage (instead of someone else's mortgage) & you gain a place of your own (since you and your girlfriend will likely need a place to live anyways) that you are actually gaining equity in. Then once you've lived in it for at least 1 year, you can then go purchase another primary residence based on your DTI (debt to income) ratio and rent out the first home. Depending on your income, you will be able to rinse and repeat this process a few times.

If one of you is a first time home buyer, you can put down as little as 3% or 3.5% on a home and not spend all your savings at once. I would suggest looking at this with the end in mind, aka target homes/areas that would rent decently or will appreciate.

Hey Robert, 

This is a heck of a post! 

Way to absolutely crush it with your first investment. You saw the vision from the start + used creativity to expand your investment even more. 

Great job. 

Hey Jessica!

As mentioned previously, house hacking is an excellent strategy to start out. It truly kills many birds with one stone. It'll allow you to have others pay your mortgage & obtain a place of your own that you are gaining equity in. Then once you've lived in it for at least 1 year, you can then go purchase another primary residence based on your DTI (debt to income) ratio. Depending on your income, you will be able to rinse and repeat this process a few times.

Overall I'd also suggest a versatile approach for investing. For example, instead of pigeonholing yourself to just AirBnB (which is down in PHX atm), I'd suggest looking at properties that depending on the market, might fit as a long term rental as well. Based on the climate of the market, you'd be able to pivot when necessary.

Hey Wes!

Your mentality is awesome for only being 19. I didn't get into investing till I was 26. So major kudos. 

Since you are living in AZ, it might make sense to house hack here in the valley to start. If you have a bunch of buddies who you are in college with, attracting roommates should be a breeze and they will end up cumulatively paying the lion share of your mortgage. 

It also beats paying all that money for a dorm that you obviously don't own (though I am a believer that being in the dorms freshman year is a key part of the college experience).

You only have to live in that house hack for 1 year, then can rinse and repeat or pivot.

This exact strategy is what I wish I would have done in college. So hopefully you learn from my mistake lol 

Multi family here in PHX is a bit of a high barrier to entry and is not easy to start off with. 

Hey Jackson!

Way to make this post and put it out into the universe that you are ready to jump into REI.

Getting into multi family in PHX is a bit of a high barrier to entry and the number of options you'd have are super low. For example, there are a grand total of a whopping 34 multi family properties currently on market for under $500k. 

I definitely feel that a house hack strategy is an excellent way to start. It kills many birds with one stone. You can also target a SFH that has a casita or has room for one to be built. They just passed pro ADU laws here. And as this fleshes out and rents continue to rise, I feel like it's only a matter of time till renters are more open to this type of living. Going this route creates a multi family scenario creatively.

Hope this helps! 

Approach it with a personal aspect.

In PHX, which is flooded with Wholesalers, most have a very transactional and non very personable demeanor. When talking with prospects, this tends to show and a lot of times is a turnoff. 

I find that if you approach a prospect with the mindset of coming into the conversation as a partnership and that they are actual human beings, you'll standout.