All Forum Posts by: Noah Chappell

@Donggie Hong few thoughts. 

No matter if its stocks or real estate, I'd work on converting my fiat currency to real assets ASAP. Here the preference would go towards the asset that's productive and allows your to leverage, so real estate. 

However when the rubber hits the road, understand stocks can be 100% passive, while RE is anything but, so get to know yourself well and try to understand how hands on you're comfortable being over the long term with your portfolio. 

A good approach might be to place most of your money in an index fund, which is quite liquid, while taking chunks out to "play with" and learn the RE game. I like your idea of house hacking a distressed multi fam in Chicago, sounds like in adventure, if you don't have thick skin now you will develop it. This would allow you to diversify while gauging your affinity for RE. If you end up hating it, you can simply keep your one asset and let that balance your predominately stock portfolio. If you love it, you can transition more into RE as this ultimately is the more profitable asset class. 

@Mike Bend I'm not super knowledgeable about your area but if you sold and netted 45k, then bought a duplex to house hack for ~200k, you'd probably do better over the long term and this would get you closer to your goal of having that portfolio. 

@Shilpa Matlock I'd probably try to get clear on what your niche will be, then you can look for areas that align with this. At @Tim Swierczek has alluded to, the Twin Cities have had one of if not the lowest vacancy in the country depending on the year, though generally urban vacancy rates have risen in the setting of this pandemic. A 100k house of any type is pretty much unheard of in the cities, even in the roughest areas, unless it's blighted and derelict. I'd do some more research, then decide on an area and strategy that works for you. Feel free to reach out. I'd be happy to schedule a call to discuss. 

@Hunter Heimer literally anywhere you can! 

@Eric Turner I think you need to be realistic with yourself and understand that at some point the walk needs to meet the talk. 

4k in monthly cash flow would be good for a moderately advanced investor, and to get there you'll need to dive in and understand there will be years of grind and pain before you're at this point. In the beginning things will seem like they're progressing so slowly you feel like you're not making progress at all, but little by little things will fall into place. You need to be willing to undergo that experience and start on that journey, or real estate is not for you. Best to be realistic from the beginning. 

The marketing ideas and coaching sound to me like excuses to feel like you're making progress, while not actually hitting the issue where it hurts. 

My advised would be to pick 1 niche, then focus on that with burning intensity. Avoid dabbling in multiple things, "jack of all trades.." 

@Jacob Skeen to echo the above points, I think the answer is where do you lie on the comfortability scale? If you have great friends you're close with an can I've around, you might consider the SFH, though make sure the numbers work out considering the scenario you'll find yourself in after you move out.. managing a "rooming house" is unpleasant. If you'd like a more traditional experience buy and holding a small multi, I'd suggest 1-4 units. Personally I don't think I could do the rent by room option, I could barely live in my 4 plex I house hacked and happy I did it but probably wouldn't want to do it again.. but thats just me, kinda paranoid, I'd cringe thinking something was broken each time I heard the floor creak haha.

@Rohit Kumar good job in looking to move ahead! 

You could try shifting out to a suburb or to a close by small city like St Cloud, though with a major rehab I'd want to be there at least 3x weekly, if not daily, and that might be tough to swing working 9-5 and drive an hour each way. Thus, I'd probably go with @Alyssa Strom good advice and find a hard money lender to cover the acquisition, then use 40-60k of your own savings to complete rehab before refinancing out. 

Finding hard money shouldn't be hard, you could here on BP, with a google search, by asking your investor friends, or at the back of the bar.. I kid I kid. 

I personally feel looking into my crystal ball that the market will soften mid 2022, which should give you some time before refinance concerns. 

I used to prefer Minneapolis because I thought it was flashier and had higher appreciation, but I've come to prefer St Paul because it's more quiet and there's no rent control, crazy tenant screening restrictions, or rent control on the horizon that I've heard of.. 

Do sent me a message if you're ever around and want to get coffee, I'd love to see your duplex! 

@Ben Jespersen maybe look into some decently well performing rust belt cities, such as Milwaukee, those found in Ohio, Indianapolis, etc. Do connect with local investors, or better take a trip and walk the city yourself, before pulling the trigger, as a deal may look good on paper, but be horrible in reality, a somewhat likely scenario if the deal is hanging out for any amount of time on the MLS in this hot market.

@Zachary Johnson send me a message, and I'm happy to share what I know. 

@Dulari Patel so what's going to be your first move to jump in?