All Forum Posts by: Chris M.

Thanks for the feedback guys. @John Hixon that makes a lot of sense.  Since this is my first purchased home though, not sure I'm gonna go through all of the effort of a direct marketing campaign etc. although if I wanted to find the best deal possible I guess I should.

First step will be meeting up with some local real estate investor groups like @Aaron Lovett suggested, find an agent then start seeing the kind of options I have. If it looks like the deals are really sparse, I might try the direct mail marketing route. For some reason I keep thinking it's excessive for my first house... but why? It would be the smartest way to do it probably.

Really appreciate this guys... I'm in an interesting position where Portland's market is cooling, but interest rates are on the rise. While I want the home to be nice and cozy for myself, I also want it to be an excellent investment. Something tells me I'm going to learn a ton over the next 6-12 months :) I feel like I've got my head wrapped around the basics thanks to BP, books and others... but man I've still got a lot left to learn.

Thanks again for the tips and insights.

Well, from everything BP has taught me, I think the wisest move would be to find an investor-friendly agent and explain that despite being my first purchased home that I will live in for a few years, I am still treating it as an investment property. Then, I can work with the agent via the MLS/other listings while searching realtor.com and driving for dollars myself.

Ideally trying to get a 4 bedroom and house hacking for a few years before turning it into a rental. I've been moving around a lot... would be nice to have a home base for a few years or more.

I'm full of questions guys, hope you don't mind: are there lists of investor-friendly real estate agents anywhere? I'm guessing this is best discovered via word-of-mouth references, but hey, lists are always a handy way to start. Thanks for any tips on potential lists of agents for my local area and greatly appreciate the information. 

Hey guys thanks for the answers on this! I think it'd be a good idea to get an agent and get access to the MLS anyway, but Arpan I think you're right that some deals can still be found on there. I've been looking at listings daily and starting to learn what constitutes a good deal in my area.

Question: when you get an agent, do they give you login info to the MLS? Or how does that work exactly?

Thanks again for the feedback this is much appreciated. 

Hey guys, this might seem like a silly question... but I'm absolutely determined to purchase my first home within the next 3-5 months here in Portland. I keep looking at Realtor.com and I'm thinking to myself "these probably aren't good deals, this website is mainly for retail buyers." 

Yet I've seen videos of Brandon from BP using Realtor.com... so I was wondering if places like realtor.com are a good place to look or if most of the good deals to be found online are listed with the MLS?

What I'm looking for is a property to live in for 2-3 years, then turn into a rental and do the BRRR strategy with it. This will be my first purchased house.

Thanks to anyone for any tips on this. I need to get myself an agent soon to get access to the MLS!

Thanks, @Steve Milford. I'm focusing on the North Portland (St. John's) area, right across the bridge from Vancouver. I wonder how the market here in North Portland compares to Vancouver? Prices are higher I know that much.

Indeed, I'll be seeking out pros in the area. 230 range is pretty dang good! The houses I've been looking at in North Portland are anywhere from 350 to 400.

@Steve Milford sincerely appreciate the detailed response! I've written down some of your tips in my file that I'm using in my journey to buying my first home.

What you're saying makes a lot of sense: might as well get my credit into great shape, and I am working on it. Happy to say that I don't have that much debt and it's not in default, have about $18,000 in student loan debt and around $10,000 in other debts, so somewhere right around $30,000. My monthly debt payments come out to about $500 per month, and because I'm self-employed and my business is an LLC with one member, my gross monthly income far surpasses that $500 per month payment. If we're talking about NET income to monthly debt payments, it's still better than 45% debt-to-income-ratio.

In fact, I've checked the requirements for a FHA loan here in the Oregon area, and it looks like I qualify according to minimum credit score requirement, debt-to-income ratio requirements etc.

My biggest dilemma is this: I'm determined to get a house in 2017, but won't have enough of a down payment for the size of home I'm trying to acquire. I want a 3-4 bedroom home with a 2 car garage because I plan on converting my business to a home business, that's why a small condo won't cut it. An FHA loan would allow me to get this kind of home without a big down payment, even if I do have to pay extra each month for PMI.

Your overall point is valid though: beefing up my credit should be a primary focus during my quest to buy a house.

@Brandon L. I'm afraid I'm not sure what you mean by "disqualifying" myself, but thanks for the link!

@Cameron Johnson that'd be great man! I'm trying to network with as many smart people in the area as I can. Really appreciate any references/real estate agents/brokers/investors that you can connect me with in the Portland metro area.

Thanks again for the fantastic information! You've given me a lot to think about.

The house looks amazing... that deck is great! Well done and best wishes in selling it. 

It's looking like I qualify for a FHA loan. I'm wondering if there are any disadvantages to using FHA loans for investors besides the obvious additional Mortgage Insurance monthly payment? That one definitely stings... I'm looking at a house right now that if paid with a FHA loan tacks on an additional $338 per month in Mortgage Insurance.

@Adolfo Cuellar good point about the interest rates. I am planning to not deduct nearly as much from my taxes this year so that my 2016 tax return will show higher income and give me a higher average on the past two years and better chance to get approved for a loan. Also doing all I can to improve my credit score which is already good enough to qualify for FHA.

@Cameron Johnson and @Bill Gulley what do you guys think about getting a FHA loan? I realize my monthly payment will be higher, but it sounds like it might fit my situation well since I plan on living in this house for 2+ years.

Let me know what you guys think about going the FHA loan route.

Wow guys, this is fantastic feedback, thank you so much for this! This goes to show you how much I still have left to learn... just when I think I've figured something out, I learn more and it changes my perspective.

@Steve Moody That was one of my concerns: why would someone even bother do seller-financing here in Portland? It might be hard to find. However, I was considering doing a direct mail marketing campaign to people who own their homes in the clear in the Portland metro area. What do you think of that idea to find the kind of deals I'm looking for? 

@Bill Gulley Yeah, you're right: a wrap or installment is too risky if I want to live in this house for a few years, which I do. I'm definitely going to look into the first time home buyer programs. But Bill, let me ask you the same question I asked Steve: do you think it would be worth the effort to do a direct mail marketing campaign to try to find the perfect owner financing deal? In fact, I'm considering building a website and doing a whole marketing effort trying to find the right place in the Portland metro area.

@Adolfo Cuellar Hey, Adolfo, great to hear from an agent right here in Portland! You said something that I think is interesting: "You may have to wait till our local scene chills out (which is happening)" does this mean that as an agent you are seeing Portland home prices level out/not rising as fast anymore? This also interests me because I don't want to buy on the brink of a bubble popping or the market reaching its zenith. There are no signs that a real estate bubble is about to burst as far as I can see, but maybe I'm wrong?

You say First Time Home Buyer Programs don't pardon bad credit, but my credit isn't bad, it's just okay... do they at least not look at these credentials as rigidly? It's good to know that I could qualify for a smaller down payment with these programs.

You guys have certainly given me a lot to think about. I'm interested to hear what you think of me launching a marketing campaign for my first house. Would that be crazy, or might that be the best way for me to find the deal I'm looking for?

I'm trying to find a 3-4 bedroom house in the North Portland area with a 2 car garage. 

Thanks again for all of this fantastic information guys... this has been a huge help!