All Forum Posts by: Pat Muller

Expected rent is:

$2,100 - $2,300+ for 2br/1b

$1,200 - $1,300   for 1br/1b

Mortgage + taxes + home Ins: $2,444

 Surprisingly I was, which made me wonder the tight situations others may be finding themselves in, but that’s another discussion. Also, rent for both units would exceed mortgage plus taxes

Given the market I feel like there’s no way to get any skin in it at this point without making a relatively risky move. You said prices would continue to soar most likely, therefore it seems you’re saying I should either make the risky move, or be priced out of the market entirely; partnering is unfortunately not an option.

yes, by down the tubes I mean prices skyrocketed.

I am a little confused, you say a problem would be if interest rates climb my payment would stay the same. Wouldn’t that be a positive since I locked in a lower rate?

unfortunately no one I would feel comfortable investing with is in a place financially to do so. Not to mention I would prefer not to get into an investment that’s split with someone else due to the complications it can potentially add down the road.

aside from this, I would have to invest out of state where homes are much more affordable, which I have heard mixed reviews about in my research

Consensus on real estate forums as well as every news article that comes out. Does it mean they're all right? not at all, but it is certainly compelling as hell. I've lived through the '08 crisis, which I was not even aware of at the time, that's about it.

I agree it would be tight, and things might cool allowing me more options, but there’s also the consensus by many that it may not cool and instead continue to rise for years to come, which has me feeling like I should pull the trigger. So many uncertainties 

I live in a HCOL area and there is a small two-family that is currently available to me for short period and I was in the market for a multi as my first purchase when COVID hit and the market went down the tubes. However, it is slightly out of my budget, like I would have to rely on the rental income to comfortably make the payments considering the payment and property taxes are about 80% of my income, although luckily I have a place to stay rent free if I had to rent out both. As stated it is a HCOL area in the north east and getting a tenant shouldn't be a problem and market rent would be about the mortgage payment + taxes, in fact they Air BnB'd it out this entire month since their buyer fell through. Nevertheless, even though I have a healthy E-Fund, I don't like the idea of having to rely on a tenant and/or tap into my savings whenever I do not have one, but I may not get this opportunity again, so I am really struggling as to whether I should take this risk.
Any insight of course, is greatly appreciated.