All Forum Posts by: Patrick Bavaro

@Bhavya Shah agree with the others! I started my process with R2R for a new build in early June. Closed on financing end of July 2021. Trevor is right that the permitting office is absolutely slammed. Right now I am about to finish permitting. In fact, I was just told lot clearing and filling is beginning as of today. In total, I am definitely looking at the 12 month window you mentioned. The numbers are great though. My all in cost was $265k and mirror what Trevor is suggesting. I am very happy with my decision and purchase. Even at todays prices, if I had the money I’d buy more but I have It tied up elsewhere! Feel free to reach out to connect. Good luck!

@Timoteo Merlos no such thing as late to the party with real estate! Just need to be smart and make good investments. The deals are to be had, you just have to "make them" in this market. For example, right now I Am building a new build 4/3 SFH in Cape Coral FL with an all in cost of about $265k. Rents are around $2300/mo and post construction appraisals are at $377k for this particular model. Best part is, only required 10% down! Good luck on the search! Feel free to connect for other ideas

@Alexandra Feig Singapore, that’s cool!! How does the real estate market compare to the US, out of curiosity? I think that’s an excellent route to take, but do feel your options in some of the cities you mentioned with your budget will be limited. Is that $100k down, or total purchase price? Since you have ties to Florida I would highly encourage looking into SWFL (Cape coral, Naples, ft Myers etc.) where the price points are a bit lower.

Currently I'm building a new build SFH 4/3 in Cape a coral that had an all in cost of $265k and only required 10% down. Rents are at $2300/mo and post construction appraisals for this particular model are $377k. The deals are out there! Just got to find them. Feel free to reach out if you'd like to connect about FL.

@Carl Behnke I think SWFL is a great option, even better than Dayton IMO. I can offer you my insight to the area if you’d like. I’ll send you a PM to connect

@Michelle Reid Nope, just interest only (3.5%) based off the draw period I am in. Right now, I am in the first draw which is about $36k for permitting and paying $100/mo. As time goes on, the drawn amount will increase therefore also increasing my monthly payment. Once the loan is done, it will automatically convert to a tradition PITI. As for Florida, I think Florida will always be a place of growth for real estate because of no income tax and warm weather. While I do feel COVID has played a role in all of this, I think investors and home buyers are moving to Florida for other reasons to include inflation, ridiculous tax rates, and more. This is just my opinion of course.

@Michelle Reid I think that all the cities you’ve narrowed It down to have a high potential for a great deal. I suppose It depends on what you are wanting to accomplish. Cash flow? Appreciation? Both? If you’re like me and you want both, I think the key is finding the market that has the highest chance of upside and growth. That market for me right now is Cape Coral boasting an impressive 7% YoY growth! I am currently working on a new build in the city with an all in cost of about $265k, 10% down and rents estimated at $2300/mo. Post construction appraisals for this model (a 4/3) are $377k. The only downside? Time. You’re looking at a year or potentially longer from start to finish with any new build in the city because of how much demand there is (a good thing). Here’s a nice article on Cape Coral that helped me.

https://www.capecoral.net/government/publications/docs/Corporate_Guide.pdf

Good luck!

@Natalie Onacki congrats on taking the first steps to OOS investing! It’s definitely a scary feeling, but I can assure you there is very little difference in owning a house 5 minutes away or 500 miles away so long as you put the right systems into place. I second @Jorge Siverio comments about rent to retirement. Currently utilizing them for the same Cape Coral deal that Jorge referenced. This was actually my first out of market purchase. Some of the numbers were 10% down, total all in cost of $265k and 3.5% locked in rate. This is also a 4/3 new build. Rents are around $2300/mo and post construction appraisals averaging about $377k for this model. They are out there! You just have to find them. Good luck!

@Adam Fox first. Congrats on selling your business! It's also good to see another SoFlo member. I live in Broward County. There are definitely options locally as well as outside of the market you can park some cash in. A 1mil property in Broward would perform considerably well for ABNB if your goal is $10k-$15k/mo income. It just may not be as passive if you'd like. The price points are definitely higher here in SoFlo. Recently I've begun investing in Ocala FL and Cape Coral. Both markets have a high growth rate and are appreciating nicely. I actually just connected with a company who is building a 4/3 SFH in Cape Coral. Only required 10% down, and total all in cost is around $265k. Rents are about $2300/mo and post construction appraisals averaging $377k for this model. Pretty impressive for a new build if you ask me! Anyways, all this to say the deals are out there you just got to find them. Good luck and feel free to reach out!

@Chris Criss hi Chris! Like you, I also live in an expensive market. I don’t think this is a detriment though. You just have to get creative. I’ve started investing out of market. Mainly in Cape Coral and Ocala FL. Right now I am building a new build construction through a turnkey company for $265k all in with only 10% down. Post construction appraisals are averaging $377k for this model and rents are around $2300/mo. The deals are out there! Good luck!

@Amit Desai depends on which market you are looking to invest in. Right now, my focus is on Cape Coral. Growth is 7% YoY and I just bought a new build 4/3 SFH for $265k all in (construction start to finish) with only 10% down. Average post construction appraisal is $377k for this model and rent is $2300/mo. Slam dunk deal if you ask me! Feel free to reach out. Good luck!