All Forum Posts by: Patrick Gleason

Hi Erica, 

I can relate, I'm 24 and was in a similar scenario just like yours. I've researched Boston and surrounding areas in and out, its near impossible to find something within 15-20 mins of Boston  (thats not a tear down) that will cash flow within while you occupy the home. Here are some suggestions-

1. "So big question here is: long term, is it worth getting a multi-family that won't cash flow as owner occupied, but has the potential to do so once we're renting out all units?"

- Personally I would not buy a multi family around Boston at this point in time unless you would be converting into condos or found an off market DEAL. You need to treat a multi family like a business, if you aren't cash flowing why buy it? Anything in Boston thats on the market right now is extremely overpriced. If you are really set on looking for a 2-3 family, look in Chelsea. The Silver line extension is heading over there and prices have not skyrocketed yet, but they are on the rise. 

2. "Purchase a (much-less-expensive-than-a-multi-family) condo in an up and coming area like Quincy, save a buttload on rent, use those savings as capital for our next real estate investment (or get a line of credit based on our equity in the condo), then rent the unit out when we move onto bigger and better things." 

- If you want to get into the real estate game, buying a condo will only set you back. ( thats just my opinion) If you were to do this you would be losing out on using a FHA loan to your advantage.

Bottom line- 

If I were you I would look for some multi families in Providence and DO YOUR RESEARCH. For example, I bought a 2 family for $170k last year with an FHA loan and put down only 3.5% up front. My expenses totaled $1,500 a month.I was bringing in $4,200 a month just off that home alone. (minus expenses) I put some sweat equity into this house ( along with $7,000 in materials) and I just received an offer last week of $250k. This would enable you to save up some money for a multi close to Boston while living in the North End.

 If you want to get into the real estate game you have to make some sacrifices. I was living at home traveling back and forth to RI every weekend to make this multi family work. I now own 2 multi's in Providence and I just closed on a triple decker in Sommerville for a condo conversion.  

-Patrick J. Gleason 

Design Builders and Contractors inc. 

Hey BP, 

Im in a unique situation and I'm open to options. Here it goes- 

I have a committed seller and we have agreed upon a sale price of their home @ $200k. I currently have a buyer that is lined up to buy this home at a price of $230k. This buyer is using an FHA loan. Is there anyway possible I can work as a wholesaler to make this extra $30k? I am open to any and all options!

Thanks BP!

- Patrick 

"Home value growth has slowed considerably over the past year in Boston, and now is falling on a monthly basis, down 0.1 percent."

The guy who wrote this article should drive through South Boston. Cranes, more cranes and more cranes! 

Is anyone on here optimistic about Detroit rising from the depths?

http://www.loopnet.com/Listing/19333470/3045-Blaine-Detroit-MI/

Thanks bud! What type of construction is the 12 unit? I've been thinking about scooping one up but the replacement cost of plumbing and electrical scare me. 

My current baby I bought @ $178k all in. She brings in $3900/mo in the warmer weather. Theres two things I hate about NE.. 1. Snow Removal 2. Heat bills    

 Sometimes crime can be your best friend. For example, I scooped up a dulplex next to a college (with a high crime rate) with a gross rental income of $4200/mo. I usually look for multi families near colleges because students are always looking for housing and parents are always paying, Make sure you do your homework and good luck!