All Forum Posts by: Andrew Kubik

House-hacking is a great way to get into real estate. I actually have a duplex and I ABnB the other side. It's super rewarding. Generally with FHA financing, you'll have to move in within 60 days of closing. I also wouldn't buy down the rate in this environment. You might able to refinance later on.

Hi Jim,

I own a property management firm in Nashville. Some things that I would ask. I would first interview the property manager to understand their background and how they operate. There are some full service property management companies, but sometime realtors will do it on the side. It's up to you to decide which route you want to go. The next thing I would ask about is their processes. 1) How do you place a tenant? 2) Do they provide you with easy access to accounting records? 4) What is process for handling repair/maintenance requests? 5) do they have an eviction process. 

Hope this helps!

Welcome to the Nashville Market! 

Buy a duplex, triplex, or quad. Live in one unit and rent out the rest. You'll get in for a 5-20% down and have owner financing. After 2-3 years move to the next one.  

If you ever want to sell the property use the 1031 exchange. Additionally, you probably have a good interest rate. If you sell the property to an LLC this could trigger the due on sale clause.

@Gregory Schwartz This is a great strategy for those that can make it work. Unfortunately, most can't. A competent property manager can use their connections to get the property rented and repairs taken care of. 

I think the strategy depends on what kind of time you have. If you're going to work a stressful w-2 job while investing go with number 1. If you're going to work in a low stress w2 job, go with 2. If you're looking to jump into real estate full time, go with number 3. 

I would check the temperature if your water to make sure it's heating up to the right point. How big is your tank? I would make sure to have at least 40 gallons. is this unit further away from the hot water heater than the rest of the units? If so, that could be causing the drop in temperature. Make sure to have your pipes insulated also. Lastly, it might have to do with the water fixture itself. If the reducer was taken out of the showerhead, it could cause the hot water to flow much more quickly than intended. 

Single family homes have more maintenance issues and condos you have to deal with the HOA. If you're planning on doing out of state investing, I would recommend a condo/townhouse. Otherwise, pick your poision. Best of luck in your endeavors!

Vacancy is the largest cost that is often not considered.

Additionally, property taxes may go up after a sale.