All Forum Posts by: Riley Breck

That would be great @Shawn McCormick. I should be ready to start making offers quite soon, and the MLS search alert would help a lot. Thank you.

Hey @Shawn McCormick I'm just looking for some support when it comes to experience and capital. I'm not locked in to using the VA loan, more inclined to traditional loan for now, and I could attempt to pay cash depending on the price. I'm looking at the Apopka/Winter Garde/Altamonte area of Orlando.

Currently transitioning out of active duty military and looking for a partner in central Florida, more specifically Orlando area. Looking for long-term rentals, but I am open to other ideas as well. I'll be back in the area around November but actively searching for deals now

@Jaysen Medhurst @Greg Scott

Here is the breakdown of how I came up with my numbers; since I don't have a pro account I can't download the pdf:

PURCHASE
-Purchase Price: $649k
-Purchase Closing Coost: $14,772
LOAN DETAILS
-Interest Rate: 3.2%
-Points Charged: 1
-Loan Term 30 years
RENTAL INCOME
-Gross Monthly Income: $5960
EXPENSES
-Property taxes: $272
-Insurance: $500
-Repairs & Mantainance: 10% ($596/Month)
-Vacancy: 8% ($476/Month)
-Capital Expenditues: 8% ($476/Month)
-Electricity: $150
-Gas: $75
-Water & Sewer: $200
-HOA Fees: $0
-Garbage: $25
-Other: $200

I did as much research as possible for the numbers and the rental estimate is what I got on Zillow and is pretty spot on with similar properties in the area. I'll assume, just to be on the safe side for now that the property requires flood insurance

Current property I am looking and would like to get some outside perspective if it's a good deal or not. It's a duplex in Key West, FL , one unit is a 3/3 and the second is a 1/1. The current list price is 649k; build in 1969 and was remodeled recently. My current plan is to live in the 1/1 and use a 0% down VA loan and a untaxed 2.3k/month housing allowance and rent out the rest of the rooms. I would do this for 3 years until I leave and attempt to remotely manage the property with the help of a PM.

Rent Estimates - 1 Bed (2.1k) 2 Bed (2.8k) Both Conservative Averages as of 4/2020

Here is the Calc: https://www.biggerpockets.com/...

https://www.biggerpockets.com/...

@Aigo Pyles

Are you referring to the property example that I gave? 

- Riley Breck

@Kyle Spearin

Of course, I appreciate your time. I've been doing a bunch of research on my end, but I figured I'd get some outside and unbiased perspective on my situation. 

- Riley Breck

@Mark H. Porter

My current intentions are to go back to Central Florida and leave the service regardless of what choice I make about my next Duty Station (Key West, Fl). Duplex is about as much as you're going to get in the area as far as multi-unit properties go, and SFH do not make any sense from a numbers standpoint.

It just made sense in my head to take advantage of the high Housing Allowance to jump in to REI in the area, but if it seems way too risky or I am overlooking some things and it's not very feasible then I would like to hear otherwise.

- Riley Breck

I am in kind of a pickle with my current situation when in comes to REI. My current plan is to purchase a multi-unit property in Key West, Fl (Current market prices are 625k+ for viable choices in the area) and house hack the property. With my current assets and income does it make any sense to take on that size of a mortgage (0% Down VA loan)/fees ect. from a risk perspective? I am very fiscally responsible, but this is my first real estate investment and I don't know if I am over my head. I've done quite a bit of research on the area and the rent estimates look quite promising, but maybe their are numbers I am overlooking and it's unfeasible. As as example one of the houses I am looking at closely is listed at 650k 4/2 with a second unit that is 1/1 (I would live in the 1/1), recently updated and doesn't appear to need much work done to it.

Current Assets - Approx. 65k Cash / 15k in IRA

Income (Including Housing Allowance - 2.3k) - Approx. 70k 

Estimated Single family Home cost = 350-500k (Current housing Market makes it impossible to find a viable house under that price in Key West, Fl

Estimated Duplex cost - Approx. 625k+ (Not including agent fees, closing cost ect.)

Rent Estimates - 1 Bed (2.1k) 2 Bed (2.8k) Both Conservative Averages as of 4/2020

As active duty Military my second choice would be to return home to a much more moderate housing market, utilize housing allowance (1.5k/month) and utilize the same strategy.