All Forum Posts by: Robert Yarnell

@Michael Anderson no worries here, I'm thankful for the information! I will be reaching out to a realtor tomorrow concerning that area and it'll be interesting to learn more. If anything else comes to mind I'd love to hear it!

@Michael Anderson thank you for the reply and information! Is the Leisure Village West a MHP? Regardless, I've started looking into mobile homes, but it seems that folks around here aren't being realistic with their asking prices...not to mention the challenge of getting good data on comp sales.

Any help you can offer i will soak up! In my post i pretty much laid out my funding out of frustration, because of the limitations i received talking to HMLs and banks. My plan is to gain about $45K post-tax from flipping 2 properties, then complete 2 BRRRRs within the next 17 months (I'm trying to balance out my income for my upcoming military retirement). Finding distressed properties with the potential to flip in such a low price range is challenging as I'm really trying to stay away from D class areas, but have limited funds.

My thoughts on Whiting would be to build a niche that caters more to the senior citizen who is the main customer in that area. Nothing major, but focus on door widths, ramps, grab bars, etc. I see good data showing they are selling consistently from $30-$95K for the 1/1s and 2/1s. So my math would be about $35K purchase+$25K reno, so $60K all in. Sell for $95K-$6k commission=$29K profit and a little less once taxed...there's just the "age" barrier to entry to figure out...

Hey guys! This week I drove through Whiting, Manchester Township, and Lakehurst, New Jersey on my way to pick up a marketplace item for my son. On our way home I diverted a little bit in the Whiting area since i recognized one of the homes from my morning search I had done. When I came home I started to dig into the area and I quickly learned there is a niche market for 2/1 homes for retirees. Unfortunately it seems like most of the area is 55+ co-ops, but I wanted to ask if anyone has experience flipping in this area. There is good potential there, but in addition to the age restrictions I wonder what restrictions might exist in regards to exterior modifications (color, siding material, windows, landscaping, etc.)

One co-op I was reading about today had their agreements accessible, and it read like 1 of the applicants need to be 55+ and then other applicants just need to be older than 19. Is this an easy workaround to invest in the area is to partner with someone 55+?

Any help/suggestions on this area is appreciated. I need my first deal, but it needs to be all cash deal no more than $35K for the property, then up to a $35K rehab budget.

Thank you!

@Ilya Z. have you all considered renting the property?

@Michael Ablan when mention to take caution in regards to your DTI due to the new HML payment, wouldn't the lease income from your BRRRR offset this? I understood DTI to be reviewed on a monthly basis, which would include the new rental income, right?

@Robert Yarnell MY BAD...$1300 x 12 = $15600 😬 Not a good deal anymore...sorry all!

@Christian Cummings I've been really digging into the math of REI and just using the quick 50% rule, the deal certainly seems good to me...

$1300 x 12 months = $36000 gross rent

$36000 x 50% = $18000 for op exp's

$900 mortgage x 12 months = $10800 annual

mortgage

$18000 - $10800 = $7200 cash flow

$7200 ÷ 12 months = $600 per month...worth looking into!

BP pros, am I totally missing something?

@Eric X. I don't understand what you said about saving thousands in closing costs doing cash on cash deals. Can you explain?

@Sean Sloop the first deal interests me. I ran the numbers and am confused about what was promising about applying the BRRRR strategy for that property. Aren't we taught to limit our "all in" to be no more than 65-70% of ARV? The numbers for me don't add up as 70% of $52,000 is $36k and some change. Your purchase price + reno costs alone took you above $41k, not to account for closing, holding, and contingency costs. What appealed to you about this deal?

Hi guys! My name is Robert and I figured it's time to stop stalking and start posting...haha. So as far as introductions go, I have been serving in the Air Force over 18 years and have now bought 3 homes and sold 2. My interests have always been with the trades and my previous homes were a blast as they were both "long term" flips that provided me with some real-world experience...major jobs like adding bathrooms, bedrooms, converting spaces, kitchens, etc. With that said, both homes sold full price within a few days of listing and I have maintained the excitement and idea of transitioning into real estate investing after my military career is over. 

My transition plan is starting to come together and you all have been a really big part of that as I've been soaking up the podcasts and forums over the last few months. Right now I am taking my PA realtor course online (that's my "home of record") and intend to become licensed within 5 months and then convert that into a NJ license (where I'm currently stationed). Once licensed here, I hope to become popular with the "military crowd" surrounding the area and help transitioning families buy/sell homes to establish some capital. All the while looking out for a great flip to build up reserves to retire from the military in a safe position income-wise, then pursue BRRRRs for our final years here as my two sons finish high school.

Hope that wasn't too much to soon, but glad to be here and am excited to start participating in the Bigger Pockets forums!