All Forum Posts by: Ross Bowman

If you think its overpriced now, what do you think its going to be like after all this government printed money keeps finding its way into the market over the next year, two, ten?

Thats a good point actually. I guess I've been hoping for some kind of dip but with the amount of artificial stimulus flooding the economy, it may not happen for a while.

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Originally posted by @Jon K.:

@Ross Bowman This is a very subjective question. How much do you want to spend per month on your own housing? What are your goals with your investing and does a house hack fit in with those goals or will you be better doing a simple owner occupied deal? If you find a primary that fits your goals and criteria based on today's numbers then no it's not crazy. I don't try to time the market.

It may not lead to a deal, and there may be nothing but garbage there for your farm areas, but many auctions through the Hud Home Store are restricted to owner-occupants for the first couple of weeks. If you're house hacking, that should thin the competition a bit. No guarantee you'll find anything good there but can't hurt to look.

https://www.hudhomestore.com

Appreciate the insight here Jon. Very helpful and agreed. I've never actually heard of the Hud Home Store - I'm going to check this out! Much appreciated sir.

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Cant speak from personal experience, but a good friend of mine just hard to start paying his loans again or else wouldn't be able to get his next mortgage approved. They wanted 3 months of payments before they'll lend to him again. @Travelle Mason

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My wife and I are new investors who only own a couple doors.

We currently rent and had planned to buy a primary residence during this time. Covid obviously changed all that and the combination of an insane sellers-market, record low interest rates, and serious economic uncertainty has me second guessing it.

Should we just keep renting until after the election/winter and then re-assess? Everything's overpriced and I already hate the idea of buying a liability just to live in.

Note: actively searching for house hacks (LTR or STR) but struggling to find promising deals there too.

Opinions on this?

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Originally posted by @Will Gaston:

@Ross Bowman it's more or less the same type of seller's market in my area, too.

I've never spent a ton of time worrying about large macro concerns. Real estate is hyper-local. I'm still ready to buy if a great deal comes across my desk and I can add value and it will cash flow. There are certainly less of those but I think patience is an incredibly important virtue in real estate.

These are all just blips if you're in it for the long term.

Hey Will, thanks for the advice man. I think patience is what the challenge is! Hate feeling side-lined.

Also, I see you're from Columbia. I'm in Charleston. Very cool!

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TLDR: I went from aggressively investing constantly and deploying capital, to being in this weird COVID "wait and see" sellers market. I just started buying a year ago.

Covid created this insane sellers market, especially in my area. It's common to see listings for up to 100k over what they would've been previously. This is terrible timing, as we were finally planning to buy a primary residence! The goal was to get something we could live in for a little and then AirBnB. Now I'm afraid to touch anything, as these prices are clearly inflated.

To clarify, I'm *not* trying to time the market, but just really struggling to find good deals that actually make sense and I don't want to buy out of FOMO. I'd love to hear any advice folks have on this.

How are you buying during this sellers market?

Or are a lot of folks playing defensive and hoarding cash as a hedge?

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Originally posted by @Andrew Watson:

Ross,

We pay cash, and we’re all-in (purchase price, closing costs, renovation) for $30-$35k. We obviously don’t invest in Beverly Hills - we rent to good people who happen to live in lower income areas.

On a home that we are all-in at $35k, our goal is to rent it for 700-750. They may be in ‘transitional’ areas, but our homes are nice - what we call “bulletproof chic”. We generally have multiple, qualified applicants on the first day of open house.

If we find a good deal and don’t have the cash on hand we will go to one of our investors to provide a private mortgage, secured by the property. With these numbers we can afford to pay generous returns to our investors, provide a nice home to our residents and still make a fair profit.

Wow that's awesome. Do you find these deals yourself or do you have an agent who finds them for you? I'd love to pick up a home, cash, for those numbers.

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Originally posted by @Russ Scheider:

@Ross Bowman we hope to start up REI-Central again in September. We had some GREAT meetings before COVID. Best meetup in town by a long shot

Understood! Is there a mailing list or some way to stay on top of that? I'd definitely like to go and network.

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Awesome post @Nick Webb. Also great response @Russ Scheider.

I see you guys are both in Charleston - I'm here too. Do you go to the REIA meetups or anything?

I've been investing out of state since I kind of wrote-off our market as too hot, but I'd love to learn more about how you guys actually invest here. I'm sure there's a way to make money in every market, but Charleston has me kinda stumped!

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Originally posted by @Joe P.:

Originally posted by @Ross Bowman:

Originally posted by @Jermell Shavers:

I’m starting to doubt my c class rentals. I met someone who finances all of her rentals and I guess I kinda got caught up in what she was talking about. I buy my properties cash 40k or less since my financing options are limited. My c class rentals aren’t bad they cash flow 100% and they rent for 905 and up with sec 8 which in a c class I’m perfectly happy with. Why am I doubting myself now ?? Should I try for B or A class properties.

Dude what market are you getting properties at 40k or less cash and renting for 905 and up? That sounds great.

Pockets of South Jersey, believe it or not, also are in this category. It's more like 60-75k for 1000-1200 rent, but still, yes, its possible. Now the taxes...that's what kills you in NJ.

Wow I'm surprised South Jersey has anything like that. Didn't realize it.

But I definitely believe you on the taxes! I'm originally from Jersey and I do not regret leaving.

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All Forum Posts by: Ross Bowman

Ross Bowman has started 20 posts and replied 108 times.

Post: Is it crazy to buy a primary right now?

Post: Is it crazy to buy a primary right now?

Post: Are there any NEGATIVE IMPACTS for COVID-19 Forebearance?

Post: Is it crazy to buy a primary right now?

Post: Holding Pattern - Feels Weird. What's your plan?

Post: Holding Pattern - Feels Weird. What's your plan?

Post: Doubting my C class rentals

Post: How has COVID POSITIVELY impacted YOU and/or your REI Strategy??

Post: How has COVID POSITIVELY impacted YOU and/or your REI Strategy??

Post: Doubting my C class rentals