All Forum Posts by: Ryan Kelly

@Ryan Mcpherson as others have stated, you have a few options, but almost all of them will lean toward a sale one way or another. If you keep it as an investment property, a lot may depend on your location and condition. Are you in the city or in a suburb, for example? Happy to connect and provide some feedback if interested.

@Alex Tang I would call your insurer to verify. You may have that option, yes. I have riders in my policies that boost my stated dwelling coverage by 25% in case costs rise. Each insurance company may have a different way they calculate and pay for dwelling coverage.

@Augusta Owens first, thank you for your service! If you elect to use a VA loan, that typically means you don't plan to put any money down. This means the loan value will equal the property value and your mortgage payment will be high. It's not a bad strategy, especially if you live in a lower-priced area with a good rent-to-purchase price ratio.

Regarding a HELOC, most banks will only provide a HELOC up to 75-80% of the property value, so you may not be able to access a HELOC for a while. You will need to pay down the mortgage AND have the property appreciate to a point where you have access to equity above your current primary loan.

The most important step is to keep going and take action. Real estate is a learn as you go business. Congrats!

@Austin Wolff keep up the good work Austin! I look forward to any deep dive into the markets you wish to undertake. I'm hesitant to take the "losing" side of a @Scott Trench bet, haha.

@Scott Trench I think both are true and I support your pro-CA theory, meaning the California investors make their money FIRST by investing in the Bay Area. That's where the biggest equity gains have been created over many decades. Once the investors are ready to move on, and many of my CA investors are tired of California for either price or political reasons, Austin becomes a market to move that equity into. Yes, Austin has pro-growth policies that can allow supply to keep up with demand, which can impact rents, but that will impact the suburbs more as they have the land for development. The city limits are fairly built out and struggling to meet housing demand. We've seen steady rent growth for decades, it's just having a harder time keeping up with the equity side. It's not a cheap market to invest in anymore for sure.

@Scott Trench nailed it. Many of my investors who buy in Austin are specifically from the Bay Area. Why? One word - equity. They are willing to trade one high-equity property in a tenant-friendly market like San Francisco for a more landlord-friendly growth market like Austin. Plus, they are watching their co-workers one at a time move this way and they want to "jump on the train" and join them by owning property here. Austin did get over-supplied following the pandemic and may take a year or two to get back to stabilization. The good news is we remain a fast-growing market with opportunities if you are a true long-term investor.

100%. You want everyone 18 and older to apply and get a full background check.

Nice work Jordan!

@Account Closed without knowing details of each loan, I would almost always choose the primary home. Why? Your primary home doesn't produce cash flow and is a pure expense. You can always leverage rentals within their ability to service the debt. 

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