All Forum Posts by: Ryan Robirds

Great idea!  Hoping I can make it down.

Not a seminar, but there is a monthly BP meetup in Denver.  Set an alert for "Denver" and you should get an email.  Here is a link to the post with the dates for this year:

http://www.biggerpockets.com/forums/521/topics/187711-denver-april-27th-meetup

Even without the HOA it looks tough. If it was a SFH I doubt it would cash flow well either unless that projected rent is low for the area. I do have a rental house with somewhat similar purchase/rent numbers though that doesn't cash flow well on paper, but it's completely remodeled so at least for now my maintenance/repair costs are essentially 0. It does great for me right now but I will have to reevaluate it sometime in the future. Looks like the condo is right at the 1% rule which I think is pretty typical for Denver, but Mike H is right about the ARV. If it were me I would be more comfortable without the HOA in a SFH.

Good luck!

I agree with what Linda said, just make sure the numbers make sense for you.  I have a rental that cash flows well even though it's only 0.9%.  I had initially lived in this property before moving and renting it out, so I kind of fell into it but it was remodeled when I bought it so the expenses are virtually zero at least for right now.  I wouldn't get into anything under the 1% rule if it needed any work, but maybe you can find something with tenants already in it or in move in condition for a good price where the rents make sense.  Also take into account that prices and rents might not stay high forever so it needs to make sense in the long run.  If it cash flows at 0.7% now make sure it won't put you under water in the future. Just because the market is hot doesn't mean there isn't anything out there.  It just means you have to hustle harder to find deals and be ready to jump on them quick when you find one that adds up to numbers you are comfortable with.

I bought a similar property to live in that I had wished had a garage after the purchase. The price to add one wasn't worth it to me as an owner and the houses I did look at with garages weren't much more expensive so I don't think you would get enough return to make it worthwhile especially with the time involved. Plus with Denver as hot as it is you should have no problem selling. You might have a problem once you up the price $20k+ because of the money the garage cost you though. Just depends on your market, I don't know what area you are talking about so I could be wrong.

The houses are out there, they just get snatched up quick so be patient and keep up on the MLS. If you are just looking at Zillow it is often out dated. I bought a house less than a year ago in the 160's that was a completely remodeled 2bd/1bath that turned into a rental when I moved. My mortgage is less than $1000 and I get $1500 in rent, when realistically I could get $1600+.

If you can manage to put 5% down and get a traditional loan, your PMI and fees will be less than going the FHA route which will reduce your costs.

I don't have a ton of properties, but this is what my experience has been.  Just keep looking because things go off market real quick.  A lot of places I wanted to look at were gone before I could schedule a showing.  Hope that helps!

Ryan