All Forum Posts by: Samuel Toma

I agree with what what already said but I would also add it depends on your timeframe and goals. If you are going slow and steady and live well below your means, there are scenarios where it could make sense to buy a property that breaks even or is slightly negative because in a few years presumably you have a good cash flowing property.

If that’s not an option, then you have to balance what’s going to give whether it’s location, age of prop, low growth area, etc.

If you are open to living in an apartment style property, I have seen multiple four plex's that offer three bedroom units in the past few months. If you bought one of those with 5% down conventional and rented out the other three units, it could be great way to get into a small multifamily with relatively low money down and it would likely offer good cash flow and appreciation in the future when you decide to move out and rent out all the units.

I invest out of state in Las Vegas and have been looking at the small multi space. I know its tough because a lot of the multi family neighborhoods can be hit or miss but you have an advantage being there and being able to drive it and know certain things that other investors wouldn't. 

Honestly I found an investor friendly agent in the area I was looking and she helped me by doing a walk through and handling a lot of the logistics that would have been difficult for me, being an OOS investor. I wouldn't necessarily recommend it, but I ended up not visiting my property before we bought it because with the minimal amount of work needed (through info from my agent and home inspector) I didn't feel it was necessary. 

I don't know your area but if you were able to house hack I think that would be the best way to start out. Buying a small multifamily allows you to put down a smaller % down, reduce living costs, and get your investment property all at the same time. 

Hey Connor,

First I think it was wise for you guys to realize that renting was the best decision at this time. It is difficult when it feels like there is pressure to own your own home but I think there are a lot of situations where it makes sense to rent. My wife and I decided to keep renting for now because in the city we live in, if we bought a house it would more than double our living expenses, which would then greatly reduce the amount we could save and invest. 

I recommend David Greene's book on long distance real estate investing. I started looking in cities that were not too far but much more affordable. I ended up deciding Las Vegas was the best option and we ended up buying out first property last year. We put 28k down on a 140k condo and are saving up for our next property. 

I think if you wait depends on our goals, if you want to buy a small multi, then maybe you wait or prioritize getting a partner. If you just want to get your first property, then I would suggest research areas where you could get into with your budget. Good luck!

I also believe it is a good time to invest in Las Vegas. Although there isn't as strong population growth as some of the other "hot" cities, I think Vegas is poised to have significant growth as they continue to expand. They may always revolve around the casinos/hotels but they are also expanding past just hotels and entertainment. 

Obviously getting an NHL and NFL team was big, but they are also lobbying for an MLB team and there are multiple arenas being built that could house an NBA team.

https://www.si.com/nba/2022/03...

If you follow the big money, there are a lot of groups buying up land and/or starting new projects

https://www.buildcentral.com/t...

And not to mention Elon investing pretty significantly into Vegas

https://www.engadget.com/borin...

I chose to focus on building a portfolio in Vegas based on where it is currently and future growth prospects. When I see all the investment and intentionality in improving the city, it only increases my confidence in investing there. 

Hey Mitchell! I relate to what you are saying as I moved to Livermore a couple years ago and have been figuring out how to go about buying properties. My wife and I ultimately decided to buy our first property out of state (a small condo) but totally get the desire to have something close by. What is your ideal property? We decided to work on getting a small multi for our next one. Would love to connect and talk more if you are interested! 

 @Michael Robbins what has seemed to be the main issues with the small multi family? I bought a condo in Vegas last year but am looking to get into the multi family space. 

Hey Samuel, I live in Northern CA but have been looking at investing in small multifamily in the Fresno area. Do you have a specific state or city you are looking? And if you don't mind me asking, why not invest in your area?

Hi! I am located in northern CA but have been looking into the Fresno/Clovis area for small multifamily because we want a place that is somewhat close by but with better prices than the Bay. Bought a condo in Vegas last year but ready to take that next step. Would love to connect to hear your guys' plans and thoughts about the market there.

@Phillip Dwyer closed in September 2021. Yes, I think it was a good learning experience, especially being my first one. Not sure how much condos will appreciate so thinking about SFR or small multifamily next.