All Forum Posts by: Bill Goodland

@Ken Swearengen yeah definitely rare these days. But a more rural town in PA where my gf is from has a ton of them and tenants don’t know the difference between just twin home and half a duplex. I also came across a rare one that had been owned for the same family for 50+ years in a great area, needed plenty of rehab but was begging someone to subdivide and make a killing on

Hire it out

I would recommend finding cash buyers and hoping one is nice enough to tell you if its a deal worth pursuing or not. I just relistened to BP podcast #158 where he explained how he kindve failed his way forward with wholesaling but I would really recommend you get out and network and know what you're doing before putting things under contract. It can be as simple as, "what would you pay for a shell with ____ sq. ft in ______ zip code that needs a total gut rehab?" If they say they'd pay 35, go get it under contract for 30. If you can't find a cash buyer interested in a certain zip code at all, I wouldn't bother wasting the sellers time. Although some will argue that if you get it under contract, you can just market the contract on craigslist and FB marketplace and cross your fingers someone finds it but I would reserve that for once youre more experienced.

How is the property a single unit condo but also a 2-4 unit small multi-family??

I had quicken loans basically tell me the same thing. I think fannie/freddie loans won't let you do less than 10% for 2-4 units but FHA you can put as little as 3.5% down. Slightly more closing costs on the loan, but you're allowed up to 6% in seller assistance to pay for your closing costs and FHA will often be a significantly lower rate than conventional. A lot of things they claim are "guidelines" are actually just the specific lenders requirements and not national requirements. Shop around.

Check out @David Greene's book on investing OOS. He goes in-depth explaining the process and steps of getting your team in order. 

 Probably something you should be asking deal machines customer service

I would continue to save and make do with your low cost of living as is. Once you get a pay bump, I would then use that income to qualify for an FHA loan and househack a SFR in San Diego. While you may not find a small multi family to work, a SFR if you're willing to live with roommates works just about anywhere as @Craig Curelop talks about in his House Hacking Strategy book. OOS investing although definitely a good option, requires a team and systems that is tough to do with limited capital and experience. Plus, if you're young and need a place to live anyway, you're going to get the best ROI by reducing your living expenses and gaining equity and appreciation from a house in san diego compared to returns and risk of investing out of state.

Duplex means they're considering both units as one property on one parcel of land. I just specifically think side by side is better than up/down duplexes because they have less of a feel of sharing a building since they only share a wall. Problem is, a lot of places that are side by side duplexes are subdivided into two separate "twin homes" which are considered SFR, separate parcels and would require two separate loans. If you can find a side by side duplex that hasn't yet been subdivided you can still get a low downpayment fha or conventional loan as long as you owner occupy. Most long terms investment loans that aren't owner occupied are going to usually want at least 20% down, or soemtimes 25% for 2+ units but it's lender dependent

@Justin Rivers I would hold, at least for the time being as long as you can at least break even or close to it. After your first tenant moves out after a year or two, I would probably 1031 into something again with some value add potential.