All Forum Posts by: Simon Ashbaugh

Hello everyone,

I just have a general question about the strategy of house hacking, I understand that the point of house hacking is that after a certain amount of time you buy a different a new property and then house hack that property until you get to own x amount of properties and create a good portfolio. The part that I am a little confused or not truly understand is how do you get to buy a second house, Im assuming that you need to take a second mortgage but by doing that wouldnt you receive a much lower loan amount since youre in debt because of the first mortgage, or your dept to income ratio is higher that you would qualify to a good amount to get a second mortgage.

If anyone could help me understand this it would be much appreciated!

Thank you!!!

Hello BP community,

I am 30 y/o and live in Orange County, CA. I have been interested in real estate since a young age, and now that I am able to get started I'm stuck between two options. 1) I have been considering buying an out of state rental property. No particular market in mind. 2) I am also considering purchasing a primary home in Santa Ana because I currently qualify for a city incentive. The incentive is a $80,000 loan at 0% for 45 years, and could potentially get up to $40,000 forgiven over the course of the loan.

I will only qualify for this program until August 2023 because my income will be above the threshold. A few things to note is that if it wasn't for the incentive I would not be very interested in purchasing in Santa Ana.

Also, I have always wanted to buy rental(s) before purchasing a primary residence because I can take on more risk without a mortgage.

Since I lack the real estate knowledge I would appreciate your input. Is the incentive to good to pass on?

Thank you,

Novice REI here, wondering:

- Is it realistic to think I can obtain $1,000/month NOI on a single door ($12,000/year)?

- If yes, can I simply divide $300,000 by $12,000 to determine I would need 25 Doors to reach $300,000 Annual NOI?

Career moves are moving my family to Europe for a few years. We purchased our home in 2019 and have an estimate ~$150,000 in equity in the home today. Based upon current rent estimates from local PMs we could expect around $1k per month cash flow if we were to rent the home. 

No one can see into the future, my concern is whether or not I should risk losing the equity in the home ($475k single family home) if there is a recession or housing downturn during these years. 

Ideally I planned to utilize the equity to begin my investor journey, so cashing out now could secure this but we would obviously no longer own the asset. 

Any advice? 

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

I'm coming from out of state to visit Columbus for a full day this Thursday June 1st to view different neighborhoods, get a feel for the city, and ideally, take a look at some houses. I'm looking for semi-distressed properties in "up-and-coming" neighborhoods for a classic BRRRR. I've been trying to get ahold of a realtor I chose a few weeks ago to advise me on areas to visit and help set up showings but have come up short with hearing from him, which of course is very frustrating but alas, I come to the Columbus BP community for guidance.

Are there any specific B to C+ neighborhoods you would recommend looking at? I've got $100k cash and lending preapproval - ideally looking in the $115k-$175k range with the idea of adding some renovation value into the home.

Also, if any knowledgable Columbus investors are available this Thursday June 1st for a meetup to shed some knowledge, lunch is on me!

So I am currently a Realtor but want to transition into being an investor. I hired a coach with a stellar track record and we have been working together for a few months. My goal is to make my everyday income off of being a real estate investor while I acquire rental properties. I currently rent and a 3.5% down payment on a 450K fix up house at 6.5% interest sounds daunting. Flipping sounds capital intensive to start (some people say i can raise a lot of private funds for the fix and flip and others say I need most of my own capital to start)

My question is, what should be a very rough business plan or somewhere I can aim my sights on. I feel very spread thin at the moment looking at owner financing, putting my own money 20% down on a rental, BRRRRR, fix and flip etc...

I am a new to REI and trying to find my first deal. Have been listening to BP podcast episodes from 2020 and earlier and the numbers were no where near what they are today.

I have analyzed about 30 deals in Atlanta, Dallas and Columbus markets. Couldn't find a single property where it is meeting the 1% rule. Agreed that I looked at only MLS listings, but still.

Am I looking in the wrong place ? Or am I making any mistakes in my analysis? Not sure where to go from here.

Also, is there a place on BP where we can find market analysis? I am a pro member. 
Please let me know how you guys are dealing with this