All Forum Posts by: Corey Smith

@Renata McCulloch Nice. I haven't looked at any articles here that were on the topic of using Hard Money to finance rentals, specifically. Would you mind sharing which ones you had read?

@Ryland Taniguchi Thanks for laying it out like that. It is definitely encouraging to hear that it's possible to find properties that you can secure in that price range. It's time for me to find an area and start driving for dollars every chance I get. 

The criteria you laid out in the $50K-75K scenario raises one more question for me. And that is why you would see a deal like that as ideal for a BRRRR, and not a better opportunity to flip? I'm looking to BRRRR my way into owning rentals and what you've laid out would be ideal. I'm just trying to figure out what, when analyzing a deal, makes it stand out as a BRRRR vs. it standing out as a Flip.

I'd be very interested in doing something with a property that could be split into multiple lots. When you spoke on it during Monday's meetup it was making a ton of sense (and very profitable, of course). It'd probably be a bit over my head this early, but like I've heard from you and others ... if I can find a real deal, I should be able to find someone that knows what they are doing to come in on the deal with me. So would the R2 zoning in Tacoma similar to the LR3 you were talking about in Seattle? I need to read up on zoning, that was one of the things I took away from the meetup.

I would think that if you found a PM you felt like was trustworthy and knew what they were doing, it would be worth the fee they'd charge for their consultation, especially if you weren't confident enough in your ability to analyze all that on your own. 

But, like others have said, you can likely gather rent ranges by searching online. And if you have the ability to estimate costs of repairs on your own, that would take care of that part of it.

This is something I'd be interested in learning more about to. I have one rental, which is across the country and managed by a PM ... but via accidental landlording. 

@Tom G. Thanks for the input on this! It's good to hear from someone who is using hard money to fund their BRRRR investments, as Hard Money is likely the way I will need to do at least my first deals.

I was planning to post a similar question today. I want to start searching for an area around me to start farming. I'm looking for a website that has neighborhood metrics like house prices, rental prices, median household incomes, % renters, etc. 

I think I had come across neighborhoodscout before, but back when I was looking for my primary. I'll definitely be taking a look at it for investment purposes now.

I've also used city-data.com before. It has a pretty broad range of things it breaks neighborhoods down by. But I'm not sure how up-to-date their info is.

If anyone else has any other suggestion, including legit pay sites, I'd love to hear about them.

@Ryland Taniguchi Thanks for the in-depth response.

And I agree, it would make more sense right now to start picking up rentals now. If I could, I'd be trying to buy one tomorrow morning. What I need to figure out is how to get the capital to purchase a long-term hold. I have the credit to get a loan, no problem. But don't have the funds for a down payment. For that reason I was considering using hard money if I could find a flip deal with the numbers to support it, since I (ideally) wouldn't be holding the loan for long.

But how do I use private/hard money to secure my first long-term rental? I guess that is where the Refi part of the BRRRR would come into effect? If I was able to OPM to fund the purchase the property and rehab it, then refi'd once I had a tenant in there in order to pay the private/hard money back ... can that all be managed within a personal out-of-pocket in the neighborhood of $10-15K, if I were to do it in the southern region like you pointed out?

This is where my mind gets stuck on where to go from here.

@Ryland Taniguchi BRRRR is what I am interested in doing to build my long-term portfolio.

I'm sure I'm missing something, but wouldn't a good flip deal be fairly similar to a good BRRRR deal? I was under the impression that a BRRRR and Flip a similar types of deals with a different exit strategy (hold vs. sell).

Is it that a property that you could successfully BRRRR wouldn't have enough of a return to be a lucrative flip?

My other question about going BRRRR right now is whether buying long-term investments right now would be a solid investment, given that many people predict the market will drop in the next couple of years? Or does buying the properties and holding them long-term essentially cancel that out?

Hey BP!

For the last month I've tried to submerge myself in as much content around this site and other places as I could in order to feel more comfortable with moving forward. I'm at that point now, and would like to start moving on to the next step so that I don't get caught in a cycle of inaction.

I'm aware that the Greater Seattle area market is on fire and is a seller's market. I'm even in the process of preparing to take the RE Brokers exam so that I can try to take advantage of the sales side of this market (which could allow me to build some capital to invest with). But I still want to start making moves with REI soon, so I am trying to figure out how to proceed.

My long-term play is to build a portfolio of holds. But I'm thinking long-term holds wouldn't be a good play for the next year or two. So I would like to jump into a flip, since they shouldn't be long-term situations. Between flipping, doing work as an agent, and other saving, I want to be able to take advantage when the market does hit a downturn.

I say all this to ask for input on the Southeast area of King County (Let's say the Maple Valley Area down to around Orting/South Hill/Graham). I'd like to start getting some practice in with running numbers on deals and reaching out to owners, etc. Maybe even find a deal that I can jump on in the process. And I'm looking for advice on any areas in that region that may be good to make my Farm area. 

Thanks in advance!

@Kevin Yeats I actually just added that to my to-get list after one of the podcast guests recommended it. 

@Olivia C. I've never heard of that one! I'll put that on the list!

Welcome to BP, @Christopher Hu!

I'm new around here, too. And I still haven't made much of a dent in the content on this site! There are a lot of people on the forums that are more than willing to help you out, so don't be afraid to ask.

Good luck!