All Forum Posts by: Stephen Roesler

@Cody Barna do you have any insight on the east side of Manchester, specifically Hanover Hill? I am researching a potential BRRRR in that area, as it seems like a higher quality area and more of a "residential neighborhood feel" compared to moving closer to downtown. Also, any insight on renting out SFH in that area?

@Kristin Britt Would you mind sharing the lender's information? I am researching financing options for the above mentioned BRRRR property and would be looking for acquisition/rehab funding.

Thanks!

@Twana Rasoul thanks for the insight. Everything you said aligns with how I analyze, which makes me feel like I am on the right track! Sounds like your mortgage would not be something you'd be consider with if there was no rental income in the picture, which is the same for multi's in my area.

Now I just have to source a deal for a reasonable price!

So I would love some insight about leveraging responsibly. A little background on the situation - last week a short sale was listed on the market in my area. Initial impressions and listed price were of great interest to me. Within 3 days on market, it went under agreement, before I got any questions answered by the listing agent. Trying not to dwell what could have been, although it felt like the opportunity I've been looking for to break into REI.

Anyways, I was running numbers for what down payment would be optimal for this house-hack, which was a 2-family (2BR/1BA, 1BR/1BA). Either unit rented out would have been $500-1000 out of pocket while hacking, which would still be cheaper than a cheap condo or renting in our market. Renting both units after moving on would have net approx. $450-775/mo.

Our concern during analysis was that the estimated mortgage payment would have been 50-60% of our net income, which we would never consider if rental income was not in the picture, but I would be comfortable with until getting a unit rented. If I want to get into a multifamily property in my area, this is going to be the realistic situation.

Is this amount of monthly leverage unreasonable even if we could cover the payment until the vacancy is filled?

Hey @Sawyer Dina, I enjoyed reading about your REI journey. Sounds very similar to my situation as well (not the lawsuit though lol). You are a bit farther on your journey than I am. I got interested in RE in college when I majored in finance. As I looked into RE, it was something that truly seems to click with me, and I have been gradually educating myself over time. After graduating college, I eventually transitioned into the CRE underwriting position that I am currently working. I am glad to be gaining the knowledge on the debt side, but would like to move to the equity side in the near future. Hoping to use the knowledge from that to break out on my own as you have done and control my own future. For now, i will keep learning as I look for my first deal.

Great to hear your story and best of luck for your business in the future.

There are many types of commercial properties in real estate. The most common types would include, multifamily (5+ units), retail, industrial, office, hotel, and mixed use.

Hi Andrew,

Nice to see another member in the Boston area. I am on the north shore. Sounds like you have a good mindset going into your investing. Its a tough market in the Boston. If you don't mind me asking, are you looking at Providence for any specific reason? I ask because I want to get started in the greater Boston area, but due to prices and low multifamily inventory, there are not a lot of house hack deals. I am a first time buyer but I want to purchase with the intention of utilizing as an investment after moving on from that first property. Curious to hear about your strategy and what markets you are targeting.

Good luck!

Steve

Hey Jacob,

I can relate to how you're feeling. I entered college studying athletic training and switched from that after my first full year because I couldn't see myself pursuing that industry. I'm guessing you went into your first semester feeling confident chemistry was your future but now you're questioning it. Sometimes college classes can make it challenging to envision what work you will do after graduating. If the biggest reason to drop out is avoiding student loans, I would look into cheaper schools that can get you the same end result. The name of the school you attend is less important than the degree you receive. This is a trap I think a lot of students do not realize and they think the loans are worth it to go to a school with a certain name attached.

I would recommend maybe looking at how school may benefit you and your goals long term, not short term. You may see the value or you may not and that is going to be a personal decision. In the meantime, you can still get your real estate license now and get started. I knew some classmates in college who did this outside of classes and I wish I did that as well.

Just for some perspective - I went through my final years of school very interested in real estate. I now work as a real estate analyst on the credit side. There are many different jobs within the real estate industry that you may want to research and see if any peak your interest. From there, see what the educational requirements typically are.

Hey Sam - Your enthusiasm and goals sounds similar to me. Finished my undergrad in 2017 in finance and knew I wanted to work in and invest real estate. I decided I wanted to start in real estate finance and after doing a professional certification course in commercial RE (not a license), was able to transition into a CRE credit analyst role at my current company.

I also just got my salesperson license in Massachusetts - I did this course online for flexibility but did the hours daily so it only took a few weeks and another month or so from there studying for the exam. Everyone learns different but I felt comfortable with online studying and learning from youtube videos without paying for additional courses. I highly recommend checking out PrepAgent on youtube. Really great info and tips on taking the exam.

Hope I might have helped you in some way. Feel free to reach of if I can help.

Hi Mychal,

I am recently licensed in Massachusetts. My full time job is in real estate analysis on the credit side. You may want to consider possible conflicts on interest between being an agent and an appraiser. I could see a sticky situation occurring if you were trying to be the appraiser on a deal you are helping a client buy/sell. Not saying you would try anything unethical, but just something to consider for how other parties involved may see it.

If you are simply just looking to have your resume boosted when being hired on by a brokerage, it would not be a negative of course, but definitely not necessary considering most brokerages are satisfied as long as you have your salesperson license in your state.

@Account Closed All great ways to think about it. I understand that "part time" as an agent does not mean "sometimes" or "when I feel like it" if I want to find consistency and growth once starting. I appreciate your input and the points of view of different strategies.

@Jason Turgeon My current motivation is to bring in additional income and learn more in real estate. That income will be twofold since i will be using it save towards a start in my own investing. I am in the early years of my career so I can sacrifice some free time in order to pursue my goals. As you mentioned, if anything the information I will learn will be valuable regardless, which I can appreciate as my day job correlates with the industry. Thanks for your take and background info. 

@Michael Noto Good to hear this from someone since majority of the information out there say it's not realistic for someone to become successful without going all in from the start. I think it is easy to assume that most want to do is as a hobby and that is where the failure rate becomes inflated since many are not truly passionate about real estate. I'll shoot you a PM!