All Forum Posts by: Steve Tim

Are you connected with any realtors who work in those areas? Do you have funds for a down payment? Do you have cash reserves in addition to your down payment funds? Do you own a primary already, or do you rent? Are you working with a lender?

I'm just now starting to connect with realtors in the areas.. I have a sizable down payment, yes.
Yes I have cash reserves in addition to the down payment. I currently rent in a HCOL area (I'm okay with continuing to rent). And yes, I'm going through the pre-apprroval process right now (should be wrapped up very soon).

Questions are mostly specific to those areas, but I'm also curious about:

- What are the trade-offs of a 15 vs 30 year mortgage for a rental? I initially thought about a 15 year to pay off the loan faster, but have been told that's the wrong approach

- Would you recommend buying under an LLC?

- Are there any checklists for first time home owners? Like, home inspections, finding a renter, maintenance best practices, insurance, etc

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Originally posted by @Joe Villeneuve:

Originally posted by @Steve Tim:

Originally posted by @Joe Villeneuve:

Why are you choosing those areas to invest?

I spend time in all three areas and they're all within budget. They're all within two hours of the bay area, which is ideal for me. I'd be able to live in any of these locations if renovations are needed, too. I know they're unique from one another, but I see benefits in all three locations.

None of those reasons, except being within budget, is a reason for investing in any area...without the most important ones. How would you be buying them? All cash (mistake) or leveraged?

Do they cash flow positive (and how much), and can you flip for a profit? Being within your budget is a part of the financial requirement, but only if the "exit" makes you money. Just being able to buy it means very little standing alone.

Being within 2 hours of your location doesn't make it a good place to invest...it just means you can drive there. Again, that doesn't make you money. Why is "being able to living in any..." of them important to you?

You see benefits to each? What are they? Do they translate to $$$$$?

Looking 30+ years into the future, those reasons (location relative to me, within budget, can cut costs by living in the unit while renovating, amenities) all seem very relevant to me so I disagree there.. but to answer your other questions, I could afford to place up to 50% of the cost of a property as a down payment if needed.. but ideally I'd be able to borrow more / place a lower down payment. I'd be looking at a cash-flow positive investment, yes.

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Originally posted by @Joe Villeneuve:

Why are you choosing those areas to invest?

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Guess I should mention - I'm not looking for a mentor! This would be a one-time chat.. just connecting with a professional.

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I'm in the Bay Area, looking to invest in my first property later this year. I'm looking to purchase in either Sacramento, northern Sonoma, or Santa Cruz. I'm brand new to this and would love to connect to a professional in the area.. looking to grab 15-20 minutes of someone's time, mostly so I can ask questions and get advice.. just to make sure my assumptions and view of things are correct so far. Anyone have advise on who to reach out to or where to reach out? Open to a phone call, zoom call, or chatting over coffee. Looking forward to this adventure!

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All Forum Posts by: Steve Tim

Steve Tim has started 1 posts and replied 5 times.

Post: Looking to pick someones brain about first-time investing

Post: Looking to pick someones brain about first-time investing

Post: Looking to pick someones brain about first-time investing

Post: Looking to pick someones brain about first-time investing

Post: Looking to pick someones brain about first-time investing