All Forum Posts by: Stone Saathoff

If you purchase at 300K and your rents as-is are 3575 per month, that isn't a bad deal for buying turn key. If you spend 90K in work on renovations to total 4000 per month, is that even worth it? Of course it bumps up the value of the property but if your goal is a long term hold that actually gives you a lower percentage return for the near future. If the selling agent misrepresented the monthly rental income that could certainly be a point to use to go back in for a price negotiation. 

75% LTV sounds reasonable for most areas of the US right now. My area of expertise is San Antonio and Central TX. It sounds like you need to consult further with a few lenders. Your partners experience may be a benefit, and it sounds like you have a good amount of cash set aside to get the ball rolling.

Hoping they ease those restrictions here in San Antonio soon as well.

Being someone who works in investment real estate, I tend to come across quite a few discounted properties that are located near railroad tracks. I've heard a few opinions on this, and I've seen varying evidence in my market research.

As an example, just this evening I'm pulling sold comps for a house and one of the highest sold price per sq ft comps is located literally right next to a railroad track, and has a massive commercial building right in front of it. These are supposed to majorly drag down a properties value, but this is my 2nd highest priced comp on price per sq ft. How is this? It sold FHA so it is an owner occupant as well, not an investor, in 17 days on market.

While were on the subject, does being near railroad tracks affect rent rates? Curious to hear feedback on both of these. 

Hey Doug, I'm also in the San Antonio area. I normally recommend setting up the re-finance before closing on the house as well. Since that has already happened basically the sooner the better.

None of those numbers sound bad, the flip profit seems skinny on the low end, but that's the bottom of your range. Up to what you want to do. Do you want profit without putting your own cash in? Wholesale. Do you want cashflow? Buy, fix, rent. Do you want the potential for a larger return, and to get more involved? Flip it. 

California seems to have much harsher restrictions due to Covid than a lot of other states, mine included. Tough to say if it's the right time or not. That being said, you have put yourself in a great position. Having that amount of money saved up at your age is no joke. Start some serious conversations with investor friendly realtors and wholesalers in your area to learn the market better. Provide some value to them, show you're serious about getting into it, and they will help you out.

If you ever consider doing long distance investing, San Antonio, TX can be great for cash flow if you find the right types of deals.

Austin isn't my market personally but I network with a lot of investors up there. Sent you a colleague request so we can connect.

I use the BP app on my Note 9, latest android version, and it crashes constantly. Android can be a little harder to optimize due to the wide variety of devices.