All Forum Posts by: Sheldon Vic

I would recommend checking out Rentometer, also use comps within the area to base if you're getting a good deal or not (craigslist, zillow, etc.). You can use Census data as it is a national database that can project future economic outlook, job growth, etc. 

AKA "skin in the game"

Hey @Kyle Pierce I would be interested in learning more about the Utah market as well; Should something work out I plan on investing from out-of-state, so would need to build my team as well (GC, Realtor, Attorney, PM, etc.). Thanks! 

SET........FOR.......LYPH.......

Thanks @Isi Nau for the feedback. What you said completely makes sense from both an investment and return standpoint.

So I was running through various scenarios in my head and how they could play out, but I would always try to make sure that there is some form of 1. forced appreciation (whether it be from minor rehab work i.e.: kitchen and bathroom remodel, flooring, paint]), and 2. the purchase price was not at the upper end of our qualifying threshold. 

In this scenario, our PMI would be less than what we currently pay in rent, we would be building some (not much) equity in the property; and should we sell, the property would have built in forced appreciation (even if the market dips, our budget/offers should account for this). The location we seek to invest in seems to have a positive economic outlook within the nexts 3-5-10 years as well.

I would consider a cash out refi only if the numbers made sense (1. funding is enough to pay off current mortgage and provide some profit to reinvest, 2. if the property serves as a rental AT WORST its a temporary break even). 

Assuming everything plays out as above, we expect to have some residual capital for our move. In this case, irregardless with or without a cash out refi (along with my wife and I having established W2's), we would have good momentum to find our next house hack where we do move. 

Hoping this seems like a logical plan where we covered all angles.

And yeah if all else fails, we continue to rent then move on.

@Jake S. Thanks for the response! It definitely makes sense to not hold onto negatively cashflowing properties. I honestly haven't done much research on short-term rentals/strategies, so am not familiar if this would work or not. I know that vacancies here are minimal, and the area I seek in purchase our families HI property has little vacancies. Worst case scenario, I sell and break even on the HI property to move onto the next.

Also, should I not be so concerned about utilizing my equity, or am I on the right track about preserving my equity for future/oos investing? 

Hello all,

Currently living in Hawaii finishing up my last year of grad school (I have a little less than 1 year left). Have a family of 4 and currently renting. My wife works full-time, while I have part-time work (not significant income; primarily financial aid), we will have no debt aside from student debt. My grandparents property just sold, which I will be splitting half of the proceeds between a relative and myself. 

I am working with a local REI/Realtor on finding our first property here. My goal for this is to eliminate rent, while preserving capital for our next property. I was looking into utilizing an FHA (down payment would be something feasible for a property <$400k-->refinance to utilize as cashflowing rental), USDA (no down payment, high mortgage-->refinance to utilize as cashflowing rental), or HELOC (interest only payment, then seek to refinance and utilize property as cashflowing rental) to acquire this property.

Once I graduate, our family plans on moving to Oregon, which we would seek to find our next property (live and flip). I am also interested to invest out-of-state with any extra equity.

Ideally I would like to keep the Hawaii property for appreciation with potential cashflow (worst case im temporarily breaking even on the property, but having mortgage paid down and gaining appreciation).

Does this sound like something that could work? Thanks again BP community! 

@Melissa Nash @Kelli Meade I would also be interested in building a team in this area!

agreed with the above; option 5 sounds solliiiiiiiiiid with option 4 close by. Like @Daniel Kong stated, it depends on how agressive you want to be with your investments and what type of team you have backing you. Good luck!