All Forum Posts by: Tim Kaminski

@Allana Alex How is it holding up?  What thickness did you use?

@Ron Todd "Long term" as in more than 30 days rent by room?  Do you make more profit going through Airbnb vs regular rent by room?  

Do you find that your section 8 rents at a higher rate than it would at regular market rate?

@Steve Morris - LIH? AMI?

Can you explain more why you would not target them as a small investor?

@Brenden Mitchum Thanks for your response!  The link you provided, those rates are the max, correct?  Not every 3 bedroom in X zipcode is renting out at the same rate I assume.  Some are nicer/worse than others.

I agree that Rent by Room seems to be more hands on as most ppl going that route are not going to stay for years and years.  More of a temporary stay whereas I have heard Section 8 tenants almost never leave.  Section 8 deals with 1 lease vs 3-4 leases per home.

I think I would lean towards Section 8, but was hoping some other ppl who have used this strategy would confirm how hard/easy it is to get the premium rental rates they advertise.  Have heard from one source in my area that it isn't what it used to be and no longer offer 110% of market rent.

Hello!

Looking at a lower price point ($90-100K) for my 2nd investment property and that has pretty much taken all possibility of small multifamily out of the picture. So I have set my sights on single family and want to maximize income potential. I'm considering both Rent by Room and Section 8 strategies and was hoping to hear insights from ppl who utilize these strategies. I understand both of these are a bit more hands on than regular buy and hold.

What systems/strategies do you use to minimize headaches?

Is there a strategy that you think is more profitable?

Should I avoid both and do regular long term buy and hold?

I thought Section 8 was supposed to pay 110% of market rent but have started hearing otherwise. Can anyone support/refute that statement? I'm in Tampa/St. Petersburg market.

Thanks,

Tim

@Rich Bultema. Well no because you’re taking $20k off the total price? Where did it go?

If I have $20k cash to use as a down payment on a $100k home, isn't that favorable than using $20k from a HELOC and be 100% leveraged?

Is using a HELOC as a downpayment on an investment property a decent strategy or should you wait to be able to use the HELOC to buy properties outright. Concerned that if I use it as a downpayment, I'll have twice the amount of debt on one property and it's all riding on my tenants ability to pay rent during these trying times.

@Alex Olson Here is a dumb question.  What do you mean, you only pay back the interest?  When does the principle become due?

I found another lender and after initially assuring me they could do 75% LTV, dropped it down to 70%LTV. If my appraisal stays around the same as what it was in late Feb(which I'm not sure of), I would get $7-8K back, a lower rate, and a slightly lower monthly rate. But I would add $80K to my loan with the refinance. Seems like a lot of debt to take on for not even $10K. Want to shop around but also feeling discouraged about ever refinancing and getting a reasonable amount back out. Is 75% LTV a reality anymore?

Thanks to everyone for the responses.  Seems like I should continue to reach out but don't expect the deal I was getting prior.  Only issue is that if home values are on their way down, the refi isn't going to be worth the increase in monthly payments.