All Forum Posts by: Travis Main

Hey Elijah, 

Utilizing MLS access for comps is the most reliable method, but if it's not available, you can still utilize the parameters Jonathan mentioned on other platforms like Zillow, Propstream, and Batchleads. When comparing comps, pay attention to additional features like private pools, garages versus carports, ADUs, or any other standout features often overlooked by newer investors.

Quote from @Tyrell Henry:

Quote from @Tyrell Henry:

Quote from @Samuel Diouf:

You can buy properties that work in your price range in Ohio. But I would start with something either turnkey or light value-add, so you can start forming your boots on the ground team with less pressure and risk. Once you feel you've built a strong team with your first property, I would start buying more aggressively and taking on bigger projects.

I suggest reading this BP article on the core 4.

https://www.biggerpockets.com/blog/core-four-real-estate-team

It's risky to start out with a BRRRR, especially if you don't have capital for reserves.

Thank you for that , when you say turnkey are you meaning with a conventional loan, or the same BRRR process and just buy a somewhat turnkey property?

He seems to suggest starting with a property that requires light to moderate repairs, reducing the risk associated with the investment. As a novice investor, it's crucial not to take on more than you can handle. The BRRRR method focuses on acquiring properties at a significant discount, allowing for renovations that increase its value. After renovations, refinancing enables you to pull out equity to cover costs and reinvest. Ultimately, the goal is to add the property to your rental portfolio for consistent cash flow. Success hinges on purchasing at the right price and analyzing the numbers effectively. If you need assistance reverse engineering a deal, feel free to reach out, and I'd be glad to help.

Hey Roque, 

To safeguard your interests effectively, I recommend consulting with a lawyer to draft one for you. The last thing you want is to inadvertently overlook or forget crucial details, potentially leading to complications down the road.

Hey Katelin, 

Welcome to the BiggerPockets community, and thank you for your service. Before diving into real estate investing, my top advice is to prioritize education and networking. Building a strong foundational knowledge base is essential, and you can achieve this by engaging with communities like ours here or by joining your local Real Estate Investors Associations (REIAs). As a new investor, starting in your local market where you have a better understanding is often advisable.

All the methods you mentioned are excellent ways to begin your journey. If you ever want to connect to discuss your goals and create a roadmap for success, please don't hesitate to reach out. I'm here to help you navigate your real estate endeavors.

I have had many clients liquidate their crypto in the past few years to get involved in real estate. I think crypto volatility provides a lot of uncertainty that most investors can't handle. I completely understand the want to preposition themselves into real estate as it's more stable. This is a test of your risk tolerance. 

It's never a bad idea to use your earnings from crypto to purchase real estate with though. It's a great way to diversify your portfolio. It can be a great way to mitigate different risk factors, volatility levels, and earning potential.

Hey Frank, 

The 40-year interest-only (IO) option serves those seeking increased cash flow or aiming to qualify a property for a debt service coverage ratio (DSCR) if the principal and interest payment isn't viable. As mentioned by others, reducing the prepayment penalty (PPP) for flexibility when rates drop is an option, albeit with a higher interest rate. Opting for a 3-year PPP, typically adding 0.25% to the rate, offers more flexibility for earlier refinancing. Given the heavy front load of interest, the equity gained from mortgage paydown over five years may go unnoticed due to minimal going toward the principal.

Hey Anthony, 

If you closed on your flip last Friday, I presume it was under your individual name, correct? If financed, you should consult your lender regarding transferring ownership to your newly formed LLC. Lenders typically have guidelines on this, which may allow or prohibit such transfers. If financed, it's likely prohibited. However, if you used cash from your HELOC and the property is in your individual name, transferring it to your LLC via quitclaim should pose no issue.

Hey Danielle,

Welcome to the BiggerPockets community. We can always use some more knowledge from our experience investors in the community. If you ever want to connect, feel free to reach out. 
 

Hey Jene, 

To ensure the viability of your strategy, you'll need to utilize several calculators. First, as Tanner suggested, engage a general contractor to assess the property and provide a detailed rehab estimate. Having accurate figures will enable you to make informed decisions. Additionally, determine the anticipated after-repair value (ARV) of the property. Once you have both the rehab cost and ARV figures, input them into the calculator. It's also crucial to use a Debt Service Coverage Ratio (DSCR) calculator to assess the financial feasibility of refinancing in the long term.

If you need any assistance with these calculators or ensuring their accuracy, I'd be happy to help. Feel free to reach out anytime.

Hey Markus, 

Considering your relocation to NC, I strongly recommend joining the NCREIA. As a member myself, I've found it invaluable for honing business strategies in the local market. Leveraging the insights of seasoned members can help you develop a realistic plan tailored to the region. If you're interested, I'd be glad to connect you with the NCREIA and provide further guidance. Don't hesitate to reach out if you have any questions or need assistance.