All Forum Posts by: Tucker McCarthy

I have never paid more than 3 months of insurance at closing, 14 months is ridiculous. That could be your specific lenders requirements though so if that's the case, there is nothing you can do about that.

If they are going to up your insurance after your closing like that, I would highly suggest shopping for another insurer.

I don't know why insurance companies are so frustrating to work with! I've had multiple problems... I now shop between two companies for each property.

I think you also have to consider the potential tenants you would be renting too. I've driven by a potential property that was a really good deal before I scheduled a showing, and could just tell by driving by that you couldn't pay me any amount of money to deal with the type of tenants that would be living there.

Hey @Nate Wilson always happy to connect! Not sure exactly what you're looking for, but I'm fairly local to you (based out of Milford) and have done a bunch of projects the past two years and have more lined up.

There are some local wholesalers I could connect you with and the NHREIA meeting in Manchester is a good resource. Tons of local NH investors on the BP website and around with a lot going on!

The first one I bought I did do an FHA loan yes I've been living in one of the units. The other two needed significant rehab. I am getting ready to sell one of them but it is occupied with tenants so you wouldn't be able to do an FHA loan

@Joe Pearson it was in June of 2017 it was a pocket listing from a local realtor that I bought before it hit the market. I’ve found a few off market duplexes in Milford too, closing on my third next week. They’re out there!

Depends what area you're in, I bought a duplex for $230k with an FHA loan and once I move out, my total rent will be around $3,000 per month. I think the issue you're running into running the numbers like this is that with a 3.5% down payment FHA loan, your return on investment is low because you're not putting much down. If you looked at it as a cash-on-cash basis it might look a little bit better. Also, with an FHA loan you are paying PMI (mortgage insurance). Typically people are paying 20-25% down on an investment property, thus the monthly returns are higher.

Also, your numbers for home owners insurance and taxes seem a bit low. My town does have high taxes, but almost all of NH does. My taxes are more in the $500-550 range and insurances is a little over $100 per month.  

Carpet Done Right out of Manchester. They do everything but tile and hardwood floors I believe. Super nice guy and good prices.

Working through the process for one with Granite State Credit Union right now. Been super easy so far, they'll go up to 100% as well, just a higher interest rate. You can go to their website and submit an application any time. Completely free to set up all you have to do is pay a deposit for the appraisal and they reimburse you at closing.

Bank of NH is awesome, but you could also try Franklin Savings Bank, not sure if they'll lend in MA but they'll definitely do 20%

I'm not a mortgage broker or expert in this area, but here's the information I got from my mortgage broker. You can do this and buy another property with an FHA loan, but you need to be able to give a reason why. Bigger, nicer, closer to work, etc. There are ways around it. Also, as an owner occupant you can still do a 5% down conventional HomePath loan on 2-4 units.