All Forum Posts by: Ty Coutts

Hey there!

Welcome to real estate wholesaling and investing! First, focus on building a strong network—relationships are key in this business. Find a good mentor or join local REI groups. Learn your market inside and out—know property values, motivated seller strategies, and how to analyze deals properly. Master negotiation skills, and always have multiple exit strategies. Use tools like PropStream, BatchLeads, or DealMachine to find leads. Stay consistent, follow up relentlessly, and don't get discouraged by setbacks.

If you need to talk about or help with a loan, DM or email me!

Hi Varun,

When evaluating a builder/developer, focus on their experience, track record, financial stability, and references. Ensure they've successfully completed similar projects on time and within budget. Key risks in the BRRR 2.0 strategy include construction delays, cost overruns, market fluctuations, and difficulty refinancing if the property doesn't appraise as expected. In your contract, include clear timelines, quality guarantees, and protections for unforeseen costs or issues. Also, have contingencies for shifting market conditions or construction delays. These deals can be profitable in growing markets with strong cash flow and equity growth, but success depends on the builder's execution, local market conditions, and your ability to refinance effectively. If you have any more questions or think you'll need help securing funding for any future projects, feel free to DM me.

Hi Allen,

your numbers look solid, but there are a few areas to refine. The cash flow of $304/month is reasonable, but make sure to include a buffer for unexpected maintenance or repairs, even with a full gut rehab. Your 19.8% CoC return is strong for a first-time investor, but be cautious about not overestimating the cash flow. The 6% vacancy rate is a good estimate, but local market fluctuations could affect rent.

The HML terms (11.95% with 3 points) are high, so ensure a clear timeline for refinancing to minimize interest costs. Make sure your lender supports your long-term plans, as refinancing early can be tricky with DSCR loans. Lastly, while your exit strategy looks good, keep in mind that refinancing costs or delays may impact your timeline, so have contingency plans in place. Overall, this seems like a strong deal, but make sure to factor in potential surprises or changes in market conditions.

Hi Michael

For a seller-financed deal, especially for a multifamily property like a six-unit or larger, a typical down payment could range from 10% to 20%, depending on the terms you negotiate with the seller. However, it’s important to ensure the seller is comfortable with the terms and that the property cash flow can support the agreed-upon monthly payments.

Seller financing can be a good strategy to grow your portfolio with less initial capital, especially if you're able to increase the property's value through improvements (forcing appreciation). The key is ensuring the property can generate enough income to cover the payments and any renovations you plan.

As for pulling out equity later, this depends on the agreement terms. Typically, with seller financing, you might not have the ability to refinance right away, but you can structure the deal with a balloon payment or other terms that allow for refinancing after a certain period. Work with an attorney to ensure that your interests are protected, and that the agreement aligns with your long-term goals.

Hi Chris

Managing out-of-state investments can be a great way to diversify, but it comes with unique challenges like relying on property managers and handling long-distance communication. Many investors prefer to work with experienced local property managers to oversee day-to-day operations and ensure the property is well-maintained.

For apartments, they can be solid investments due to economies of scale, but it's important to carefully assess the location, rental demand, and potential for appreciation. To determine if an apartment building is a good deal, look at the property's cash flow, cap rate, and potential for rent increases. Perform due diligence by reviewing the financials, market trends, and property condition. It’s also worth getting pre-approved for financing to ensure you can handle the property’s price and upkeep. If you need any help on that end, Aslan is licensed in over 30 states, and we'd be willing to help on whatever venture you wanted to get into. Feel free to contact me with any questions.

Start by attending real estate meetups, BiggerPockets forums, and local investor groups to connect with potential partners. Consider reaching out to private lenders, accredited investors, or real estate crowdfunding platforms. Structuring a joint venture (JV) or equity partnership can make the deal appealing by offering a share of cash flow and appreciation.

Have you considered reaching out to local real estate attorneys or CPAs for investor referrals?

Hi Nancy,

being licensed in GA I'd say Carrollton, GA can be a solid option for long-term rental investments, especially with its growing appeal as a commuter city with proximity to Atlanta. When considering single-family homes (SFH) or small multifamily properties, it's important to analyze rental demand, local property values, and rental rates to ensure you're getting strong cash flow potential. The area has seen growth in both the residential and rental markets, making it a potentially lucrative investment.

For financing, you can explore options like conventional loans, FHA loans (for owner-occupied properties), or even local programs that might offer lower down payments for investment properties. Keep in mind the costs for property management, maintenance, and vacancy rates to ensure you're budgeting appropriately. Connecting with local real estate agents or property managers can also give you a clearer understanding of the market and potential for appreciation. If you have any more questions, I'd be happy to schedule a call, feel free to DM me.

Hi Zoey

Being licensed in NC I would definitely say investing in a multifamily property in the Raleigh area can be a great opportunity, especially for house hacking. Raleigh has strong rental demand due to its growing job market, universities, and overall population growth. When house hacking, consider the area's average rents, property values, and financing options, such as FHA loans or conventional loans, which may require as little as 3.5% down for multifamily properties (if it's owner-occupied). Be sure to factor in property management costs, repairs, and potential vacancy periods. It's also worth speaking with a local real estate agent to identify the best neighborhoods for rental income potential. If you have any other questions, feel free to DM me.

Hey Tyler

I'd say it's important to weigh the risks and rewards when considering a house hack, especially in a market like Denver. While purchasing under market value is a great opportunity, stretching your budget too thin can add significant financial stress, especially during the renovation period. It’s crucial to ensure that your cash reserves can cover not only the mortgage but also unexpected expenses during the remodel.

The 30% housing rule is a helpful guideline to avoid overextending yourself, and ideally, you should be comfortable with your monthly housing costs even without rental income. House hacking can certainly be a great way to build equity and reduce living expenses, but it’s essential to have a cushion in case your rental income doesn’t come in as expected or renovations take longer than planned. If you have any questions concerning especially the funding of this project, feel free to reach out.

Hi Damien,

I work at Aslan Mortgage Lending and we are licensed in Ohio. Let me know if you want to connect.