Real Estate Investing: Does anyone remember when "house hacking" was just called having a roommate? |
- Does anyone remember when "house hacking" was just called having a roommate?
- Long Term Buy-and-Hold Investors: How have your monthly profits developed over a long horizon (10-20+ years)?
- Are Higher Costs for Duplex Appraisals Common
- Hard Money Loan on $800k 11 Unit
- Proof of Income for Trust Fund from prospective tenant?
- Reliable Offer Letter Template For Illinois?
- 18 year old looking for advice
- Sell or rent?
- Since mortgage interest rates are so low, so you take the highest interest rate offered to maximize cash at closing?
- Help deciding between selling and renting a house.
- Are these good mortgage brokers?
- Can repairman enter a property without landlord being present?
- FHA 203k, Fannie Mae HomeStyle, or other Low Down Payment Mortgage for House with Peeling Paint?
- DISCUSSION- What would YOU do with 250k?
- BRRRR really that easy?
- How do you manage getting a new lease created as you're closing on a property with a lease in place?
- Seeking Software Solutions for REI business
- Is anyone here a loan originator?
- Selling with Tenants - Moratorium?
- SFH or Multi using FHA
- How Much are typical costs for putting investor money into a Trust?
- UPDATE: Section 8 inspector haggling on rent price
- Have a decent chunk of cash to get started... Considering condos?
| Does anyone remember when "house hacking" was just called having a roommate? Posted: 08 Sep 2020 09:45 AM PDT I probably sound like an angry old curmudgeon here. When I "lived with my tenant" for 7 years while I was making moves to be ready to buy the second home, and fixing up the income property, and hustling by working extra hours, doing home repairs by myself, and calling in favors from friends to get projects done in an affordable way on both homes. But at the end of the day, it wasn't house hacking. It wasn't a life hack. It wasn't some trick. It was literally just me trying to level up my life after the great recession when financial times were hard for everybody. The "hack" to do this was to have someone to split the bills with. Mortgage, energy, water, internet, garbage, sewer, all of them. I was doing it when I was in college before I owned 2 homes, and before the great recession too, and it was just called "having roommates", I've been doing it after the great recession, and after I was able to have a second property, and it was just called "having roommates". Was I this roommates tenant? Yes, but that doesn't change the fact that we lived together as roommates do. We became good friends and we were both able to save money and continue the process of leveling up our lives by having an affordable couple of years. People in poor communities have been doing this for years. Dual income households have been doing this for years. Families with 2 or more earners have been doing this for years. We aren't hacking anything. We are making ends meet. Nobody is re-inventing the wheel by having a tenant or a roommate. When you have the luxury to make the choice to live alone, then that's a choice based on personal finances, not based on whether you're "hacking the mortgage system". It's literally just balancing your personal finances. I will continue to have roommates for now, so that I can continue to increase my savings rate and eventually buy another home. And you should too, it's a smart plan, but none of us are hacking the house, or the mortgage. We are balancing a budget. [link] [comments] | ||||||||
| Posted: 08 Sep 2020 07:31 AM PDT My question is really geared towards investors who have purchased single family homes and have held for a long period of time. Have your monthly profits steadily risen over the years as rents rise due to inflation and the fixed cost of the mortgage stays stable? [link] [comments] | ||||||||
| Are Higher Costs for Duplex Appraisals Common Posted: 08 Sep 2020 08:41 PM PDT So I'm in the middle of a deal on a duplex. My banker (a regional credit union that I used last year when i purchased a single family home) called today and said they were having a hard time finding an appraiser to appraise the duplex i am buying. She said they finally one, and only one, and he will only do it for $1,600!! The regular appraisal fee was to be like $550. I asked her what gives. Her reply was the complexity of a duplex. I said what's complex about a 1400 sq.ft structure that has two front doors? Seriously it was originally a single family home that was turned into a duplex. Trying to figure out what my options are. I assume i can choose a different bank and start over. A $1000 premium just because it is a duplex seems ridiculous to me. Any appraisers with experience in this? I also found out the property is in a flood zone, so now i have to have insurance which will cost another $1500 per year. This make my monthly cash flow razor thin. I'm tempted to just walk away look elsewhere. Guess I"m just ranting, but any input would be appreciated. Thanks, Will [link] [comments] | ||||||||
| Hard Money Loan on $800k 11 Unit Posted: 08 Sep 2020 08:22 PM PDT To keep this short, I am partnered with 2 other individuals. We formed and LLC and are looking to invest in multi family complex's. I located an 11 Unit Apartment building currently at 100% occupation with a cap rate of 6.6% The rent is long overdue for being raised with the NOI on 11 units being $4,400/mo. My question is, the property was paid for in cash by the current owner. My partners and I are in no rush and this place has been for sale for 3+ years. We are looking to enter for no money down and with the expectation to not pay ourselves on any investments for at least 5 years. We are all 3 gainfully employed. I have sent my agent off to ask the seller if he would be willing to finance the down payment at $3,000 a month for 36 months, with a balloon at the end. The idea is to refi for the total amount owed on the property after 24/mo if there is not an early repay fee. The owner would receive just under $700k lets say and collect $3k from us a month. If that offer is not accepted, what does reddit think of pulling a hard money loan to make up the down payment? We are looking at roughly $100k Again, we are gainfully employed, do not intend to be profitable in this venture, and are only looking to start our portfolio with a respectable property. Any other ideas on how to purchase this without blowing out our life savings would be appreciated. [link] [comments] | ||||||||
| Proof of Income for Trust Fund from prospective tenant? Posted: 09 Sep 2020 12:46 AM PDT I have a rental application submitted where the applicant listed that they have additional monthly income coming from a trust fund, is it fine if I ask for receipts or bank statements from them that confirm that? [link] [comments] | ||||||||
| Reliable Offer Letter Template For Illinois? Posted: 09 Sep 2020 12:29 AM PDT I am purchasing property from a family member as my grandfather passed away recently. The original deal was to begin this process at the end of the year. I received a phone call today stating they wanted a formal offer letter in the next week. There has been no sense of urgency until today. If I had to guess, people are pressuring the executor of the estate (who I'm working with and talking to) to settle the estate ASAP so they can get their shares of money. Regardless, I would like to appease their request. Does anyone know where I can find a reliable offer letter template to use for Illinois? My first thought was to call a few mortgage brokers tomorrow and see if they could sort this out. However, I'm thinking I may be able to send an offer myself and then begin working with the mortgage broker next week sometime. I feel like this option not only buys me a couple weeks and allows me to appease their request, but it also allows me to not feel so unexpectedly rushed. Any suggestions on an offer letter template? [link] [comments] | ||||||||
| 18 year old looking for advice Posted: 08 Sep 2020 11:32 PM PDT Im 18 and want to start investing as soon as I can. I'm currently studying to get my license and starting college. It's kind of a lot right now and I don't have time for a job to make money. I don't really want to become an agent either, I just want to do real estate investing. What do you guys think I should do? Should I stop pursuing my license? I want to have a part time job where I could help out an investor and make some money. Is there anything like that? There's just no way I could be an agent and a college student at the same time. Feel like I'm wasting my time pursing s license. Anyway I can make some money while doing real estate investing related work while in college? Live in SoCal btw [link] [comments] | ||||||||
| Posted: 08 Sep 2020 09:26 PM PDT My numbers are: $1323 All included escrow $300 emergency/vacancy $185 property manager fee Rent for $1850 Basically a break even. Difference is I'm in a VERY hot market and my house has been appreciating like crazy and between getting principle paid off+ appreciation it seems worth it. (Colorado Springs) Value of home is about 360k, owe 255k on it. Planning to buy a second home to move into and rent this one out. In this market this seems like the best/easier way for me to get rental income and utilize that for getting a duplex or something like that, especially if they take a hard hit with Covid(right now I'm completely priced out on getting even a duplex here). [link] [comments] | ||||||||
| Posted: 08 Sep 2020 09:02 PM PDT Rates are so low right now that even the highest rates are still well below what kind of ROI you could expect on the market (mutual funds, other real estate, etc.). Considering that, are you better off taking the highest rate to maximize your cash, increasing the amount you could reinvest into the market? I'm sure I'm missing some thoughts going into this calculus, so any thoughts are appreciated. [link] [comments] | ||||||||
| Help deciding between selling and renting a house. Posted: 08 Sep 2020 10:26 AM PDT I'll be moving for work, and I'm trying to figure out if it makes sense to rent out my current house or if I should sell it. I'm having trouble estimating the costs of maintaining a rental property, and I was hoping someone can help me figure out if the numbers make sense in my case. It's a 2400sqft 4bed/2bath house. House Value: $450k with $300k mortgage balance
Total of about $1700 towards mortgage + escrow. The house is in very good condition, and roof, hvac, water heater have all been replaced in the last 10 years - all seemingly in good condition. I'm not going to be around to manage the house myself, so I'm looking at using a property manager, and they want 10% of monthly rent and no tenant finding fees. They are estimating that they can rent out the property for $2000-$2200/month. My current mortgage has ~27 years left and an interest rate of 4% - so I have the option to refinance into a lower monthly mortgage payment (~$200/month less) if that helps. [link] [comments] | ||||||||
| Are these good mortgage brokers? Posted: 08 Sep 2020 07:16 PM PDT Is this list accurate? NerdWallet's Best Lenders for FHA Loans in September 2020
[link] [comments] | ||||||||
| Can repairman enter a property without landlord being present? Posted: 08 Sep 2020 02:44 PM PDT Does a landlord have to be physically present for a repairman to do emergency work in a property? Or can the tenant simply let in the repairman? State is California. [link] [comments] | ||||||||
| FHA 203k, Fannie Mae HomeStyle, or other Low Down Payment Mortgage for House with Peeling Paint? Posted: 08 Sep 2020 06:27 PM PDT Hi everyone, I'm a 27-year-old young professional looking at buying my first house (owner-occupied duplex) in the Midwest. I have quite a bit of student debt, but a good credit score (750+) and $80k annual income. After researching mortgage options, a low down payment mortgage (5% or less) is really appealing (even with mortgage insurance) as it opens up a higher price point, and I've run the numbers extensively and know that it will work for me (plus save me money over my current rent). I have a potential off-market deal on a duplex that looks to be a great deal (and is currently very livable), but needs some TLC (peeling paint on wood siding, etc.), most of which I can do myself. I was pretty much set on an FHA 203k or Fannie Mae HomeStyle loan do bundle some of the major renovation costs (add central A/C, etc.) into the mortgage, but looks like I may run into a few hiccups.
Thanks so much for any advice! [link] [comments] | ||||||||
| DISCUSSION- What would YOU do with 250k? Posted: 08 Sep 2020 04:55 PM PDT Knowing what you know now, if you had to start over but with $250,000 what would you do? Real estate investments only! [link] [comments] | ||||||||
| Posted: 08 Sep 2020 04:52 PM PDT I have been reading about the BRRRR method for a few months and have been keeping my eyes on the market as I'll be looking for my first house soon. Whenever I see someone breaking down examples of a BRRR, it always seems too good to be true. Example - $200,000 duplex that needs some updates. Put $40,000 worth of work into it, new flooring, bathrooms, kitchens, etc. Then reappraisal comes in at something crazy like $290,000? Are there many cases where the renovations don't add enough value for it to work? Does it really just come down to getting the house for a really good price to begin with? I'm an electrician by trade but can do most of these 'value add' projects myself with an extra set of hands. [link] [comments] | ||||||||
| How do you manage getting a new lease created as you're closing on a property with a lease in place? Posted: 08 Sep 2020 04:34 PM PDT I'm purchasing a property that has a 1-year lease in place. My close date is in a couple weeks. How should I go about creating a lease between myself and the current tenants in a seamless way? I have a copy of the current lease and I'd like to (and assume, have to) keep whatever existing agreement was made. I'm most interested in the timeline of how this should be done. Do you get something in place prior to closing? Should I have contacted the existing tenants already? [link] [comments] | ||||||||
| Seeking Software Solutions for REI business Posted: 08 Sep 2020 04:17 PM PDT Seeking Software solutions for managing a rental portfolio of 20 doors, fix and flips and several new construction projects. Ideally something that integrated with quickbooks. What have you used that you liked? Thanks in advance for your two cents! [link] [comments] | ||||||||
| Is anyone here a loan originator? Posted: 08 Sep 2020 10:05 AM PDT In February I was fortunate to pass my SAFE exam, and the week after I got my certificate everything went into lockdown. I've been steadily trying to break into originating, but until recently have received varying degrees of "We're not ready yet, covid has slowed us down". Now I'm training as a loan processor, but refis are so busy that there's no time to train to be a full processor. I'm only doing bits and pieces, and there's not much learning to be had sending welcome calls and continually getting current pay stubs bc the refi has rolled into yet another month. I want to stay sharp and current and be ready to pounce when an opportunity to train as an originator comes up. What books (other than Patricia O'Connor's book) and resources would you recommend to help fuel my ambition? [link] [comments] | ||||||||
| Selling with Tenants - Moratorium? Posted: 08 Sep 2020 03:34 PM PDT Hi folks, I've googled around and read the CDC statement, but I still don't feel like I have a clear answer. I've got tenants in place, on a month to month lease in my SFH. I would like to sell the property so I can 1031 it, will this be an issue given the moratorium? I.e. let's say they don't want to leave, does the moratorium cover this situation? Need to know before I put it on the market. The property is in Alabama fwiw. [link] [comments] | ||||||||
| Posted: 08 Sep 2020 08:07 AM PDT So torn between choosing a SFH or Multi for my first purchase. LONG term goal is to get into commercial, but for the time being, getting myself to 5 units. Assuming both properties are the same dollar for dollar, which option would you with to hit my goal first in general? Trying to weigh the plus and minus of having a decent neighborhood SFH to a B/C area duplex. Approved for ~$300k SFH and $400k multi. Start up costs do play a factor in my decision. [link] [comments] | ||||||||
| How Much are typical costs for putting investor money into a Trust? Posted: 08 Sep 2020 01:43 PM PDT I'm trying to get more familiar with how investor funds are handled, and want a good focus on transparency. For example, there is a new real estate development that investors are funding $5 million for equity. Is it most common for these funds to be held in a trust while the project is in development stages? How much does it typically cost to hold the funds in a trust? [link] [comments] | ||||||||
| UPDATE: Section 8 inspector haggling on rent price Posted: 08 Sep 2020 11:52 AM PDT The director of inspections came to my apt just to haggle down the rent price. He's demanding we accept less than my price. I priced it the rent at ~90% fair market value + extra for the utilities. I said I would rent the apartment for less without utilities. He's trying to dictate what the price of the rent is and I'm not sure he legally can do this. Are there any lawyers / section 8 workers out there that can provide some feedback on this? Very unprofessional, he barged right into my apartment without knocking and started yelling at me. Like literally barking in my face. I don't know what to do, I didn't over react and kept my cool the whole time. He has a personal vendetta against me / my tenant. Should I call a public official and report him? I just want to rent my apartment out. Previous post: https://www.reddit.com/r/realestateinvesting/comments/ilzb9y/section_8_housing_inspector_trying_to_haggle_on/ [link] [comments] | ||||||||
| Have a decent chunk of cash to get started... Considering condos? Posted: 08 Sep 2020 07:29 AM PDT Hey y'all. I have about $80k of capital to start with. I live in Atlanta and really love this city and would like to start investing in it. It's been booming over the years I've lived here. I'm considering condos as a way to get started with a couple of properties with a good chunk to plop down in equity to mitigate risk some. Do y'all have some recommended readings or suggestions with getting started? I checked the wiki and it was a little sparse. What's your experience with condos? [link] [comments] |
| You are subscribed to email updates from Real Estate Investing. To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google, 1600 Amphitheatre Parkway, Mountain View, CA 94043, United States | |
No comments:
Post a Comment