Real Estate Investing: flippers. holy shit lumber prices have skyrocketed. Is there anything else that has gone up? |
- flippers. holy shit lumber prices have skyrocketed. Is there anything else that has gone up?
- does it affect you if you buy a rental property first before buying your primary home?
- Help with my first potential investment!
- Put 20% down to avoid PMI, or put less down and renovate
- Maximizing your rental property income
- Carpet vs vinyl plank for rental property?
- Firing a property manager
- Is it almost always more profitable to buy more units per bedroom per dollar?
- Does anyone live in Washington and have experience with CBA?
- Leveling up my portfolio -- seeking advice
- ADVICE
- Unusually Cheap Sales of Large Estates
- DC Metro Area Rental: Young Investor + House-Hacking?
- Cheaper to remove unit vs to add unit?
- What are the best real estate investing books you've read and why?
- What's the impact of a 'supportive housing' development near your property?
- Property Tax Breaks?
- Assignment contract as the buyer
- Does a Co-signed primary residence make it easier to get a loan on a rental property?
- Hedging for deflation or hyperinflation
- Second property acquired- how to scale?
- We will be renting our home for $2,200-$2,400 range. What small updates to the home can help us get closer to the $2,400 range?
- How to get pre-approved for mortgages if self-employed?
- Need advice concerning buying an REO property
| flippers. holy shit lumber prices have skyrocketed. Is there anything else that has gone up? Posted: 07 Sep 2020 03:52 PM PDT a 2x4 is now $5.30 I remember just yesterday it was under $3. [link] [comments] |
| does it affect you if you buy a rental property first before buying your primary home? Posted: 07 Sep 2020 08:54 AM PDT hello, let's say I buy a rental out of state and its cash flows. Then the same year I want to buy a home for myself, would it affect me in anyway to obtain a loan? [link] [comments] |
| Help with my first potential investment! Posted: 07 Sep 2020 10:33 PM PDT I'm going to look at a 3 bed 1 bath house for $40k. It's pretty beat up so i would put probably 10-15k into it to get it updated. Here's the kicker. Its a package deal with a 1bed 1bath duplex and a 1bed 1bath stand alone house that are both equally as beat up on the same lot. The property is less than 5 minutes from a community college and a short walk from the city's community square (shops, restaurants, etc.) Would it be worth buying living in the 3 bedroom myself while i update everything then eventually rent the 3 bedroom out? Currently I'm still renting my tiny duplex for $850 a month, so i see it as a good start. Am i wrong? Any advice is greatly appreciated [link] [comments] |
| Put 20% down to avoid PMI, or put less down and renovate Posted: 07 Sep 2020 10:15 PM PDT My fiancé and I are buying a larger home in Cincinnati, OH to raise our son. Home cost is $358k. 4 bed 3 bath, 2400 sq ft. It's the least expensive house in the neighborhood, most homes are going between $425k and $550k. The key is it has a large 1600 sq foot unfinished basement with 9 foot ceilings that's already framed up and insulated with a rough in for the bathroom. (I'll be getting back to this point) I own a small business, I make about 180k per year, debt to income 17%, 700 credit score. Interest rate on home loan is locked at 3% regardless of down payment %. We have $125k in the bank. We close in 2 weeks. The question is: do I put the 20% down on a conventional loan (72k) to lower my mortgage payment and avoid paying PMI, tying up a huge chunk of the money we've saved in the process. OR do I take the advice of some savvy friends of mine: which would be to put only 5% down in a conventional loan (increasing my monthly payment by $450 including PMI) but only tying up $18k, saving me $54k at closing. Then use some of the $54k to finish the basement (which again is already framed out with insulation and electric) install an egress window to add the 1,600 square feet with an extra bedroom and bath, thus significantly increasing my homes value. Which would in tern raise my loan to value ratio. The goal would be to gain the 20% equity to avoid PMI by way of renovating and raising the value of the home. The pros of this would be: I'd have less out of pocket AND the basement would be finished. My home would be worth more than what I paid for it. I can remove PMI without actually putting the 20% down on the loan. I'd be letting my money work for me, as opposed to simply handing it over to the bank. The cons would be: After the renovations are complete, I have to refinance my loan, risking the rates will go up. I have to make sure the renovations are significant enough that the home value will raise enough to obtain the 20% equity. Which from the looks of the comps in the neighborhood seems plausible. Should I stick to my original plans which was to put the 20% down? Or should I follow the advise of my friends who have experience doing exactly what they're suggesting. The way I'm looking at it, to put the 20% down, I'd be parting with an additional $54k to only save my self $450 a month. Which, the extra $450 I'd be paying would only be temporary because the PMI would fall of after I refi. So Its really like parting with $54k to NOT have the basement finished and still only save myself a few hundred dollars on my mortgage payment. Any advice would be appreciated. Thanks in advance. [link] [comments] |
| Maximizing your rental property income Posted: 07 Sep 2020 07:55 PM PDT As a landlord/homeowner, how do you maximize your rental property income that could make your tenants rent your property faster? And what are your strategies in increasing your property's value that will serve as your long term investment? [link] [comments] |
| Carpet vs vinyl plank for rental property? Posted: 07 Sep 2020 11:01 PM PDT The old carpet in the master bedroom and guest bedroom is completely torn up in my rental property, so I am replacing it with either carpet or vinyl plank. I am trying to decide which option to choose. What are peoples' thoughts? Note: the property has a history of mold, so that is an important factor to consider. Carpet Pros: - Cheap - Covers irregularities in the floor - Can be counted as operating expense (for tax purposes) Cons: - Not water proof - Shorter lifespan - Gets dirty easier - Can hold mold Vinyl plank Pros: - Long lasting - Water-proof - Easy to repair (simply replace plank section) Cons: - Floor must be completely flat - More expensive - Must follow depreciation schedule (for tax purposes) [link] [comments] |
| Posted: 07 Sep 2020 07:02 AM PDT I have a single residence house in renting out and have been paying a property manager to manage it since I moved out of state for a while. I wanted to know when it's possible to fire a property manager and what steps I should take to properly manage the tenants myself. Thanks! [link] [comments] |
| Is it almost always more profitable to buy more units per bedroom per dollar? Posted: 07 Sep 2020 07:42 PM PDT It seems a 2 unit in the same area will always be less lucrative than a 4 unit and a 6 unit even more so if they are roughly the same cost. Does that seem right to anyone else? In SF it seems getting a 4 unit all 1bd/1ba is much more profitable than a 2 unit all with 2bd/2ba or a 1 unit with 4bd/4ba. Also, anyone else think that SF is headed for further crash or do you think things will return to normal after a vaccine? [link] [comments] |
| Does anyone live in Washington and have experience with CBA? Posted: 07 Sep 2020 01:18 PM PDT It's my understanding that this like a more complete / accurate version of CoStar and Loopnet but it's just for Washington State. Can anyone confirm? I'm looking into my first commercial property and ideally would like to consolidate my tools to as few as possible. On a related note, for a small MF property are one of these commercial MLS's even the best place to look or should I be on Craigslist or something? [link] [comments] |
| Leveling up my portfolio -- seeking advice Posted: 07 Sep 2020 01:13 PM PDT Hi All - long time lurker. Great sub here. I feel like I'm at an inflection point with my RE portfolio. Started building it last January (16 units; two 4s and one 8), value ~$1.3M all self-funded. My 3yr goal: grow the portfolio's value to $5-10M via personal finances. I live in CA and invest in a smallish market in MI where I have family. I've established my 'boots on the ground' team here and have built solid relationships with local agents, lenders, contractors, etc. The problem is there's very limited multi-family inventory, especially commercial. I see the following options:
Would be great to get others' perspectives on this who've been in similar situations. Thanks! [link] [comments] |
| Posted: 08 Sep 2020 12:16 AM PDT I am currently looking into real estate and I would love any and all advice you can give both on here and in chat please and thank you [link] [comments] |
| Unusually Cheap Sales of Large Estates Posted: 08 Sep 2020 12:02 AM PDT I often see on Zillow etc past sales of large homes and estates in expensive areas (ie. hamptons, other towns in Long Island) worth say $6 million in market value that go for perhaps $800,000 or even $20000. This isn't some old abandoned shack or some useless plot of land either. I'm referring to very nicely built homes What is the deal with these listings? [link] [comments] |
| DC Metro Area Rental: Young Investor + House-Hacking? Posted: 07 Sep 2020 05:47 PM PDT This is a mixed post asking for advice as a brand new investor. Yes I've done some research and read many similar posts -- But I also wanted targeted to folks that may know the NOVA / DC real estate market and have opinions on it going forward. What I've gathered from some basic research:
Investor Background [22M] Moved to the DMV, have a median income very steady STEM job. Recently had a few financial setbacks from, let's just say "stock investing".. Basically downpayment is tight. First thought was to continue to pay cheap-ish rent (as I have it now $700-1000/mo), and get a rental property for cashflow. Have about 20k available to work with, could manage up to 40/50k if necessary -- Hope not. Fast forward a few weeks, realized that first time homebuyer benefits are going to treat me much better than a 20% downpayment on an investment loan. So house hacking for the first year or two, then renting or selling (provided appreciation continues) afterwards. Great! Sounds easy!... The main goal is to quit paying off my landlord's townhome and at least put the money towards something I'll be thankful for in 10 years when I cash-out refinance / sell. Negative Cashflow Well I keep the running the numbers, and the cashflow is always negative. (Yes the PMI isn't helping). I'm very hands-on though, and super excited to remodel and partially flip whatever I buy around here. Even considering ARV for a 400k purchased beatdown townhome or small SFH (Alexandria, for instance), the cashflow is still negative, albeit I don't really have a good sense of what the remodel would really go for. For now, it's been: "Well remodeling this townhome would get it back up with the others in the area, normal increasing value by 30-40k". I'm trying to justify how rentals in this area are making money in this area, because otherwise the business plan, per say is changing -- It's purchased solely for flip / appreciation. A Bad Scenario? What I wouldn't want to do, is to
I also considered buying property back home in NC, but I can't live there for a year right now. The prices are much better than here... More numbers can be provided upon request, this post has been long enough. Thank you and apologies. TLDR; New investor in DC area with little cash is looking for the best way to dip his toes in real estate. Opinions? [link] [comments] |
| Cheaper to remove unit vs to add unit? Posted: 07 Sep 2020 05:11 PM PDT I am well aware that there's a lot to consider in this kind of decision. Using both of the above situations, would the FHA loans count as 4 units, since that renovation is part of the loan? [link] [comments] |
| What are the best real estate investing books you've read and why? Posted: 07 Sep 2020 02:51 PM PDT Looking to start flipping houses possibly. Any recommendations are appreciated [link] [comments] |
| What's the impact of a 'supportive housing' development near your property? Posted: 07 Sep 2020 04:07 PM PDT Background: I'm a newbie and own one investment property:
The challenge (?): I got a letter in the mail recently from our province's public housing authority (I live in Canada), saying that they've purchased some property down the block with plans to develop it into 50 units of supportive housing. This is essentially studio apartments with on-site services for people who are marginalized or experiencing homelessness. My question: Does anyone have experience with this kind of thing being developed near one of your own properties? Should I sell now and roll my capital into other properties? Not worry about it? [link] [comments] |
| Posted: 07 Sep 2020 07:46 PM PDT Closing in on my first house, noticing that taxes are silly high because it's a duplex and eating in to my cash flow. My area typically goes for 2500-3500 per year on an average SFH. This duplex is high because, 1. it's a duplex and 2. Taxes went up this year. My question is- is there any property tax breaks or benefits you get in my state for being a landlord, rental housing, etc. or some sort of material someone could point my way? Note- I'm not trying to just not pay the property taxes, just driving to discover some options. Also this duplex that has a THIRD unit at the very beginning of construction that has barely started construction, how would that affect property taxes for next year when finished? [link] [comments] |
| Assignment contract as the buyer Posted: 07 Sep 2020 05:32 PM PDT I have purchased 3 homes traditionally with an agent and a lender and am considering my first cash purchase. The property in question is under contract and being sold as an assignment. As the buyer, what's my process? Verbal offer? Do I see the contract they have with the owner so I know the terms? Single page purchase agreement? This is a first for me and most I do I find is how to get a good deal and assign it to someone else... [link] [comments] |
| Does a Co-signed primary residence make it easier to get a loan on a rental property? Posted: 07 Sep 2020 05:31 PM PDT Hello! My girlfriend and I are going to co-sign for our first house with an FHA 203K loan. But I would like to buy a rental property 1-2 years down the road since the rental cash flow is really good for this area. When I go to get a traditional loan on a rental property for myself will it increase my chances to get approved if my primary residence is 50/50? I'm worried if we buy this house it will make it harder to buy a rental property. My DTI is super low with pretty decent credit and the mortgage to income for the second property will be very low around 15% as well. Thanks!! [link] [comments] |
| Hedging for deflation or hyperinflation Posted: 07 Sep 2020 04:21 PM PDT As we head further into the next Great Depression, the most likely outcomes are mass debt default/forgiveness along with massive deflation or hyperinflation if the government truly opens the spigots as a way to counter the deflationary wave. One potential hedge is to buy a home with an interest only loan with the least amount down allowed. In deflation one could simply walk away with no loss other than a damaged credit rating in the case of deflation. In the case of inflation the debt will continue to decline in current dollar cost. Do 0 or low down interest only loans still exist? Anyone else that understands the economic situation we are facing that's come up with a creative solution to hedging the risk? [link] [comments] |
| Second property acquired- how to scale? Posted: 07 Sep 2020 04:52 AM PDT I bought my first property (house) and started renting it out. During that time I am renting an apartment. I found a property, 3/2 house with land, handy man special- needs everything..floors/baths/kitchen/ac/roof. I got a great deal on the property and I'm fixing it up now with the help of my father, we both handy. It's gonna take a month or so to fix it up and then maybe rent it or move in it. Both property's are paid off, no mortgages. So my question is, what's the best way to continue getting properties? My main plan was to just work, collect rent, and in about two years try to have saved up enough to buy another handyman special. The idea of getting a loan/mortgage on one of the property to get a third property is also very appealing to me. I do have excellent credit, very little debt, and decent income, but I don't want to over extend with mortgages as I'm still young. [link] [comments] |
| Posted: 07 Sep 2020 03:33 PM PDT We will be renting our first investment property for $2,200-$2,400 range. What small updates to the home can help us get closer to the $2,400 range? The home was built in 2007. We are thinking about some of the following (not all...just throwing around ideas): new carpet (have never done this before) or replace all carpet with vinyl, upgrade kitchen cabinets/appliances for a modern feel, improve laundry room shelving, install more modern tech - ie nest thermostat, etc. Also, have you found a stager worth the spend? Thinking we can continue to use the photos for 10+ years. [link] [comments] |
| How to get pre-approved for mortgages if self-employed? Posted: 07 Sep 2020 03:09 PM PDT I'm self-employed and have finally managed to save 5% downpayment to get my first residential property but because I'm self-employed I got rejected by few mortgage broker cause I don't have the stable 45 hours a week with a stable hourly salary. My past two years income is not very impressive cause I was out of the country traveling but since Jan I'v been having stable income working from home for my self. I have managed to save the 5% downpayment, all I need is to get pre-approved but its been impossible so far. Do I need to reach mortgage brokers who are special with self-employment applicants? [link] [comments] |
| Need advice concerning buying an REO property Posted: 07 Sep 2020 02:39 PM PDT I am interested in making a cash purchase of a single-family residence REO. I am new to this and thus know little to nothing about the process. If it is of any help the home that I am interested in is located in the state of New Hampshire. The property I am interested in was foreclosed on by the previous owner's bank, which is one of the largest lenders in the country, about one year ago, and the property is described by them as being vacant but the bank makes no warranty to that effect. There is no interior access being offered and they are not offering a property inspection either. The property looks like it is in above average shape from the outside, but there is obviously a lot that can be wrong within a house that would dominate any perceived advantage of having a decent roof and siding. When the house was foreclosed on the previous owners still owed the bank about 75% of the appraised value of the home. The bank is currently asking for about 67%-70% of the home's appraised value for the property. The bank is willing to write either a quitclaim deed or a special warranty deed, but not a general warranty deed and the buyer is to pay any fees associated with either deed. My three biggest concerns are:
It is in light of these concerns that I am in dire need of advice from someone who knows these matters better than I do. [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