what would you like to know, OP? t. RE investor, property management company owner, wholesaler, rehabber/flipper, etc.
Chase Jenkins
(((Borrowing))) It's called usury, look up any of Martin Luther's publications about Jews for details of why this is a bad idea
Zachary Thomas
Why hassle with a rental property when you could get a heloc and throw your equity into chainlink?
Tyler Lee
I live in one of the most expensive real estate markets in the country and it's wildly underbuilt. Consequently there is huge demand for housing.
Is it a smart move to leverage my only asset to buy a rental property?
Nathaniel Adams
Imagine OPs milf with a nice little dick
Adam Reed
Depends on a lot of things. Can you still make payments on your house (and the rental property) if you have a tenant/tenants that stop paying and stay in the apartment anyway? If you can, can you afford the lawyer to have the removed at the same time? These questions also only matter in certain states.
what city? either way, yes, that would be smart. how did you finance your first house (house or condo/apartment?). is it viable to move out of your current place to, say, owner-occupy a duplex while your current place cash flows? can you still get a first time home buyer loan (such as FHA, etc.)(this may be possible depending on how you financed your first/current)? for investment, are you looking at single senpai, multi senpai, commercial 5+, or mixed use? feed me info, i will advise to the best of my ability.
William Lewis
I'm planning on a 50k emergency fund for missed rents and unforeseen repairs. Do you think that's enough? The demand for rentals in my area is quite high so hopefully I won't have much time unoccupied.
Dominic Ortiz
Thanks based user. I'm in the great Los Angeles area. My first house I bought with cash in 2012 and it's doubled in price since then. My current home is really close to my work and nearly all the available properties nearby are too far for me to commute so I'm not sure about the owner-occupy but I'm open to it. As far as I know I can't qualify for FHA etc because it's an investment property.
Ideally I'm looking for multi senpai, 2-3 units.
Adrian Rodriguez
Only you will know (or someone who knows your financials) can say if 50k is enough. I don’t think you should be concerned with apartments going unoccupied.
The biggest cost will be those scumbags who stay and don’t pay. For example, in NYC, with the old and recently adopted rent laws, you can get buttfucked hard in terms of cost to get someone out and lost rents (can take a year or more in some cases), and it is highly unlikely that you’ll see a dime of those unpaid rents.
Just make sure you’re aware of how easy or not easy it is to toss out a shitbag tenant
Levi Rivera
My plan was just to be extra choosy when it came to tenants. I'd rather lose a month or two waiting for a qualified tenant than a year trying to extricate some scumfuck.
Ian Cruz
10% returns on real estate is considered good and I have to lock up all my funds in a single building that can get hit by an asteroid. I can get similar returns with insured asset backed lending to margin traders and still have all my funds completely liquid for opportunities.
Connor Powell
read about house hacking (if you do decide to owner-occupy), use the biggerpockets forums, files, and podcasts to your advantage (an absolute ton of good info there), start looking at comps and cashflow. look up property finance calculators are you handy? do you have time to screen tenants? do you need a management company (may be worth it for the 8-10% they should take in monthly income, do not pay more than 12% absolute most). are you familiar with the 1% rule that states monthly income should be at least 1% of total purchase price, after repair. will you be looking at distressed properties or turn-key? there are companies out there that provide turn-key leads to prospective investors, maybe that's the route you go if you aren't looking for a second job; some even provide in-house management. what else?
Jayden Edwards
smart, btw.
Sebastian Walker
>are you familiar with the 1% rule that states monthly income should be at least 1% of total purchase price
This is literally impossible in my area. It means a 3 bedroom single family home would need to net rents of 6k or 7k per month.
Jaxon Myers
Nice thank you. I'm reading biggerpockets every day but it seems so much easier to make this work in Indiana or Florida or Arizona. The price-to-rent ratios in the LA area are absolutely fucking retarded. I'll start listening to the podcast too.
I'm very handy and plan on doing many upgrades and repairs myself. I have time to screen tenants as well so I think for this first property I'll try to avoid a management company.
TY based user kun
Logan Martin
go fuck yourself Imagine buying something called BRAP
Parker Phillips
Got any advice user ?
Joseph Smith
>quotes wrong post >shills a shitcoin
Sebastian Roberts
also bring your lease agreement to an eviction attorney so they can make sure it’s set up in a way that makes evictions as easy as possible. I imagine California has very friendly tenant laws
Jeremiah Fisher
Great idea. Thank you.
>I imagine California has very friendly tenant laws Of course.
Leo Lee
no problem buy a duplex also this my ID probably changed. also have friends in relevant industries. our lawyers, contractors, HVAC guy are all friends of ours. building working relationships with these people is essential. perhaps you recommend them tenants to their rentals and maybe they take 50% off labor to install new hot water heater. i'll be in and out of this thread. keep asking questions, i'd like to continue this. I want to start a /REIgeneral/ but wouldn't be able to keep it running alone.
Jose Powell
when analyzing deals what cap rate do you consider worth pursuing and what area do you operate in? do you keep an excel sheet to track properties you’ve analyzed?
Lincoln Russell
also do you consider condos/townhomes worth investing in if the cap rate is right? I’m thinking about investing in a college town and the townhomes are dirt cheap but they have $200 monthly HOA fees and there is an endless supply of them on the market which is concerning. I went to school there though and I know the area, very popular spot for students to rent