Snohomish County REALTOR® and Brand RE Investor

[Debbie Welch]

*Brand New RE Investor - Hello! First post. :) My husband and I live in Lake Stevens and we've just started our real estate investing adventures last week. We had our offer on a studio condo in Everett accepted. We plan on using it for a mid-term business and healthcare professional furnished rental. It's central to both Prov campuses. $215k is how we're dipping our foot in the investing pool. We used $50k down from our home HELOC for a conventional investment loan. Unless something amazing shows itself before (would probably need creative financing at that point), our next step is to rent out our current home (about $1000 net/mo) and move to a fixer, possibly using our VA loan availability and stay for a year, renting after. Rinse and repeat. ;) Our plan is single and multi-family with a mix of mid- and long-term rentals. Short-term is also on our plate, close to the kids/grandkids in TX and wherever any of our other children move. This step for us was WAY outside our comfort zone, but we're here now and ready to go! Hoping to connect will local investors for some starter guidance and local area financing options. Thanks!!

[James Dainard]

Hi Debbie,

Congrats on getting your offer accepted! I'm sure you've already done this but it's the forums so we gotta say it:

Make sure you do your due diligence on the HOA to make sure they allow STR's / MTR's.

There are a lot of buildings in the PNW that are now charging a change of occupant fee each time a new guest checks in to cover the expenses of the additional wear and tear on the building. This is more common in Seattle but it never hurts to triple-check.

Let me know if our team can help at all in helping you find/underwrite your next deal!

[Dave Skow]

@Debbie Welch- thanks 1) if you hvent already adddressed this - make sure your lender and also the HOA is OK with the business plans you have for the unit 2) if you use your VA elig to buy a future property - you will need to complete a refinance of the property to a conventional loan if you want to be able to re use the VA loan for property #3 4) once you move from the present primary home and if you have the HELOC maxed out - you will have a tough time to set up a new HELOC on a property that doesnt have much equity in it

[Debbie Welch]

Thanks James! All due diligence done. :) I've not heard of the occupant fee in Snoh Co, but now that I'm aware, I'll be on the lookout!

[Michael Haas]

Congrats on your first Deal @Debbie Welch! The VA loan is a great product to use to scale up your portfolio, especially when combined with live in flips or househacking like you mentioned. Thank you for your service!

[Sherief Elbassuoni]

@Debbie Welch, VA loans are amazing. For your first Studio/Condo deal, make sure to read the HOA CCR to make sure they are allowing Airbnb/VRBO!