Hello Bigger Pockets Forum, I am brand new to real estate and looking to make my first deal. I live in the boston MA area and am looking to make a house hacking deal. I am hoping that some experienced investors can share some of their storys with me. Im looking for advice and tips before i jump into it.
Good luck with your decision on jumping into RE. It really depends on your situation. Are you single, with family? How are you financing? Realistically what are the numbers in Boston? How much down do you have? What's the market like in your area? Do you have knowledge in the construction area? All things you should ask yourself. Single or family I ask because if you can take the smallest unit you can bring in more rent. You need to know your market, numbers, etc... If you're doing FHA you also need to realize you are likely not going to be able to get the best deals, but you can get a decent deal. I usually tell people to do their numbers as they are doing 25% down and work on getting to that, then refinance and stabilize the property. This is when you put less than 20% and have to pay PMI and in hot markets like NYC, which I'm sure Boston is pretty similar.
If you have more specific questions post them up to get better answers. Good luck buddy!
@Peter Goeller Welcome to BP! I suggest looking to the south.
The Boston market has lost its collective mind. Prices are astronomical and I don't see any reasonable deals around with the exception of a few in Mattapan and Roxbury - but even those are rapidly gentrifying.
If you look a bit to the south, you can still find some reasonable prices. The west side of Brockton, Plymouth, Pembroke, Middleboro, Kingston and a few other areas to the south can still produce some good values - especially if you can do some work on the properties.
The big consideration if you're house hacking, is commuting. If you're going into Boston, get something close to the commuter rail - assuming that that's going to work for your particular situation.
Where would you consider living?
Ceasar is right about knowing your situation. I recommend getting your personal finances together and put it on excel(or download a pre-made calculator sheet of excel). You can factor in how much you save for a rainy day per month as an expense and how much you save on investments a per month. From there you can cut costs on things such as food and entertainment and have more to invest as well. RE investing all depends on your situation and the better you can make your situation, the sooner you can invest.
Enjoy your education
So I am single and currently live with my parents. I say the boston area very broadly, i live half way between boston and worcester. as far as financing goes i know a whole lot about it but I could potentially have a decent amount for a down payment.
Start small and don't borrow too much. Something with basic cosmetic renovations.
Better yet see if you can find an experienced flipper and ask them how you can help them out in exchange for some mentoring.
Welcome @Peter Goeller ! You are definitely on the right track with what you are looking for. As Charlie said, it is a tough market close to the Boston area but looking south or north, there are still reasonable deals. Commuting is definitely going to be the biggest concern depending on where you work and how you usually get there. That can be a draining factor if you move and have a long commute every morning and evening. I would be happy to talk about more specifics if you want too! Good luck!
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