New Member in Provo Utah

4 Replies

Hello everyone! My name is Parker Jackson and I’m a relatively new member here on Bigger Pockets. Although I’ve been on BP for several months, I haven’t taken the time to introduce myself. Recently I decided that it was time to start asking questions and making connections.

I've been doing a lot of research over the course of the past 6 months and recently went Pro in order to gain unlimited access to BP calculators and past webinars. My wife and I are excited to enter the world of real estate investing and we can't wait to get started. I am still a student in the Provo/Orem area and we are looking to try to house hack while I am still in school. We don't have a ton of capital available and are looking to get an FHA loan on a property when we find one that makes sense for us.

That being said, we haven’t been able to find anything that would come even remotely close to cash flowing in Utah county (especially around Orem and Provo). I know that the market is pretty hot right now, but I’m not sure what we should do. Does anyone have any advice for finding good deals in a crazy market? Should we wait for the market to to go down before we invest?

I’d love to hear your feedback! Thanks a lot!

Hey @Parker Jackson welcome! Your situation is basically exactly what mine is, I introduced myself a few days ago and I have already made some great connections so your doing the right thing, I also thought that I wanted a FHA loan to start house hacking but from the connections I've made on bigger pockets they have told me that a FHA loan keeps PMI on it the entire time while a conventional loan only keeps the PMI payment until you get 20% equity in the home which can change the cash flow numbers drasticly. And some locations can get you a conventional loan with only 5% down.

Just wanted to welcome you to bigger pockets and share that tip with you that I have learned since introducing myself here on BP.

Good Luck!

@Mark M. Hall

Thanks for the tip! That is really helpful and good to know. Where are you from Mark? Do you know if it's possible to refinance after getting 20% equity into the home on an FHA in order to avoid the PMI going forward?

Thanks again!

@Parker Jackson If you have an FHA loan, yes you can refinance into a conventional loan when you have 20% equity into the home. But that will take quite a bit of time if you aren't putting in your hard earned cash into the deal to reach that 20% equity.

Keep in mind though, that you can only have one FHA loan at a time. There are some conditions where you can have two, but under very strict circumstances. For example you wouldn't be able to have two FHA loans here in Utah. But there is a possibility that you could have one here and one in the location that's over 100 miles away.

Reach out to some lenders and they can give you more information on FHA versus conventional loans.

I’m pretty much in the same situation as you guys. I’ve decided to rent very cheaply until I have the capital to go into multi family housing and house hack that.

Also what I’ve been doing right now is getting books from the library from BiggerPockets and learning as much as I can so that’s when I am ready to invest, I will be able to and be the most prepared. It’s a very good way to get information without having to pay for the books.

Originally posted by @Parker Jackson :

Hello everyone! My name is Parker Jackson and I’m a relatively new member here on Bigger Pockets. Although I’ve been on BP for several months, I haven’t taken the time to introduce myself. Recently I decided that it was time to start asking questions and making connections.

I've been doing a lot of research over the course of the past 6 months and recently went Pro in order to gain unlimited access to BP calculators and past webinars. My wife and I are excited to enter the world of real estate investing and we can't wait to get started. I am still a student in the Provo/Orem area and we are looking to try to house hack while I am still in school. We don't have a ton of capital available and are looking to get an FHA loan on a property when we find one that makes sense for us.

That being said, we haven’t been able to find anything that would come even remotely close to cash flowing in Utah county (especially around Orem and Provo). I know that the market is pretty hot right now, but I’m not sure what we should do. Does anyone have any advice for finding good deals in a crazy market? Should we wait for the market to to go down before we invest?

I’d love to hear your feedback! Thanks a lot!

 Welcome to the site Parker.