New investor in Michigan
Hey there,
My name is Matt and I am a 27 years old french engineer living in South East Michigan. I moved to Michigan from Paris, France in July 2019.
I discovered Bigger Pockets with YouTube. I have been a frugalist for a long time and I am now on my path to FIRE thanks to the teachings of MMM. Watching a lot of personal finance videos brought the BP podcast in my YouTube recommendations, I watched a few episodes and I was hooked by the power of leverage with OPM... Which can be done with stocks as well although I am not willing to go down that path.
Absolute newbie, I spent the last few weeks reading as much BP documents and listening to as much BP podcasts as I could
(1.5x speed is a fantastic tool!). I think I have now a basic understanding of the BRRRR process and would love to start applying the theory! What is more fun than learning and trying new things?
I read the BP Ultimate Beginner's Guide to Real Estate Investing and followed the suggestion to prepare a Business Plan which I will shortly summarize here.
Target: Buy a SFH to live in or a MFH to househack with my girlfriend (do not worry about the GF part, we have plans) in a good school district in SE Michigan. We are targeting mainly Royal Oak and Troy for now. Probably max 220k ARV for a SFH and 350k for a MFH. We plan to live in the house for 2-3 years and would turn the property into a rental when we move.
Financing: We are planning to either get pre-approved for a FHA/FHA 203k or get pre approved for a physician loan since my GF is a physician. The bottom line is we want to keep the downpayment as low as possible (FIRE, we need to keep buying those stocks). Any recommendations for a good credit union that would walk us through the pros and cons?
Timeline: Sign a deal before June next year. I dont want to rush into anything, the quality of the deal comes first.
Marketing Plan: I would get pre-approved before contacting any agent (I read on BP that it was better that way, feel free to tell me what you think). I found a couple ones that had excellent reviews on BP and plan to contect them once I am pre-approved.
Please, tell me what you think!