Purchase 1st Primary Residence Vs. 1st Rental Duplex OUS

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Purchase 1st Primary Residence Vs. 1st Rental Duplex OUS

L. L.
Member since 2019 · 24 posts · 21 votes

Hi Everyone on Bigger Pockets! Im looking to try and get into  my first rental duplex in Cleveland Ohio as well as purchase a primary residence Condo in my city of Ventura CA and Im not sure which to purchase first. The goal is to have 3 rental units within twelve months but need to know which investment to purchase first.  The First option is to purchase a duplex in Cleveland Ohio with 20 to 25% down.  Im under the impression that this may help, or at least not hinder my debt to income ratio. Im thinking that if I can get into a duplex that meets the 1% rule, It might help my situation.  After I get both units rented out I can then try to qualify for a first time home buyer loan in my home city.  I would also have to buy a condo.  The market price of a condo in Ventura County is about 290k to 330k on the lower end.  Also, (a duplex in Cleveland is about 100k). Second Option:  Buy a condo first, rent it out after twelve months and develop a history as a Landlord.  The problem I am seeing with buying a Condo first is that this will ruin my debt to income ratio.  If I was to purchase a condo at 300k this would probably make it harder for me to purchase rental properties and I would need more income. I also wont qualify for a single family home as the price for a house in Ventura County is around 600k to 800k and so a Condo is my only option in Ventura. If there is any one out there that might be able to help me determine which route to pick first and shed some light I would greatly appreciate it.  Thanks much!

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Remington LymanBusiness Member
Real Estate Agent · Columbus, OH · Member since 2017 · 6k+ posts · 7k+ votes
5y
Originally posted by @L. L.:
Originally posted by @Patrick Drury:

@L. L.

I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

 The 1% rule is achievable in Columbus, Ohio. Here is some information on neighborhood grades in Columbus and Cleveland. https://drive.google.com/drive...

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  • Patrick DruryBusiness Member
    Real Estate Agent · Columbus, OH & Cleveland OH · Member since 2021 · 1k+ posts · 2k+ votes
    5y

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    [email protected]614-412-4565
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    View Page
    4Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    2Reply
  • Remington LymanBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2017 · 6k+ posts · 7k+ votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

     The 1% rule is achievable in Columbus, Ohio. Here is some information on neighborhood grades in Columbus and Cleveland. https://drive.google.com/drive...

    [email protected]614-541-8475Podcast Guest on Show My Job Laid Me Off, So I Replaced My Salary with Rentals
    Reafco512 Reviews
    WebsiteView Page
    7Reply
  • Steven Foster Wilson
    Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes
    5y
    Originally posted by @Remington Lyman:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

     The 1% rule is achievable in Columbus, Ohio. Here is some information on neighborhood grades in Columbus and Cleveland. https://drive.google.com/drive...

     If you're handy you can make 2.5% deals here in Cbus

    3Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Remington Lyman:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

     The 1% rule is achievable in Columbus, Ohio. Here is some information on neighborhood grades in Columbus and Cleveland. https://drive.google.com/drive...

     Thanks for the info Remington.  I will check it out!

    2Reply
  • Kyle Tom
    Property Manager · Columbus, OH · Member since 2021 · 66 posts · 121 votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    3Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

    2Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Steven Foster Wilson:
    Originally posted by @Remington Lyman:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the info Steven. But since I live in California sweat equity is really not an option

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

     The 1% rule is achievable in Columbus, Ohio. Here is some information on neighborhood grades in Columbus and Cleveland. https://drive.google.com/drive...

     If you're handy you can make 2.5% deals here in Cbus

    1Reply
  • Kyle Tom
    Property Manager · Columbus, OH · Member since 2021 · 66 posts · 121 votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

     Not sure how far you are in your real estate journey - Do you already know how to analyze deals? What I always tell people is that if the deal is good, you can always find money.

    4Reply
  • Steven Foster Wilson
    Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

    Ive used conventional lending on all my BRRRRS, helps keep he cost down

    1Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Steven Foster Wilson:
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

    Ive used conventional lending on all my BRRRRS, helps keep he cost down

    Thats good to know. Im asuming then that your rentals were in decent condition before the Brrrr. Otherwise most lenders wouldn't loan on a house that needs major repair. 

    0Reply
  • Steven Foster Wilson
    Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Steven Foster Wilson:
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

    Ive used conventional lending on all my BRRRRS, helps keep he cost down

    Thats good to know. Im asuming then that your rentals were in decent condition before the Brrrr. Otherwise most lenders wouldn't loan on a house that needs major repair. 

    I think the best BRRRRS are the ones on the verge of not going conventional but then they might. Then you can go in, add beds, baths, and a full cosmetic rehab.

    2Reply
  • Kyle Tom
    Property Manager · Columbus, OH · Member since 2021 · 66 posts · 121 votes
    5y
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

     @L. L., "My original post was more on the lines of purchasing a duplex first or hometown condo first." I would recommend a duplex. You can submeter the water and make the tenants pay for all the utilities. You can live in 1 side and rent the other side out which would cover your mortgage payments. When you go with a condo, you need to make sure the Home Owners Association (HOA) doesn't prohibit you from renting out your unit. There's also monthly HOA fees that add to your expenses.

    0Reply
  • L. L.
    OP
    Member since 2019 · 24 posts · 21 votes
    5y
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Kyle Tom:
    Originally posted by @L. L.:
    Originally posted by @Patrick Drury:

    @L. L.

    I would recommend you buy the rental property first, then after a year or so do cash-out refinance, then buy another one. I would recommend looking towards Columbus OH instead of Cleveland the appreciation is a lot better, which is good for doing BRRRR's Vs Cleveland there isn't much appreciation at all, just cash flow.

    Thanks for the reply Patrick. I was actually looking into doing the brrrr method about a year ago in cleveland. I had trouble making the numbers work for me and got discouraged. Either the ARV was too low, rehab too high or the purchase price was too high on the properties I was looking at. It seems as though there is not enough spread in Cleveland to pull off a brrrr in Cleveland. Although Im sure there are plenty of experienced people pulling it off in Cleveland. Im not as familiar with Columbus OH. Is the 1% rule achievable in Columbus? Also, do you know of any Neighborhood grading maps for Columbus that I can look into and maybe become familiar with the neighborhood?

    The BRRRR method is totally possible in Cbus (That's the cool kid way of typing it)! Remember though, the 1% rule is only a rule of thumb if you should analyze a deal or not. You should still run the numbers and make sure that after all the expenses, you still see the return you are looking for.

    Thanks for the info Kyle! I originally was'nt looking to purchase in Columbus but I might have to start looking into this market and change directions. If I did a BRRRR in Columbus I would have to use a Hard Money lender. I dont know how the competition is over there. I know in Cleveland there are a lot of cash purchasers that can offer way above asking. My original post was more on the lines of purchasing a duplex first or hometown condo first. I have been looking into Rental Income Offsets that lenders use to help qualify for a primary residence. If the numbers are right I could possibly use rental income to help me qualify for a condo in my home town. Then eventually turn that into a rental as well. Still looking into my options!

     @L. L., "My original post was more on the lines of purchasing a duplex first or hometown condo first." I would recommend a duplex. You can submeter the water and make the tenants pay for all the utilities. You can live in 1 side and rent the other side out which would cover your mortgage payments. When you go with a condo, you need to make sure the Home Owners Association (HOA) doesn't prohibit you from renting out your unit. There's also monthly HOA fees that add to your expenses.

    Hi Kyle.  A duplex in Ventura Ca would be great except there are very few left in this county.  Most would range for around 800k to 1 million. Ventura has strong appreciation as well as rent appreciation.  It might be worth getting into a condo for the appreciation alone. I wouldn't qualify for a house as the price for a home is well over 600k so im thinking the condo is the next best thing.  If I could get in for low amount down and get a renter in soon, then I would have at least something appreciating in my home town for me. I can then start looking out of state maybe a few months after.

    0Reply
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