Just closed on #9....#10 in about 3 weeks

21 Replies

So happy to say we just closed on our 9th SFH. Sweet little 3 bed 1 bath. Pretty much move - in ready. Gutters need cleaned and needs a couple bedroom doors. Low 20s and should rent for $650 / month. One of the best things about this house is taxes are $550 a year.

We are going to close on #10 in about 3 weeks. 4 bed 1 bath with a newer 2 car garage. Bought at auction -- mid 30s. Should rent for $700 to $750 / month.

Got to my short term goal -- 10 SFH rentals. Now I'm going to try and get at least 2 paid off before I consider my next move. Right now I'm thinking my goal is to have 20. Or I may start investigating small apartment complexes in the Pittsburgh area, but that would require a PM. Not sure I like the idea of someone else being in charge of my property. Im kind of a control freak. Plus I like the idea I can get in my car and drive 2 minutes to one of our SFH.

Any thoughts?

I really have to thank BP for obtaining my short term goal...the forums, the podcasts, etc. have played a HUGE part in all of this. Thank you!!!

Great job, Greg! I'm jealous. Been on BP for a month now, and haven't acted. Need some motivation. Thanks for your post. Are you buying with cash, or how are you financing these SFH's?

Thanks Mark! I researched for about 4 months before we took the plunge with the first one...My best advice is to just do it.

As far as financing...a little bit of everything. We have some 30 year conventionals, some ARMs, and a few with cash. I was also able to get a HELOC on one of our rentals through Huntington Bank.

I've been reading a lot of blog post and articles on @Mark Ferguson website www.investfourmore.com. A lot of good info on there. Im going to start following his strategy on paying down the ARMs. Knock one down and then another and so on.

not sure how to do the @ thing. lol

Forgot to mention we have a great portfolio lender. A small local bank that I deal with a lot. They will finance the $30K and below purchases

@Craig Montesano awesome! And thank you for the mention, I am glad the blog helped. Will your portfolio lender keep lending on more than ten properties?

For the @ tool. Click on the @ and then the first few letters of the persons name. Then the options should pop up at the bottom of the post/text book.

@Craig Montesano congratulations having that money rentals is a success! What city are you investing in?

(585) 678-6857
Originally posted by @Craig Montesano :
So happy to say we just closed on our 9th SFH. Sweet little 3 bed 1 bath. Pretty much move - in ready. Gutters need cleaned and needs a couple bedroom doors. Low 20s and should rent for $650 / month. One of the best things about this house is taxes are $550 a year.

We are going to close on #10 in about 3 weeks. 4 bed 1 bath with a newer 2 car garage. Bought at auction -- mid 30s. Should rent for $700 to $750 / month.

Got to my short term goal -- 10 SFH rentals. Now I'm going to try and get at least 2 paid off before I consider my next move. Right now I'm thinking my goal is to have 20. Or I may start investigating small apartment complexes in the Pittsburgh area, but that would require a PM. Not sure I like the idea of someone else being in charge of my property. Im kind of a control freak. Plus I like the idea I can get in my car and drive 2 minutes to one of our SFH.

Any thoughts?

I really have to thank BP for obtaining my short term goal...the forums, the podcasts, etc. have played a HUGE part in all of this. Thank you!!!

Craig, your story is inspiring, thanks for sharing. I have 2 currently and under contract for my 3rd. Purchased cash. I'm trying to understand how to obtain financing for more. Pls excuse my ignorance but when you're seeking Bank Financing don't they consider personal income and DTI (debt-to-income) ratios ? Or is it different with Investment property ?

Originally posted by @Mark Ferguson:
@Sante Randall When you get an investment loan they almost always consider DTI and peronal income. In fact many banks require more income and savings for investment laons.

Thanks Mark, I guess that counts me out. I have Very Good credit but DTI is now out the roof due to the cash purchases I've made with lines of credit. Once the lines are exhausted how else can you continue to get more properties ?

that's awesome... those are great prices. i can dream for prices like that. i get gut jobs for around 70+.

i'd not pay off loans if i were you. you'd miss out on the deals that are still out there if you wait for 5 yrs to come back into this.

Congrats @Craig Montesano , that is awesome.

Do you know how big of an area your portfolio lender covers?

I'm buying places in those points in Beaver and (Mostly) Lawrence counties. At this point they are all "cash" deals since I don't have any institutional lenders that will lend that low.

Shaun Reilly, Real Estate Agent in MA (#9517670)
1-800-774-0737

@Craig Montesano

Congrats on the tremendous start! It sounds like you've already made some incredible buys. :)

Craig that is awsome!!!!

Please keep us posted and great success to you.

Hey Craig great job with those rentals! That’s really amazing that you set a goal and attained it. While you’re considering your next move one thing you could do is switch focus and pick up a property using retirement funds to build your portfolio. A lot of real estate investors switch gears and use old 401 (k) or IRA funds and do exactly what you’re doing then pick one up with their retirement account as well. Just a thought.

thank you everyone!

Not sure about the DTI. Lol. The bank we work with just keeps lending us money....I think it helps that both my wife and I have good full time gigs.

Thanks for all the kind words....think I'm sit back for about six months and enjoy collecting rent, then get back on the horse.

If anyone in western pa is looking for a great portfolio lender, touch base with me.

as far as finding deals...most have been MLS. A few auction, one for sale by owner....and one on Hubzu. The Hubzu house is a home run

Originally posted by @Mark Ferguson:
@Sante Randall When you get an investment loan they almost always consider DTI and peronal income. In fact many banks require more income and savings for investment laons.

Mark I also thought that the "anticipated" rental income was a factor in obtaining this type of financing, is it not ?

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