Considering Rookie Bootcamp
Hi I am new to Bigger Pockets and am considering the rookie bootcamp course but want to make sure I have adequate resources to successfully complete the course before I pay the tuition. How much capital should I be prepared to invest? I live in the San Diego area. Thank you
Quote from @Brenton Montgomery:
Hi I am new to Bigger Pockets and am considering the rookie bootcamp course but want to make sure I have adequate resources to successfully complete the course before I pay the tuition. How much capital should I be prepared to invest? I live in the San Diego area. Thank you
I have attended two BP Bootcamps (MF and CRE) and am signed up for the upcoming STR Bootcamp. It is one of the few guru training that I fell is worth the money.
As to how much money is necessary depends on your RE approach. Using FHA loan you can purchase an owner occupied (OO) at 96.5 loan to value (LTV). This implies you would need 3.5% down, closing costs, and reserves. Note in this market you may be able to get seller to pay your closing costs.
If not going OO, traditional financing would max at 80% LTV. you can attempt to find selling financing, but that reduced the pool of potential Purchases significantly.
Another option that is a lot of work is to Buy, rehab, rent, refinance, repeat (BRRRR). The purchase could use HML, but HML lender will want you to have skin in the deal (so they will not provide 100% financing). When done perfectly, after the rehab you end up with none of your investment money trapped in the property. I typically have achieved this perfect result without a perfect BRRRR due to an assist from appreciation, but do not rely on short term appreciation.
by the way, my market is San Diego. No units noticeably south of highway 8. We use PM on our 4 STRs (one of which did not get an STR permit (even though it has been an STR since 1999) but we have 2 units that we are going to convert to STRs in the not too distant future) and we self manage the LTRs.
Good luck
Quote from @Brenton Montgomery:
Hi I am new to Bigger Pockets and am considering the rookie bootcamp course but want to make sure I have adequate resources to successfully complete the course before I pay the tuition. How much capital should I be prepared to invest? I live in the San Diego area. Thank you
As @Dan Heuschele says, there's really no concrete answer to your question—it all depends on your investing strategy, where you're investing, your plan for financing, etc. All of that is discussed in the Rookie Bootcamp, so that's definitely the right place to start! You'll be able to download the lessons and resources, so even if you're not ready to purchase a property during the course of the bootcamp, you'll continue to have access to all the materials whenever you need them. Hope this helps!
Quote from @Brenton Montgomery:
Hi I am new to Bigger Pockets and am considering the rookie bootcamp course but want to make sure I have adequate resources to successfully complete the course before I pay the tuition. How much capital should I be prepared to invest? I live in the San Diego area. Thank you
Hey Brenton! I am a house hacker in the SD area! Let me know if you would like to connect at any point!