I am a new investor from vancouver, BC. I just bought my primary residence 6 months ago and now im looking to try and pickup my first cash flowing investment property! I realize that the Tacoma market may not be as attractive as markets in kentucky, Cincinnati, ect. The fact that Tacoma is only 4 hours away from where I live makes me feel much more comfortable however. The price to rent ratio here in Vancouver is very unprofitable. I'd love to connect with an agent who thinks they might be able to help me out! My goal would be to buy property(s) following all the basic rules that the BP podcast adamantly preaches (1% rule, purchase price 80cents on the dollar, room for improvements). I'm aware that the 1% rule in Tacoma is starting to become unrealistic but its a hell of a lot better than my market! Also, If you have a preferred lender I'd love to get in contact with that person as well.
@Connor Kelly Welcome to BP! Are you a dual-citizen? You're going to have a harder time using traditional financing if you are a foreign national (larger down payment & stricter guidelines). What draws you to Tacoma?? Skagit county is much closer to you, or even the north part of Snohomish county. Everett is about to open up the airport for commercial flights out of Paine Field in September of 2018.
Regardless if you decide to invest on the north side, or south side of seattle, you will want to meet some investors in the area. There are a couple regular meetups that are posted on BP as well as meetup.com, if you are open to the drive you would likely have the opportunity to meet agents, lenders and investors at an event.
Thank you so much for the reply. No, im not a dual citizen. Yeah, i've realized this. I contacted TD bank and they told me I would have to have 35-50% down which is pretty ridiculous (but may work as my partner has quite a bite of equity in their principal residence). I guess you would recommend using private or hard money? I didnt even realize these other locations you've brought up and I'm definitely liking the looks of them! About half the distance of Tacoma! I am frequently checking BP for meetups close by and its rare that i find one that will work for me. Most are around 5pm on a week night which conflicts with my job. I will checkout meetup.com however!
Thanks for taking time of your day to help me Julian, REALLY appreicate it!
Welcome Connor. I own a few MFH in Tacoma and my agent @Aaron Nelson was an invaluable resource and great to work with. There are still deals to be had in Tacoma if you have the right team and approach. Best of luck.
@Connor Kelly I would only use private/hard money if you need it. There are a couple meetups in the bellingham area, it won't fix the timing issue with your job but it's the closest regular meetup to Vancouver, BC.
Do you have anyone in WA state that you know and trust?? If you had someone who could be your eyes & ears but also had good enough credit that they could secure the financing for you, then you might be able to avoid the foreign national part.
Not sure if you told the bank something they didn't like, but there are programs out there that will get you a duplex for a min. 30% down (as a foreign national) as long as you don't have any credit events (BK, short sale, foreclosure, etc.). I'd have to double check to on the 3-plex & 4-plex though. The biggest issue you will face with foreign national financing is the ability to cash-out refinance after you have rehabbed the unit and have it rented.
@Julian Sibley I checked out meetup.com like you mentioned before and that's actually going great for me so that you for that!
No unfortunately i dont have any connections in WA.
Hmmm, Well ill have to get in touch with a lender and see what they say. thanks for all your help!