Realtor · Waterbury, CT · Member since 2016 · 19 posts · 9 votes
Hello everyone I am new to bigger pockets and realestate. My brother and I are looking to invest in real estate. We are interested in buying and holding, and flipping.
Thanks :)
Real Estate Investor · Miami, FL · Member since 2010 · 939 posts · 739 votes
10y
@Lorranne JimenezHere is some additional food, for thought. I am not a fan of purchasing a Residential Multifamily Property known as "House Hacking." If you are looking to owner occupy, you may want to consider starting out, with buying a Duplex, TriPlex, or a Four Plex. Assuming you have a respectable FICO you can buy, with a FHA Loan (3-5% down, a 30 year amortization schedule, and a residential loan rate). You live in one unit and let your tenants pay the mortgage and other property expenses. This will give you experience as both a Landlord and Property Manager. The downside is you will need to live there, for a minimum of one year (to satisfy FHA Requirements); AND because you closed personally, you will not have Asset Protection, in the form of closing in the name of a LLC. What happens if one of your tenants has a slip and fall, on your property, or something else happens to them? You are on the hook and can be personally sued, for everything you own. Another downside is you loose on the advantages, of the Federal Tax Code, by not closing in the name of a LLC.
If you want to close in the name of a LLC, Mortgage Lenders will offer you Commercial Loan Terms (25-30% down, a 15-25 year amortization, and a ballon due in 5-7 years). This is what I am encountering, in the current Mortgage Industry.
If you think you will go FHA and then Quit Claim the property, to a LLC you run the risk of the lender discovering a Title Transfer occurred and activating the "Acceleration Clause" or "Due on Sale Clause" that requires the loan to be paid in full, within 'x' number of days. These clauses are contained, in all Promissory Notes nowadays.
Welcome to the Best Real Estate Site on the Net. It is always nice to see another Ct., resident in the forums. Click on the "Education Tab" at the top of the page, and you could be spending many hours on the Information that is available. Raymond
Realtor · Waterbury, CT · Member since 2016 · 19 posts · 9 votes
10y
oh thanks so much for the friendly welcome guys. If any of you happen to know a good realestate agent for the waterbury,middlebury, and watertown areas that is willing to be patient with a newbie I would really appreciate the help..
Investor · Corona, CA · Member since 2014 · 746 posts · 372 votes
10y
Welcome to Bigger Pockets Lorranne! Congratulations to you and your brother for jumping in to do your first deal!
If you're free, Tuesday March 1, we are hosting our New Haven Real Estate Investors meetup from 7 to 9pm. We will be at Cask Republic, 179 Crown St New Haven!
Real Estate Investor · Miami, FL · Member since 2010 · 939 posts · 739 votes
10y
@Lorranne JimenezWelcome to the community, of BiggerPockets! The people here have a vast amount of knowledge and are more than willing to share their experience and provide sound insight and advice. Be sure to check out the forums, the blogs, podcasts as well as other parts of this amazing website and like minded community. Do not hesitate, to post questions and bounce ideas around in applicable forums. There are lots of people, on this site, with a vast amount of knowledge and experience. I am located, in Miami. I am a Rehabber as well as a Buy and Hold Investor. Please free to reach out, to me, if you feel I may be of assistance, to your Real Estate Endeavors. Much to your success!
Check out the free BiggerPockets Podcast - A weekly podcast with interviews and a ton of great advice. And you get the benefit of having over 100 past ones to catch up on.
Locate and attend 3 different local REIA club meetings great place to meet people gather resources and info. Here you will meet wholesalers who provide deals and rehabbers (cash buyers). Find them through Google and meetup.com There are several large and active clubs in CT to find out about.
Consider checking out HUD homes for small multi's owner occupied gets first crack.
You might consider Niche or Specialized Housing like student housing. Rents can be 2-4 times more. Remember you don't have to own a property to control it.
Download BP’s newest book here some good due diligence in Chapter 10. Real Estate Rewind Starting over
Real Estate Investor · Miami, FL · Member since 2010 · 939 posts · 739 votes
10y
@Lorranne JimenezHere is some additional food, for thought. I am not a fan of purchasing a Residential Multifamily Property known as "House Hacking." If you are looking to owner occupy, you may want to consider starting out, with buying a Duplex, TriPlex, or a Four Plex. Assuming you have a respectable FICO you can buy, with a FHA Loan (3-5% down, a 30 year amortization schedule, and a residential loan rate). You live in one unit and let your tenants pay the mortgage and other property expenses. This will give you experience as both a Landlord and Property Manager. The downside is you will need to live there, for a minimum of one year (to satisfy FHA Requirements); AND because you closed personally, you will not have Asset Protection, in the form of closing in the name of a LLC. What happens if one of your tenants has a slip and fall, on your property, or something else happens to them? You are on the hook and can be personally sued, for everything you own. Another downside is you loose on the advantages, of the Federal Tax Code, by not closing in the name of a LLC.
If you want to close in the name of a LLC, Mortgage Lenders will offer you Commercial Loan Terms (25-30% down, a 15-25 year amortization, and a ballon due in 5-7 years). This is what I am encountering, in the current Mortgage Industry.
If you think you will go FHA and then Quit Claim the property, to a LLC you run the risk of the lender discovering a Title Transfer occurred and activating the "Acceleration Clause" or "Due on Sale Clause" that requires the loan to be paid in full, within 'x' number of days. These clauses are contained, in all Promissory Notes nowadays.
Hello everyone I am new to bigger pockets and realestate. My brother and I are looking to invest in real estate. We are interested in buying and holding, and flipping.
Thanks :)
Hello Lorranne,
Welcome to BP and REI! This is a great place to get started with the research you will need to be a great investor! What kind of markets have you looked into? Are you staying local, or going some other place that might earn a different kind of cash flow? What kind of investments are you looking for?
If you have any questions, please feel free to send me a message!
Welcome to BP. I am located in Northeastern CT, and I am an aspiring real estate investor looking to enter into buying and holding multifamily properties through the "house hacking" method. It seems to be a great way to enter the real estate investing, and I would be happy to share the information that I have learned so far if you have any questions.
If you wish to tag someone in the conversation on the forum, type @ followed by their name and then select the name of that person which should appear below the comments box. He or she will be notified of being tagged so that the conversation will continue.
To make the @ work, do the following: Hold down the shift key and type @? Look below this Window, and you will see a list of names of people that have posted in this thread. Click on the name of the person that you want notified via an email, that you responded to them. If you are a Colleague with anyone that has NOT posted in the thread, and you want them to see your post, hold down the shift key, type the @ and the first 4 letters of their First or Last Name. Then look below this Window and click on that person's name. Raymond
Hello Tom thank as well for the warm welcome. I would like to start locally in CT with in driving distance from investments until I become alittle more experienced
Hartford, CT · Member since 2015 · 25 posts · 3 votes
10y
I haven't met an investor that is willing to wholesale in that city or really take on any projects there. There are tons of vacant properties there but no one is buying. Let me know if you find cash buyers in that town.
Real Estate Investor · Miami, FL · Member since 2010 · 939 posts · 739 votes
10y
@Lorranne JimenezSince you are also interested in fix and flips, I propose the following action plan. The first step would find an Investor Friendly Realtor assuming you do not have access, to the MLS. I would suggest that you interview several Realtors and ask them the following questions, to ascertain if they are truly Investor Friendly, or if they are throwing you a sales pitch.
1. How many investors do you currently work with and how many investors have you worked with, in the past?
2. How many transactions have you closed, with investors?
3. Do you currently own any Investment Properties? If so, what type do you own?
4. Are you a member of any REIAs?
The next step would be to work with the Realtor and determine the hot markets, in your County, with the greatest number of sales over the last 90 to 120 days. Personally, I would prefer 90 days because markets are always changing. This list would contain the zip code and corresponding name of the municipality, and a breakdown of the number of SFRs. This will be your Farming Area. From this data, you can utilize a website bestplaces.net that will give you a breakdown of the percentage of homes that sold, in various price ranges, for a given zip code. This will identify the retail price ranges, in which you can list the rehabbed property and the price ranges, of distressed homes, you should target.
You can use the Realtor to help you find deals and also use Wholesalers. If you acquire a property, from a Wholesaler, once the property is rehabbed and ready for the Retail Market, allow the Realtor that provided you the zip codes, to list the property for sale. This creates a WIN-WIN Situation and gives the Realtor incentive, to work harder on your behalf.
I hope you find the above information to be of useful value.
Realtor · Waterbury, CT · Member since 2016 · 19 posts · 9 votes
10y
@Steve O'Meally ok, will do I have to find a realtor that is willing to show me these properties first it seems like trying to find a needle in a hay stack. Nobody wants to show the properties in waterbury