Old member but first post!

7 Replies

Hi everyone, My name is Ben and i've been with Biggerpockets for more than a year. I have learned a lot in biggerpockets by listening to podcasts and use the search button. I bought a duplex in Dallas Texas in 2017 and another one recently in 2018. As always,  I made a lot of mistakes and regret a few things here and there, but in the end i was able to learn a lot. I am looking forward to learn more from our community and may be one day... have enough knowledge to give back  as well.

Hey Ben

Congratulations on the purchases! 

Can you share a little bit about the "seminars" you've learned from with your purchases?

I haven't made the leap yet - but would like to know what I should consider as I am looking for a property now.

Thank You

Hey Ben!

Welcome and congrats not just to your first post, but for your RE acquisitions in the past two years!

I’m fairly new as well and trying to dive deep into everything before my first purchase. Would love to hear the mistakes you’ve learned from your first two acquisitions and if you have any advice for a first timer looking to do a buy and hold rental strategy on multis (while also open to SFH)!

@Ben Ng hello and welcome!

Great job on the property acquisitions!

I commend you for absorbing all the knowledge you learned here in BiggerPockets and converting it into action!

Even though you made a few mistakes along the way, we all have; and, mistakes provide great learning experiences.

Keep up the great work! We are happy to help any way we can.

@Jill DeWit Thank you :)

@Account Closed Thank you :) I relocated to Texas from California. i was not part of those rich folks already owned a house in California, i was merely 26 when i made the move. When i came to Dallas, i didnt know much about the local RE nor did i know anyone to ask and did not look for anyone to ask (first mistake) you should know your market by heart by researching or asking someone with experience. When i was looking for my first property. I didn't even know there is something called "Duplex, Triplex or fourplex". i happened to find one weird looking house and was telling my wife " these people are selling their two townhouse on the same lot". Also, i didnt have a realtor and was looking around myself. i contacted a realtor after i decided to buy the duplex. The duplex was not pretty. Wife did not like it. It took sometimes to convince her and made a promise that i will buy an actual "house" in the next 3 years or so. (not gonna happen since we just bought another duplex in Jan 2018 lol). My thought at the time was that i can just buy this duplex and live there temporarily until i know the Dallas market well. When i find something that i like later, i can buy and rent out the duplex completely. Beautiful thought isnt it? here comes the second mistake. I had a one year lease of contract with an apartment here in Dallas. i was paying around $800 a month minus some shared water bills, pest controls..etc. I still had 10 months in contract and was thinking that i can rent out the full duplex while staying in my apartment. Well, this did not work out since i was getting a primary residence home loan. I found this out 1 day before closing and had to endure both Rent and Mortgage. (i did check with the apartment and they said either pay the full 1 year lease and get out or stay till contract is over... i was mad but had no choice). however, luck was on my side since i also got another job with an increase in salary. Second duplex was almost a routine since i already familiar with the process. you might ask how did i get enough money for a down payment and finance my second purchase. I am a Software Engineer and have been working since i graduated college at 22. i save all of my money and only have 1 debt for a car loan. So even after the first purchase, i still had some money left. If you are looking to buy your first or second property, i would suggest to buy within your mean. You should not go with emotion and buy something that you might not able to support it and always have a backup plan. Since i am not experience in RE like some people can buy without money down or have a syndication, my backup plan was that even if all of the tenants leave, i can still support the 2 mortgages. However, that backup plan of mine does not work well with my current "Want". Now, I want to buy a third property, should i buy or should i lick my wound and pay off one of my mortgages first? if i buy then where? Duplex or SFH? i still haven't figure this out yet.

Hi Ben Ng, Thank you for sharing your success and mistakes! I'm still looking for my first deal out here in California. It's good to see you having success in Dallas though! Best of all luck to you with your future deals!

Paul 

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