Hello, im new to the forum and wanted to introduce myself. I help run a family business that does log home restoration and remodeling all over the lower 48. I am located in Bentonville Arkansas and own a single family home here that i am in the process of completing a live in flip (first and last) and am hoping to get some insight on what my next step should be. My girlfriend and i purchased a home last year with private financing through a family member on a 30 year loan at 3% interest for $43,500 and were able to get another loan of $25k to do a full remodel of the home and add a second bathroom to make it a 2-2. We are debating between renting this home or selling to get into another deal, comparable homes in the area are selling for $120-130k leading us to believe we can profit about 50-60k, but we think we could rent for around 950 a month, netting about $250 of cashflow after expenses if we decided not to sell. I am most interested in investing in rental properties for the cash flow and passive income but feel maybe we should sell this one to help get us moving in that direction faster. We would greatly appreciate any opinions on how other members would handle this situation. Thanks in advance, Jacob
Hey Jacob! Love the family business! As far as next step I would say:
1. Determine your goal. 2. Analysis your current situation. 3. map out a process to get your goal.
It seems like you are caring more for a buy and hold strategy instead of fix and flip. So, I would suggest either refinancing your loan, or taking a Heloc off of the property you own and get that equity to work for you in another property. So, this would be the BRRR method. You need to analysis to see if the cash flow on your current property makes sense, and also analysis how much equity you can pull with a Heloc. I am a local agent. Private message me and I can help you out with the analysis part. Then, do the fun part: find the next awesome deal!
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