Otsego, MI · Member since 2015 · 20 posts · 5 votes
Hey everyone. I am new to investing in the Kalamazoo area. Plenty of research and studying but I really need to take action now! I would like to be able to connect with anyone who can help, give advice, maybe help work out a deal with someone? I am torn between moving into another house with my fiancee and kids and renting out our current one or staying and buying a multi unit in our area of Otsego, Plainwell, Allegan or even Kalamazoo. Or even flipping a house if possible but I am mostly interested in buying and holding right now unless a real good deal comes along that would work. We're fairly new to the area (we moved here from Chicago a few years ago) so any advice would be greatly appreciated! Thanks!
Bellingham, WA · Member since 2018 · 80 posts · 26 votes
6y
Hi Collin, I've had my eye on Kalamazoo for a while. Still figuring out what to do too. What are your goals? I'm interested in buying rental properties with decent cashflow.
The house you live in now, would it make sense as a rental? Could you have positive cashflow with minimal equity left in? I ask, because where I live, to have positive monthly cashflow requires $200K of equity to be left behind. Who has that kind of money? Haha
Bellingham, WA · Member since 2018 · 80 posts · 26 votes
6y
Hi Collin, I've had my eye on Kalamazoo for a while. Still figuring out what to do too. What are your goals? I'm interested in buying rental properties with decent cashflow.
The house you live in now, would it make sense as a rental? Could you have positive cashflow with minimal equity left in? I ask, because where I live, to have positive monthly cashflow requires $200K of equity to be left behind. Who has that kind of money? Haha
Hi Collin, I've had my eye on Kalamazoo for a while. Still figuring out what to do too. What are your goals? I'm interested in buying rental properties with decent cashflow.
The house you live in now, would it make sense as a rental? Could you have positive cashflow with minimal equity left in? I ask, because where I live, to have positive monthly cashflow requires $200K of equity to be left behind. Who has that kind of money? Haha
Hey Paul! So yes buying rental properties to buy and hold for cash flow is my goal as well. Eventually I would also like to flip properties possibly even sooner if a good deal comes up that I'm able to work out. There is a house in Plainwell that would probably make a great flip if bought at the right price. I think they're asking too much right now.
So my house now I wouldn't be able to make a whole lot off it probably a couple hundred if I rent it for 1700-1800. It is large though 5 bedrooms about 3 acres and a pool. Probably not the "ideal" rental, but because my credit needs a bit fixing I would like to hold on to it for maybe a year, keep paying the loan down, work on my credit and then sell and use that money we make off it to put towards a multi-unit. Preferably two if possible. There's also a large pole barn on the property that we use for our other business that would not be part of the rental which is another reason I'd like to hang on to it unless I can rent that out for another few hundred. We already have about 50k in equity on the house. Unless I can somehow work a deal without having to use my credit. I'm just not sure how to go about that. My fiancee would be getting the next property under her name until I get my credit back up. The other options are we get a multi-unit or rental house right off the bat and stay where we're at. But we would only have about 10k to work with. There's a good house that would probably be a good option for the BRRRR method near us.
Investor · Boulder, CO · Member since 2016 · 1k+ posts · 1k+ votes
6y
@Collin Vosburgh what exactly are you needing help with? Dealfinders? Neighborhoods? Lenders? I see posts with specific questions that people can answer directly, get better support :)
Bellingham, WA · Member since 2018 · 80 posts · 26 votes
6y
Sounds like a situation worth figuring out. You mention getting your credit fixed: have you discussed your current credit situation with a mortgage loan officer? I don't know any of your details, but I'm often surprised at what may and may not factor into things. I like to work with an MLO vs. individual banks because they're on your side and will find the lender who will understand your situation. If you've already gone down that road, I apologize for over-explaining. It's just what comes to mind first.
Now onto the property. If you can BRRRR a property with your current financial situation, I say go for it. I would think that having a cashflowing property with little (or hopefully zero) capital tied up would only help with fixing your credit (via extra cashflow to pay off debts) and get you in a better position for the next move.