Newbie from Seattle, WA

Newbie from Seattle, WA

New to Real Estate · Seattle, WA · Member since 2018 · 12 posts · 3 votes

Hi Everyone, 

I finally have the courage to post on BiggerPockets after listening to just about every episode on Stitcher. I've always thought about diving into REI but have always been hesitant to jump in since I have a very limited understanding of the moving parts. After the market settles, I am assuming there will be a number of opportunities, so I figured this would be a good time as any to jump in.

I have been living in the Greater Seattle area (Redmond, WA) for over a year now and with the light rail expansions coming soon, I imagine this would be a great opportunity for me. I am currently in the research phase on the exact location/neighborhood but I am considering house hacking a SFH or condo/townhome (3BR/2BA) in locations that are near public transit. I will be financing this with the VA home loan. The beauty of this is that there is no down payment and the entitlement goes up to $741k in King County after the first VA home loan.

I am not in any rush to purchase since I am not really sure what to make of the COVID-19 pandemic and how it will affect the housing market, but I hope to purchase something by the end of 2020 or early 2021. In the meantime, I will soak up all the knowledge I can from this awesome community.

Thanks for having me!

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Michael HaasBusiness Member
Real Estate Agent · Sammamish, 🌧️ Seattle Investor-Agent | 🤑 Helped 400+ Clients Invest in Real Estate | 🏘️ Owns 23 WA Rentals & Airbnbs | 🏗️ Built 5 DADU's | 📈 You Can Do It Too · Member since 2016 · 725 posts · 3k+ votes
6y

Welcome @Willie Booker! We built our rental portfolio HouseHacking and think it's hands-down the most powerful strategy in REI... and combined with your VA loan entitlement there's no better way to get started and scale quickly.

Going for a SFH is often the way to go in Seattle and the Eastside- Multifamily property (duplex, triplex, quad) tends to get pretty expensive, with pretty low returns, in our region. I would encourage you to consider something with an ADU, Mother In Law, or just more bedrooms - 3-2's tend to have the worst cashflow and highest purchase prices as house hacks as they're the most common "family house", so you're competing against just about every owner or investor out there. Almost all of our properties are 5+ bedrooms, and I have trouble seeing much cash flow on anything with a lower bed-count unless you get a screaming deal on the purchase.

Cheers and thank you for your service! Message me anytime if you'd like to grab a coffee and talk house-hacking after quarantine is over. I have a few custom deal calculators for house hacks that could be useful as well. 

HouseHack Seattle | Michael Haas & Team572 Reviews
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  • Craig CurelopBusiness Member
    Real Estate Agent · Post Falls, ID · Member since 2016 · 1k+ posts · 1k+ votes
    6y

    Hey Willie. Welcome to BiggerPockets !

    It's normal to have hesitations, but congratulations that you have done the first post! BiggerPockets site has a lot to offer about Real Estate investing. Just take time and spend more in learning by browsing the pages of this site. I want to share with you some basic ideas for your REI investments:

          1. Subscribe to the BiggerPockets Money and Rookie Podcasts

          2. Attend the FREE WEBINARS

          3. Attend a Meetup in Your Area

          4. Purchase the Beginner Books: How to Invest in Real Estate, Set for Life, The House Hacking Strategy

          5. Peruse the forums! Ask questions! Answer Questions!

    Good luck in your future investments! Hope we will all be safe during this pandemic.

    Best regards,

  • Equity Raiser and Turnkey Provider · Cleveland, OH · Member since 2016 · 4k+ posts · 1k+ votes
    6y
    Originally posted by @Willie Booker:

    Hi Everyone, 

    I finally have the courage to post on BiggerPockets after listening to just about every episode on Stitcher. I've always thought about diving into REI but have always been hesitant to jump in since I have a very limited understanding of the moving parts. After the market settles, I am assuming there will be a number of opportunities, so I figured this would be a good time as any to jump in.

    I have been living in the Greater Seattle area (Redmond, WA) for over a year now and with the light rail expansions coming soon, I imagine this would be a great opportunity for me. I am currently in the research phase on the exact location/neighborhood but I am considering house hacking a SFH or condo/townhome (3BR/2BA) in locations that are near public transit. I will be financing this with the VA home loan. The beauty of this is that there is no down payment and the entitlement goes up to $741k in King County after the first VA home loan.

    I am not in any rush to purchase since I am not really sure what to make of the COVID-19 pandemic and how it will affect the housing market, but I hope to purchase something by the end of 2020 or early 2021. In the meantime, I will soak up all the knowledge I can from this awesome community.

    Thanks for having me!

     Hello and welcome! Best of luck to you! 

  • Andrew SyriosPro Member
    Moderator
    Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes
    6y

    Welcome to BiggerPockets Willie!

  • Michael HaasBusiness Member
    Real Estate Agent · Sammamish, 🌧️ Seattle Investor-Agent | 🤑 Helped 400+ Clients Invest in Real Estate | 🏘️ Owns 23 WA Rentals & Airbnbs | 🏗️ Built 5 DADU's | 📈 You Can Do It Too · Member since 2016 · 725 posts · 3k+ votes
    6y

    Welcome @Willie Booker! We built our rental portfolio HouseHacking and think it's hands-down the most powerful strategy in REI... and combined with your VA loan entitlement there's no better way to get started and scale quickly.

    Going for a SFH is often the way to go in Seattle and the Eastside- Multifamily property (duplex, triplex, quad) tends to get pretty expensive, with pretty low returns, in our region. I would encourage you to consider something with an ADU, Mother In Law, or just more bedrooms - 3-2's tend to have the worst cashflow and highest purchase prices as house hacks as they're the most common "family house", so you're competing against just about every owner or investor out there. Almost all of our properties are 5+ bedrooms, and I have trouble seeing much cash flow on anything with a lower bed-count unless you get a screaming deal on the purchase.

    Cheers and thank you for your service! Message me anytime if you'd like to grab a coffee and talk house-hacking after quarantine is over. I have a few custom deal calculators for house hacks that could be useful as well. 

    HouseHack Seattle | Michael Haas & Team572 Reviews
  • New to Real Estate · Seattle, WA · Member since 2018 · 12 posts · 3 votes
    6y

    Thank you guys for the warm welcome. I can't wait to get started!

    @Michael Haas Thank you! I will most definitely take you up on that offer once the stay-at-home order is lifted.

  • Real Estate Broker · Bothell, WA · Member since 2019 · 17 posts · 11 votes
    6y

    Hey Willie!

    The beautiful thing about real estate and this community is the huge amount of resources and information it provides for investors at any stage in their investing career. Taking action and networking is a great thing to be doing at the moment, keep up the momentum and by the time you're ready to buy, you will either know how or have the resources to find a great deal regardless of where the market is. The VA loan will also be a really great tool for you in your first purchase. Are you planning on sticking around Redmond? I lived on Novelty Hill for several years, it's a beautiful place but very expensive. We're looking for our first house hack as well so I'm hoping to see some deals surface in the next few months but the progress on the virus will be one of the major factors contributing to how accessible these deals become. I'd suggest stocking up on cash reserves as best you can and starting conversations with lenders and brokers such as myself in the meantime so when the opportunity arises you'll have everything set in place.

    If you need any help in your search let me know, I'd love to help out!

  • New to Real Estate · Seattle, WA · Member since 2018 · 12 posts · 3 votes
    6y

    @Zachary Schnautz That's the plan. I'm basically drinking from a fire hose at the moment lol but I am definitely learning and this community has been a big help. Luckily, I have some time before I would need to make a purchase and I'm sure I'll hit the ground running when that time comes. 

    To answer your question, I am considering areas south of Seattle since it's not as expensive as the areas on the Eastside and it'll allow me to maximize my benefit as well.  

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