New in Pensacola FL and Eager to Start Investing

New in Pensacola FL and Eager to Start Investing

Rental Property Investor · Pensacola, FL · Member since 2020 · 2 posts · 2 votes

Hey all!

I'm fresh out of college and just got down to beautiful Pensacola to start training with the Navy. I've always loved the idea of REI but always figured it was either too difficult to compete or only for the rich. Have had a lot of time on my hands lately and have been using that to absolutely soak up as much information as possible through books, podcasts, and the BP forum. My mentality has completely changed and I can't wait to make my first purchase and begin the real estate journey.

I'm already grateful that I've come across this forum and all this information at a relatively young age and I'm ready to jump in and start learning from hands-on mistakes. I can't wait to get to know you guys and maybe start connecting with locals in Pensacola and doing meet-ups once things start opening back up. 

Right now I'm definitely most interested in House Hacking but unfortunately it looks like there's not many Multi-Families to chose from (at least on Realtor, Zillow, Trulia) here in Pensacola. It's looking like I might have to instead resort to a SFH and rent out the other rooms for the time being. I'd say my next step is to start getting in contact with local wholesalers or realtors to see if the MLS has any available that I don't have access to or to try some off-market lead acquiring techniques. Either way just trying to analyze as many deals as possible to get in the practice for when a good one hits.

Look forward to hearing from you guys!

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Rental Property Investor · Mobile, AL · Member since 2018 · 121 posts · 136 votes
6y

@Josh Hitt

Hey Josh! Welcome to BP & to the beginning of your investing journey into financial freedom.

House Hacking for your first deal is a great idea, and is the exact route I decided to take.

I’m just 45 minutes West of you, in Mobile, AL. I’m not super familiar with the Pensacola market, but I would definitely recommend P.I.G. (Professional Investors Guild) 

Begin networking with like-minded individuals and try to avoid a lot of those costly mistakes on the front end. Trust me, it’ll be worth it to wait and learn those.

If there’s anyway you could find a mentor or someone you could work for, that’s doing what you want to do, and is where you want to be in life, then it would seriously catapult your success exponentially. 

I’m a multifamily syndicator & if you ever have any desire to learn about syndications or, one day, passively invest in one, you’re welcome to check out our website where you can find TONS of different resources, including a podcast, all about how to invest in one, what they are, typical returns, market analytics, COVID-19 and its affect to real estate, how to vet a syndicator, etc. 

Whatever you do, be vigilant, be persistent, & be consistent. Best of luck to you in your investing journey! 

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

    Welcome to BiggerPockets Josh and good luck investing!

  • Rental Property Investor · Savannah, GA · Member since 2018 · 174 posts · 129 votes
    6y

    Hey @Josh Hitt, welcome to the forums and good to hear you're looking into your first purchase! A lot of flight students do the house-hacking method with a SFR, that's what I'm currently doing (Yeah, few quality multi's down here). That being said, in hindsight, I might have waiting, learned more, and then made my first purchase. Gotten more creative with my purchase, purchased a fixer-upper to livenflip and house hack. Flip to myself through a VA cash out refi (they don't do 100% after corona happened, but still doing 90% LTV on those).

    Definitely look into and join the Professional Investors Guild (PIG) group here in Pensacola. It’s awesome, 1 meeting per month, and you’ll get to interact with investors of all levels, see more deals, etc. They’re currently doing a monthly webinar instead of in person meeting, but still worth it to join if you plan on purchasing here in Pensacola.

    Best of luck!

  • Rental Property Investor · Mobile, AL · Member since 2018 · 121 posts · 136 votes
    6y

    @Josh Hitt

    Hey Josh! Welcome to BP & to the beginning of your investing journey into financial freedom.

    House Hacking for your first deal is a great idea, and is the exact route I decided to take.

    I’m just 45 minutes West of you, in Mobile, AL. I’m not super familiar with the Pensacola market, but I would definitely recommend P.I.G. (Professional Investors Guild) 

    Begin networking with like-minded individuals and try to avoid a lot of those costly mistakes on the front end. Trust me, it’ll be worth it to wait and learn those.

    If there’s anyway you could find a mentor or someone you could work for, that’s doing what you want to do, and is where you want to be in life, then it would seriously catapult your success exponentially. 

    I’m a multifamily syndicator & if you ever have any desire to learn about syndications or, one day, passively invest in one, you’re welcome to check out our website where you can find TONS of different resources, including a podcast, all about how to invest in one, what they are, typical returns, market analytics, COVID-19 and its affect to real estate, how to vet a syndicator, etc. 

    Whatever you do, be vigilant, be persistent, & be consistent. Best of luck to you in your investing journey! 

  • Real Estate Agent · Pensacola, FL · Member since 2014 · 379 posts · 307 votes
    6y

    @Josh Hitt

    Welcome Josh!  House hacking is a excellent way to start your investing career and works well in Pensacola.  We don’t have a ton of multifamily inventory but we do have some and multifamily is my specialty.  I have helped military buyers locally buy both multifamily and single family houses to house hack and, if it would help, can connect you with some of those guys and girls to answer questions about what it’s like first hand.  I agree with @Joshua Ferrari that it’s worth getting involved with PIG(Pensacola Investors Guild) when things settle down and they open back up.  

  • Rental Property Investor · Pensacola, FL · Member since 2020 · 2 posts · 2 votes
    6y

    @Dylan H. 

    I've noticed quite a few people mentioning joining the Professional Investors Guild and it's definitely something I'll look more into. Still trying to learn as much as possible and in no real rush to buy immediately so I understand where you're coming from. I'm curious to find out a little more specifically about the regrets you have in going that route.  

    @Joshua Ferrari

    Thanks for the heads-up, checking out your website now. Syndicates seem like an interesting path that I'll have to look more into. 

    @Matt Jones

    Sent you a PM!

  • Rental Property Investor · Savannah, GA · Member since 2018 · 174 posts · 129 votes
    6y

    @Josh Hitt

    Not really regrets, just missed opportunities in a way. Bought at full market value, 100% leveraged (VA) = harder to cashflow, no forced or immediate equity through value-add/rehab. I still live extremely cheaply, basically entire PITI is covered by roommate, but by livenflipping I could have created some solid equity, gotten a better deal, etc. Also as a livenflipper/BRRRR you can afford to pay more than flippers, therefore more competitive offers. There are some hurdles there as well, like whether it'll qualify for VA off the bat, or if you need to purchase cash/hard money and then refi out of that. There's the 203k loan or the VA Rehab loan, although I've heard they're an absolute pain, that's where you create the extra value.

    All depends on your goals and risk tolerance.

  • Matthew PorcaroBusiness Member
    Lender · Long Island, NY · Member since 2016 · 456 posts · 336 votes
    6y
    Originally posted by @Dylan H.:

    @Josh Hitt

    Not really regrets, just missed opportunities in a way. Bought at full market value, 100% leveraged (VA) = harder to cashflow, no forced or immediate equity through value-add/rehab. I still live extremely cheaply, basically entire PITI is covered by roommate, but by livenflipping I could have created some solid equity, gotten a better deal, etc. Also as a livenflipper/BRRRR you can afford to pay more than flippers, therefore more competitive offers. There are some hurdles there as well, like whether it'll qualify for VA off the bat, or if you need to purchase cash/hard money and then refi out of that. There's the 203k loan or the VA Rehab loan, although I've heard they're an absolute pain, that's where you create the extra value.

    All depends on your goals and risk tolerance.

    If renovation loans were easy, then everyone would do them, and they wouldn't be as awesome to build equity as they are =)

    Truth is, they aren't terrible if you have the right team behind you. With a lender, hud consultant, and experienced contractor, renovation loan projects can practically run themselves. An even if they don't, utilizing such a low down payment amount almost guarantees instant equity if you run your numbers conservatively, and like a flipper or investor.

    It's absolutely worth looking into a live-in flip for your first deal. It's what catapulted my investing career after trying all kinds of creative financing strategies and wholesaling strategies, and failing at them, for 3 years. 

    The 203k Way
  • Rental Property Investor · Gulf Breeze, FL · Member since 2014 · 1k+ posts · 733 votes
    6y

    @Josh Hitt welcome to BP. You should definitely connect with Matt Robinson and his PIG group in Pensacola. 

  • Investor · Semmes, AL · Member since 2017 · 17 posts · 7 votes
    6y

    Hi Josh

    Good luck in your soon to be adventures, some are good and some not so good.

    I like single lots for RV / Campers.  The investment is relatively low and the return on your money is great.  With all the beach resorts to the east of you should have a lot options.  The lot need not be on the beach, maybe a few streets back.  My targeted tenants are snowbirds and summer rentals.  You have no buildings to maintain.  You need power, sewage, water hopefully all available with  out having to drill a well or install a septic.  Cover the entire lot with pretty little white rocks.  In that area you should get about $500 month per spot, hopefully 2 per 1/2 ace lot.  Check your codes and by all means joint the PIG as suggested.  If set up properly you can do this all remotely and not have hardly any over head.

    Bill

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