Investor · Raleigh, NC · Member since 2015 · 189 posts · 102 votes
Hi all,
I am planning on making my first home purchase (either a SFH or multi-Unit) within the next 6 months. I plan on owner occupying this house for about a year, until I've saved enough to purchase another property and hopefully turn it into a rental unit.
Basically, I am interested in making my first real estate investment, and was hoping someone could recommend an investment-friendly agent that is familiar with guiding buyers in my particular situation/mindset. My budget is ~ 100K or less for a SFH, and ~ 160K or less for a multi-unit.
Thanks in Advance!
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Investor · Vista, CA · Member since 2015 · 163 posts · 58 votes
11y
Keith Nelson sounds like a good plan. Unfortunately I can't offer any suggestions for an agent but will say finding an investor-friendly or knowledgable agent can be a little challenging, especially in the SFH and especially when housing market is rising, as it is now. I just ask myself, if I'm an agent would I rather work with an investor who's looking for a discounted property with a business plan/mindset or the happy couple that can fall in love with a property and make an emotional decision?
With you seeking an OO property to start, you can get in for very little down (3.5%) so your exposure is a lot less - do you need an investor-agent? Maybe just a regular old agent will work for your plan. And getting residential agents to understand NOI/cap rates/50% rule etc for 2-4 units is tough too. I've found myself doing quick calcs on income statements from agents with MFHs and where they're saying 20% returns, I'm seeing barely a 1.0 DSCR.
Just some things to consider but best of luck!
@Keith N. I'd be happy to talk more about what you looking for. Your SF plan is exactly how I house-hacked into my first rental property too. Now I have five. :)