Real Estate Investor · San Francisco, CA · Member since 2016 · 62 posts · 13 votes
My wife and I have been wanting to move to Davidson or Hunstersville, NC (north of Charlotte). We have some cash and are considering buying a property off a wholesaler and house hacking it as our first property. Putting all our stuff in the garage while we spend the next couple years doing this to avoid capital gains.
We're both from California and most familiar with those markets and homes. We don't yet know the Charlotte market but are trusting a friend that does.
We're looking at either a 3/2 or duplex if we can find one.
My question is when looking at investment properties in these areas, are there certain things to watch out that will most affect our investment? Building materials, year built, codes, zoning or regulations? Flood zones, etc.
What things come to mind on your checklist when buying properties in these areas?
Also trying to understand the scope of what repairs we should take on as our first flip. We don't yet have kids and my wife is ambitious and doesn't work much, so we have that going for us.
Charlotte, NC · Member since 2014 · 101 posts · 40 votes
10y
There are so many things to look for. The question is beyond the scope of a forum post. There are professionals who have spent years picking up a lot of little things through formal training and learning by experience. Try to link up with a real estate agent who is an investor himself and well rounded in his knowledge base. If you ask how much something costs to repair and he/she can't give you a ballpark number they either don't know or aren't confident enough to give you an answer.
First things that come to mind that people may not think of: - Crawlspace or Slab Foundation - Crawlspace makes it easier to relocate utilities and do structural repair if necessary now or in the future. - Cost of work required based on current market rates (for example right now electrical work is very expensive in Charlotte metro compared to historical norms) - Are any code issues with the City of Charlotte or LUESA? City of Charlotte code enforcement inspects for minimum housing standards, LUESA inspects for adherence to NC state building code. - Building materials - type of pipe, type of electric wire, type of shingle and type of roof sheathing underneath the shingles, sheetrock or plaster walls. Some things matter more than others.
A lot has to do with judgment that comes from experience. Link up with an experienced real estate investor and an experience real estate broker.
One flipping the work gets much harder for each different trade you add. If you have a house that needs a lot of work by one or two trades (electrical, plumbing, HVAC, Flooring Installer,etc.) it might be an easier flip that finding a house that needs less work but by more trades.
Flipper/Rehabber · Charlotte, NC · Member since 2016 · 112 posts · 66 votes
10y
Hmm, so you are familiar with the business but not the market? or are you new to the business? Regardless, I think if you are looking for a house to move into as an investment then i would rent for 6 months to a year to find the right house. Whatever you spend/waste on rent will be more than made up from taking your time and finding the right house / area etc.