I need help on planning my next step on a turn key rental.
I need help on a certain scenario I am in. I am currently in my due diligence period on a single family property in Jacksonville NC. Basically I don't know what I have regarding to the BRRRR strategy. I am looking at a single unit in a duplex for $58,000 that was just appraised at $58,000. It looks beautiful cosmetically but has some underlying issues that the seller has agreed to fix. I am using a VA loan with no money down. It being a VA loan I have a buddy (roommate) that will pay $700 a month to rent out his room. (VA loan requires this be my primary residence until I move, refi, etc.) My mortgage, property tax and insurance are running $450 a month. (I have all the details on the Bigger Pockets calculator) with all my Cap ex, vacany, and such accounted for. It only cash flows at $25 a month. I'm new to this but my REA recommends treating the property as my own home until I get out of the military in a year or so, at which I can rent it out without having to worry about VA loan stipulations. How do I force equity out of this home to refinance and use to aqquire another rental property? Is there even any equity in this home? I apologize for any confusion, I'm new to this and feel a little bit over my head. I knew I needed to start somewhere.