Rental Property Investor · Renton, WA · Member since 2021 · 32 posts · 18 votes
Aloha,
I currently live in Renton and would like to house hack. Ideally, I would like to stay in Renton or the neighboring cities. But, since I started working from home, I would not be opposed to cities south of Renton. Anyway – I have still have a lot of gaps to fill and any advice would be greatly appreciated.
Realtor · Bellevue, WA · Member since 2019 · 882 posts · 1k+ votes
5y
@Jackson Poscablo, hosue hack is one of the best ways to get your feet wet in Real Estate investing. For many of my clients, I get them something with Unfinished/partially finished basement, or a detached Accessory Dwell Unit
Investor · Jacksonville, NC · Member since 2018 · 193 posts · 107 votes
5y
House hacking a great way to start and get into the "game". Looking within your market to find the right house that would work for you financially, but would also have potential to rent, whether fit be a multi unit (2-4) or just a single family with an extra bedroom or in-law suite.
You can then use an owner occupied loan for low money down and get yourself a tenant/roommate so it is income producing!
Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
5y
First thing I would do as others in here have stated is figure out "WHY" you are doing this. Once you know that and you know your end goal then you work backwards. The goal has to have a finite destination and time limit on it. For example you may say your goal is 20 houses in 20 years (paid off) earning $20,000 per month.. (20,20,20 goal). Now you know where you're going and the timeframe for this to happen. From here you can build out your strategy, for example here you would want to have the 20 properties purchased the first 10 years so that they can use the final 10 years to pay themselves off. This means that you have to buy 2 properties per year which means you have to close on a property every 6 months which means that you have to find a property in 3 months to have it on the market and rented the following 3 months. And the properties need to have a final cashflow of $1,000 per month after all expenses are paid. This will dictate where you purchase and look for properties based on that number alone. My point is that you always start with the end in mind and work it backwards, this creates the strategy (Buy and hold, flip, Wholesale, Notes) which will be driven by the tactic (SFR, MFR, Mobile homes, Short term rental etc) I always coach people and explain that the property is actually the last piece of the puzzle not the first.
Realtor · Bellevue, WA · Member since 2019 · 882 posts · 1k+ votes
5y
@Jackson Poscablo, hosue hack is one of the best ways to get your feet wet in Real Estate investing. For many of my clients, I get them something with Unfinished/partially finished basement, or a detached Accessory Dwell Unit
Rental Property Investor · Renton, WA · Member since 2021 · 32 posts · 18 votes
5y
@Chris Tarpey & @Sherief Elbassuoni
I have been so focused on multi family (2-4) homes that I have not considered homes with an ADU/in-law units until now. It makes sense and opens up my choices. Regarding the basements - is there any particular reason why an unfinished/partially finished basement would be ideal? Is it common for investors to convert basements into an ADU or additional rooms?
I like the ideal of working in reverse and establishing a “why”. On high level my “why” is to achieve financial independence. My goal isn’t to become a millionaire (although, it would be nice if I get there) but rather to achieve FI and have the ability to spend my time as I please, like with my friends and family.
Also, being a greenhorn might limit my foresight but having 20 properties seems ambitious. Is it typical for people, that you coach, to have that amount properties? Also, have you coached anyone who is working a full-time job while investing in real estate part time? Do any of those full-time workers have 20 or more properties?
Honestly I don’t think it matters if you have a job for you don’t
I am flipped at wholesale hundreds of houses I owned a property management company that I built from 0 to 1000 properties and sold the business. And I am a full-time airline pilot. it can be done the question is what is your priority and what are you willing to give up to get it
Also what are your being coached almost here in the bigger pockets learning on the forms either way you can do it, I think it’s just the speed at which you want to happen is the difference