All Forum Posts by: Andreas Galliker
Andreas Galliker has started 5 posts and replied 12 times.
Post: FHA Loans for married couple with different last names
- Houston, TX
- Posts 13
- Votes 8
@Stephanie Medellin That's probably what it is. Thanks for your comment.
Post: FHA Loans for married couple with different last names
- Houston, TX
- Posts 13
- Votes 8
Hi there,
I've heard in the past that if you are married but your spouse doesn't have the same last name you could actually get up to 10 FHA loans (5 each). However, there is also a lot of commentary out there that states that you can only have one FHA loan at a time. If you refinance that FHA loan into a conventional mortgage you could then get a new FHA loan on a different property. What is the actual rule? Can you have multiple FHA loans (if so how many)? Have these rules changed recently? Appreciate any comments/advice.
Andreas
@Michael Streich would you say it is easier to find small multifamily houses outside of 610 but still within beltway 8? I'd probably would want to stay on the west side of Houston. Your thoughts?
Hi guys,
I am very interesting in getting started with my real estate business in Houston. I am envisioning a BRRRR Strategy with multiplex (2 - 4 units) in the Houston area (preferably inside the 610 loop). At this point, I am trying to build up my network - so I am looking for an agent in the Houston area that is willing to work virtually with me (as I travel a lot). I am also looking for a attorney and tax specialist that are very familiar in the real estate industry. Any suggestions of people you've worked with in the Houston area would be very much appreciated. Thanks,
-AG
Post: Annualized Total Return on Rental Property Calculator
- Houston, TX
- Posts 13
- Votes 8
Does anybody have an answer to this?
Andreas
Post: Annualized Total Return on Rental Property Calculator
- Houston, TX
- Posts 13
- Votes 8
See table below to refer to the delta between the two formulas. As you can see in later years we are talking about a delta from 2x all the way to over 3x difference.
And these numbers include everything from vacancy rates to all the costs, to the sale fees in a potential sale scenario.
Anybody have some inputs?
Thanks,
Andreas
PS: This is not an actual project I am pursuing - just a test object.
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 | Year 11 | Year 12 | Year 13 | Year 14 | Year 15 | Year 16 | Year 17 | Year 18 | Year 19 | Year 20 | Year 21 | Year 22 | Year 23 | Year 24 | Year 25 | Year 26 | Year 27 | Year 28 | Year 29 | Year 30 | |
| Total Annual Income: | $28,800 | $29,088 | $29,379 | $29,673 | $29,969 | $30,269 | $30,572 | $30,877 | $31,186 | $31,498 | $31,813 | $32,131 | $32,453 | $32,777 | $33,105 | $33,436 | $33,770 | $34,108 | $34,449 | $34,794 | $35,141 | $35,493 | $35,848 | $36,206 | $36,568 | $36,934 | $37,303 | $37,676 | $38,053 | $38,434 |
| Operating Expenses: | $15,072 | $15,223 | $15,375 | $15,529 | $15,684 | $15,841 | $15,999 | $16,159 | $16,321 | $16,484 | $16,649 | $16,815 | $16,984 | $17,153 | $17,325 | $17,498 | $17,673 | $17,850 | $18,028 | $18,209 | $18,391 | $18,575 | $18,760 | $18,948 | $19,137 | $19,329 | $19,522 | $19,717 | $19,914 | $20,114 |
| Mortgage Payment: | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 | $16,443 |
| Total Annual Expenses: | $31,515 | $31,665 | $31,817 | $31,971 | $32,126 | $32,283 | $32,442 | $32,602 | $32,763 | $32,927 | $33,091 | $33,258 | $33,426 | $33,596 | $33,767 | $33,941 | $34,116 | $34,292 | $34,471 | $34,651 | $34,833 | $35,017 | $35,203 | $35,390 | $35,580 | $35,771 | $35,965 | $36,160 | $36,357 | $36,556 |
| Total Annual Cashflow: | $(2,715) | $(2,577) | $(2,439) | $(2,299) | $(2,157) | $(2,014) | $(1,870) | $(1,724) | $(1,577) | $(1,428) | $(1,278) | $(1,127) | $(973) | $(819) | $(663) | $(505) | $(345) | $(184) | $(22) | $142 | $308 | $476 | $645 | $816 | $988 | $1,163 | $1,339 | $1,517 | $1,696 | $1,878 |
| Cash on Cash ROI: | -6.56% | -6.23% | -5.90% | -5.56% | -5.22% | -4.87% | -4.52% | -4.17% | -3.81% | -3.45% | -3.09% | -2.72% | -2.35% | -1.98% | -1.60% | -1.22% | -0.84% | -0.45% | -0.05% | 0.34% | 0.75% | 1.15% | 1.56% | 1.97% | 2.39% | 2.81% | 3.24% | 3.67% | 4.10% | 4.54% |
| Property Value: | $346,800 | $353,736 | $360,811 | $368,027 | $375,387 | $382,895 | $390,553 | $398,364 | $406,331 | $414,458 | $422,747 | $431,202 | $439,826 | $448,623 | $457,595 | $466,747 | $476,082 | $485,604 | $495,316 | $505,222 | $515,327 | $525,633 | $536,146 | $546,869 | $557,806 | $568,962 | $580,341 | $591,948 | $603,787 | $615,863 |
| Loan Balance: | $284,338 | $278,970 | $273,387 | $267,581 | $261,542 | $255,262 | $248,730 | $241,938 | $234,874 | $227,527 | $219,886 | $211,940 | $203,675 | $195,081 | $186,142 | $176,846 | $167,178 | $157,123 | $146,666 | $135,791 | $124,481 | $112,718 | $100,485 | $87,763 | $74,532 | $60,771 | $46,460 | $31,577 | $16,098 | $0 |
| Equity Value: | $62,462 | $74,766 | $87,424 | $100,446 | $113,846 | $127,633 | $141,823 | $156,426 | $171,458 | $186,931 | $202,861 | $219,263 | $236,151 | $253,542 | $271,453 | $289,901 | $308,904 | $328,481 | $348,650 | $369,431 | $390,846 | $412,915 | $435,660 | $459,106 | $483,274 | $508,191 | $533,881 | $560,372 | $587,689 | $615,863 |
| Total Profit if Sold: | $(12,815) | $(3,712) | $5,871 | $15,945 | $26,525 | $37,623 | $49,253 | $61,429 | $74,167 | $87,480 | $101,386 | $115,900 | $131,038 | $146,819 | $163,260 | $180,380 | $198,197 | $216,732 | $236,006 | $256,038 | $276,851 | $298,469 | $320,913 | $344,209 | $368,382 | $393,457 | $419,462 | $446,424 | $474,373 | $503,337 |
| Annualized Total Return (Standard Formula): | -30.99% | -4.59% | 4.52% | 8.50% | 10.42% | 11.39% | 11.86% | 12.05% | 12.09% | 12.04% | 11.92% | 11.77% | 11.61% | 11.43% | 11.25% | 11.07% | 10.89% | 10.71% | 10.54% | 10.37% | 10.20% | 10.05% | 9.90% | 9.75% | 9.61% | 9.47% | 9.34% | 9.21% | 9.09% | 8.97% |
| Annualized Total Return (BP Rental Calculator Formula): | -30.99% | -4.49% | 4.73% | 9.64% | 12.83% | 15.16% | 17.02% | 18.57% | 19.93% | 21.16% | 22.29% | 23.36% | 24.38% | 25.36% | 26.32% | 27.26% | 28.20% | 29.12% | 30.04% | 30.96% | 31.88% | 32.81% | 33.74% | 34.68% | 35.64% | 36.60% | 37.57% | 38.56% | 39.56% | 40.58% |
Post: Annualized Total Return on Rental Property Calculator
- Houston, TX
- Posts 13
- Votes 8
Would anybody be able to provide some insight into my question above?
Any help is appreciated.
Thanks,
Andreas
Post: Annualized Total Return on Rental Property Calculator
- Houston, TX
- Posts 13
- Votes 8
I need some clarification regarding the "Annualized Total Return" number that is calculated in the Rental Property Calculator as follows:
Formula used: ((Ending Value / Beginning Value) -1) / Years;
However, in my 10 years of experience in finance and investments plus during my formal education (MS in Finance) I have always learned that the annualized return formula looks as follows:
((Ending Value / Beginning Value) ^ (1/Years)) - 1
In earlier years the delta between the two formulas is somewhat negligible; However, in later years (approx. after five years); the delta is getting quite substantial.
So can somebody please explain why we use the first formula (above) instead of the widely acceptable second formula? Is this something specific to real estate?
Thanks,
Andreas
Post: Looking for Reliable Real Estate Agent in San Antonio, TX
- Houston, TX
- Posts 13
- Votes 8
I am looking to buy some rental properties in the San Antonio area and are looking for a reliable real estate agent to work with.
Any suggestions are highly appreciated.
Thanks,
Andreas
Post: New member from Texas
- Houston, TX
- Posts 13
- Votes 8
@Brian Phelt thanks for the offer. I'll def. be taking advantage of it if I have any questions. Maybe at some point we can grab a coffee and chat about the ins-and-outs?