All Forum Posts by: Amit Aggarwal

@Eric Rosiello thank you so much. I definitely agree that a multi family makes much more sense. I appreciate your offer of explaining PMI insurance to me. I will add & DM you!

@Jaysen Medhurst thank you so much for your advice. I went ahead and pulled out of the deal. Very happy I downloaded this app and was able to connect with you. Will be reading everything on this app to learn as much as possible before setting up another move.

@Brian LeBlanc - thank you for your message! I confirmed that the rent estimates are correct. I am going to find out if they include utitltiies. I just asked my realtor. Good point on it being harder to rent in the future. I thought that having a 2 car garage would entice renters as many of the multifamilties don't have garages. This would be especially useful in MA area when it snows. Would love to chat more. Please DM me and we can exchange numbers. 

@Jaysen Medhurst thank you so much for your response! I have confirmed that the new units in that complex all have been rented out for a miniumum of $1900 each. Some up to $2100. From people I have spoken with, a realistic is two weeks, maximum to be conservative is 30 days (which is in line with the 8% you put up.) I guess the main thing I am not accounting for is repairs and CAPex. The appliances are new and have warranties. Since it is new construction- I don't see any CAPex in the near future. Am I being naive? 

I will definitely have to look into home insurance. You might very well be correct. 

I am getting the partner in case something ever happens. A $1780 payment split two ways is only $890 per month each. The partner is in the deal for the same reasons I am- to minimize risk on the first investment property as we learn. My realtor has sent me rental comps showing units being rented out at $1900 and $2000. Nothing has gone lower than 1900 in those new townhomes that are finished and rented out. 

@Jaysen Medhurst

To just give you insight on my goals- 

My goal is to buy an asset that will pay for itself on a 15 year mortgage and 25% down. I am currently 27. A 15 year morgage on a property will mean I own it (well half of it) by 42 years old. I wanted to get a partner to split the risk on my first deal. The notion of shelling out 50-60k on 1 property seems overwhelming to me. I am much more comfortable learning the ropes and doing a deal with only 30k invested. I initially was looking at studio condos in Boston, however my realtor advised that this Worcester property would be a much better investment. I want properties that are low maintence and require little effort. I want to buy, hold, and rent out the properties on 15 year mortgage deals. When the houses are fully paid off, I will decide on selling or keeping for cash flow, which I would not have a mortgage on 15 years from now. I am heavily relying on my realtor on suggestions and he insisted that this was the best bang for my buck. I have not signed purchase and agreement yet.

Jaysen- Thank you so much for your response. Insurance is included in the HOA. I did not expect much in repairs and CapEx as it is a new construction property. Can you please clarify why you would not do this deal? I was hoping to break even on a 15 year mortgage. I also plan to self manage the property. Without accounting for vacancy and repairs, I am at $1780 monthly expense on a 15 year. If I can get it rented out at 1900-1950, is it a bad deal? Would greatly appreciate your input as I was scheduled to sign Purchase and Agreement tomorrow.

@Tom Wagner interested please let me know

I made an offer that was accepted on 407 Cambridge in Worcester. It is new construction. I got it for 250k. I have a partner who is investing with me. We are doing 25% down total on a 15 year mortgage. We both live out of state. This is my first property. I was told I can rent it out for $2000 by my realtor. He showed me other units that were completed in this complex that were rented out for $1950 and $2000. A 15 year mortgage with HOA & property taxes gets me to approximately $1780 monthly expense. I live in NJ and was not finding anything like this near me. Would greatly appreciate feedback!