All Forum Posts by: Arpan Patel

Have you first tried running the numbers in your area using the rental calc on BP? That is a good start. I'd probably start with the bank if possible as they will be some of the cheapest money you can borrow.

You can always also ask your title company. They may be able to get you a report for that.

Probably find property that have closed, then cross that with the public record for which ones have a mortgage and the ones that don't cross are your cash deals. It's all public record.

Yea, why not try the BRRRR strategy? Then keep rotating it over and over again. That is what we do and we feel it is the most efficient use of capital. You may need to eventually take on a credit partner but you can cross that bridge when you get there.

@Erich Beyer: What do you mean by a non recourse line of credit from a bank? Didn't know they had that available

Maybe the age of certain large ticket items (roof, plumbing, water heater, furnace, etc.)? Making sure there have been no floods in the basement. Not too many outside the norm really - rent. comps, market conditions, schools, what matters to buyer and renters in the area (contractors will give you cost estimates). Things like that mostly.

I'd forget the notion of the market altogether in this sense. If the property is cash flowing, let it continue to cash flow. Rents were still good before during and after the crash. There have been crashes where the rents were affected but generally rent numbers are harder to move then ARV because those are very sensitive numbers. The impact of 100 dollars a month can make or break an investment but the difference of 10k for an fha loan is only about 50 dollars per month. Plus, people pay actively rent versus they own passively equity. lastly, the pool of people those two numbers matters to differs. A new home buyer will live there for decades versus a more transient renter population. A bit of tangent but ultimately, as long as it cash flows today, the rental market is generally more robust so I would worry less about the market overall so long as rent is still coming in. If you play the speculative game (as we do as well with flips) then market conditions are more of a factor.

All of the above. It is good to meet people face to face but you also have BP here. Maybe start your own in your town? That could be cool!!

Yea why not? Just understand the risk of exposing your home but people do that all the time. Nothing wrong with that strategy at all!!

I would avoid HM at all costs in the beginning. It is not very forgiving - hence the namesake. Maybe find a partner and you are the operations and they are the finance. That way both of you are bringing value to the table.