All Forum Posts by: Andra Tom

Ya the fha loan was an issue in a couple of ways. Breaking even was with all three paying full rent. It would’ve cash flowed a little under $100 per door after expenses  at $410 with 40 down. And then would’ve gotten better obviously over time. But it didn’t work out this time. I’ll just keep trying. 
thanks for the responses. I appreciate your feedback. 

My REA said I’d need to be at 425 plus appraisal guarantee. I hope I don’t regret passing on that. 

I found a tri plex mls 775184.  3 separate houses 2/1 752 sq/ft. I’d say B-C properties. Rents are 850, 1095 & 1095 although my plan is to live in one for a year. Comps are 370-400k. I’m approved fha at 3%. They have multiple offers and I need to do a best offer by 5 pm. My agent said his investor friend is offering over 400 and that the inspection for the fha is not great for getting an offer from me accepted. 
the seller also has an accepted offer on another property and has to close by the end of April for a 1031 exchange. 
Im in Oregon, 50 miles south of Portland. 
Prop man/water/landscaping= 450 mo. 
I want to do a best offer but I think I’d have to manage it and do the yard work just to break even. 
Any thoughts on this would be greatly appreciated. 

@Cassi Justiz thank you for the reply.

I don't have any plans to move back into it. I keep hearing about the BRRR method for example but not a lot of details about how the refi changes the numbers.

I have a 1940 single family house that I’ve been using as a short term rental.

I have about $140k in equity. I’m stuck about whether I should keep it as a long term rental and do a cash out refi to access the equity in order to get another property (preferably a multi family) or if it’s better to just sell it.

The mortgage/taxes/insurance per mo = $1225

If I hold 5% each for vacancy, repair and capX plus 10% for PM, then I’m up to around $1534 per mo.

Conservatively I can rent it for $1600+

I’m ok with managing it myself for now but want to account for the PM cost because I don’t want to have to do forever.

If I do a cash out refinance then my mortgage cost goes up and I’m for sure not cash flowing.

I would be around $260,000 on the new loan.

Do you think it would be better to just sell it?

I have a 1940 4+ bedroom house in Dallas, Oregon that I am not sure what to do with. I recently left my job and am trying to start my own short term rental services business but it’s slow going. So money is tight. My long term goal is to have my own properties either as STR or LTR. My options with the house are 1. Sell it - I have about $100000 in equity. But with no job I would have a hard time buying something else. 2. Rent it as a long term rental as is - I could probably rent it for around $1500, the mortgage, taxes & insurance are $1225 with 15% for vacancy, capx and repairs, I would break even. 3. It was a duplex at one time with the top floor being an apartment. I could turn it back into a duplex. That would involve putting all of the rehab costs on credit cards. I would have to put the kitchen back in upstairs leaving it as a 2 bedroom 1 1/2 bath apartment. The downstairs if left as is would have 1 bedroom 1 bath on the main floor and a full basement with a noconforming 1 bed 1 bath because the ceilings are not quite high enough. I can move the kitchen into the large living room to create 2 regular bedrooms on the main floor (another option). I could get $950-1050 for the upstairs and $1200-$1300 for the main floor. But I would have a lot to pay back on credit cards. I’m stuck in analysis paralysis. I apologize for the long post but any advice would be appreciated 😊🙏