All Forum Posts by: Andrew Postell

@Danny Sanchez most downpayment assistance programs won't provide assistance on a 2-4 unit property.  The thing I would encourage you to do here is to speak with your realtor about what lenders offer DPA or First Time Homebuyer grants.  And then interview those lenders on what programs are even available in your market for 2-4 unit properties.  There might not be any.  But reach out locally and see if there's any option at all.

@Braden Jackson thanks for the post. Always great to hear from a fellow Texan. TONS of people house hack in our market. Some will do it with a 2-4 unit property, some will do it with a SFH with an ADU, and some will just rent out the rooms. Lots of different ways to skin it.

Most of the time when we look to buy real estate we are trying to come out of pocket as little as possible....so then we can go buy MORE real estate!  But your downpayment is up to you.  And a good lender can show you what your costs and monthly payments would be in different scenarios.  Usually seeing some of the math will help with the decision.  If you want to run through any scenarios feel free to reach out.  Thanks!

@Ryan Beesley if the properties are rented this shouldn't be that big of an issue. Expect 80% LTV on the loans but plenty of lenders should be able to do this.

@David Capote ah, if it's commercial then you likely won't be able to find this.  There are some lenders that will do a 30 year fixed up to 20 units...but over that, you will be out of luck.  This forum is for mostly residential questions...try posting in the commercial forum to see if anybody has any ideas.  It might be possible to find a 25 year loan...but those will still have a 5 year adjustable/renew clause as well.  But try there and see what others say.

@Deane Leonard investing out of state, first time investing, long distance rehab...there's a lot going on here.  Are you meeting with any other investors in your area to see how they are doing this?

@Thomas Key this should probably be a discussion that you have with your lender.  If their loan has requirements for the property type of thing or if they even have renovation loans (if that's even needed).  I would recommend speaking with your lender on this topic to know the answers here.

@Eric Forsberg the question you are asking is the question we all ask, which is why some of these alternative/advanced techniques exist. Like the BRRRR Method? We use that so we can come out of pocket less when acquiring properties. You can certainly wholesale or flip to create cash, but the question will still exist - how do I purchase more with less? And that's usually in the technique that we use. Hope some of that makes sense.

@Duarte Marques I love my section 8 rentals.  The thing that takes most people by surprise is how few section 8 tenants there are out there.  Just keep your rental property open to ALL types of renters and that will help.  Section 8 is a shrinking program in most markets.  The few vouchers that actually exist very rarely move and while the idea of collecting more rent than the regular market would provide is of course intriguing it just doesn't work that way.  Certainly purchase and keep your property open to it but I would certainly encourage you to run numbers based on the standard rent method.

Hope all of that makes sense.

@Jack Carrozzi yeah, these questions need to be answered by your lender specifically.  Some downpayment programs have different requirements than others.  If your lender offers the program they should be certified or trained in some way on the program and can answer any questions you have on it.

@Kenneth Fernandez the comments above are right on.  You can certainly make money on just about any property but the ability to finance frame built homes makes them significantly easier for us to work.  That's why we focus on them so much - even in Texas.