All Forum Posts by: Austin Andrews

Knock on doors and call owners. Become friends with the big brokers and show them you are a serious buyer, and they will bring deals to you.

Absolutely you should! Start one up, and begin meeting other like minded individuals. When you see a rehab going on, head up and talk to them and let them know who you are and your interests. It will help no doubt!

I know there is Faster House buyers club that does a meetup in St. Peters, and a couple other groups use the MeetUp app.

Feel free to PM me if you'd like to connect, I live in St. Charles as well.

I would look up at Qualified Intermediary in your area and give them a call. 

You just need to factor in those repairs into your offer price. I purchased a 4-unit that was all original from the 60s. It needed four brand new: kitchens, baths, HVAC, furnaces, water heaters, paint, floor, etc etc. Literally everything had to be touched. 

I did the math, factored in the entire rehab, and offered my price based on that. If you are already under contract, get quotes to repair the major issues, and send an amendment for a price change or for credits concerning the repairs needed.

You can't look at rents alone. You need to analyze both properties and find out the cap rate, IRR, and cash on cash returns.

Sure, a single family will rent for more, but you pay more for  it. You have to look at the per unit price of the apartment to gauge the rent vs purchase price. I'd rather have a four family apartment where I paid 60k/door with $800 rents verse a 100k house with 1k rent. 

This was a golden deal, but I'm averaging about $600/month per door on my 4-family, for cashflow to be $2400/mo after debt service, taxes and insurance, and utilities. Obviously capex (everything is brand new minus the roof) needs to be accounted for, but other than that it is a cash flow monster

"I am looking to reinvest in the house to build passive income using the Brrr method."

You just answered your question. If you're looking to brrrr, then get it rented and buy another one!

Welcome to the site! You can find plenty of multi-family properties in Dogtown for sale, and an FHA would be your best bet for starting out with minimal capital. Reach out to a couple lenders and start building relationships. As far as your question of 1 or 2 properties, it all depends on the properties and how they fit into your goals.

Feel free to message me if you have any questions!

Use your current properties and 1031 into a bigger unit. Continue to buy rentals that have the potential for some solid equity, and continue to 1031 until you've reached your goal of 100 units.