All Forum Posts by: Austin Bright

@Rob Lee Looking to buy a duplex around late fall in the mid-cities.

Looking for 200-225K and would be financed with an FHA loan

Thanks!

I am going to be getting into REI in the fall with a house hack. That said, I would like to think ahead and begin to think about how to build a brand. That said, I think my lack of experience makes this hard.

I know I would that I am generally interested in pursuing:

1) acquiring small multifamily properties, eventually moving into smaller apartments

2) I would like them to be in C (maybe lower B) class neighborhoods, due to the fact I lack substantial cash. I would need to finance these properties with a combination of FHA and Hard money loans (employing a BRRR)

3) I would like to start with 1 property a year, eventually moving up to 2-3

Two questions: Where do I go from here? And how can I begin to think about building an effective deal funnel to match above? Effective for me means automated, given that I work late nights. Is there any resources someone can point me to so I can build these automated tools? I am not super techy, but am willing to learn.

@Taylor L. What are some things I can do to get out of a financing logjam? Let me explain.

My plan is to do a duplex house hack for my first house. But given market rents, I would most likely only be able to make money on a duplex $215K or less (in Dallas/Fort-Worth). I think the average duplex starts around 350K, so this is a hard deal to find (assuming I want to live in a safe area). 

I only have enough cash for a 3.5% down payment. Is it feasible to get more for a down payment from a partner/private lender. I feel it'd be hard to convince someone to lend me money, when I have no experience. Are there other ways to get access to a larger down payment so I can decrease the mortgage obligation?

As far as a website/branding, I'll definitely check into it. Does it make sense to do so at this time, if I haven't even bought one property?

Thanks!

Austin

Hi

I am looking to get starting with real estate investing later in the fall. I am trying to figure out the best way to use my time working from home. I listen to podcasts, read a lot of books, and network (before quarantine). What are things I can do besides these -- more in the realm of business planning?

Thanks

@Paul B. Does the Irving group have a name? How can I look them up?

@Joseph Cacciapaglia Thanks!

Hi all, 

I'd like to hear from all REI's -- what's the plan to invest during a recessions? Looking for a buy/hold, flipper, and wholesale perspectives

Finding Deals -- What is even considered a "good deal" during a recession? What do you look for (cash flow vs appreciation) IF appreciation, is it best to wait and try to buy at the bottom?

Financing -- Can I get a POV from a mortgage lender and hard money lender?

Managing -- Finding tenants, vetting them?

What are other considerations I didn't mention?

@Andrew Postell 175 for SFH? Multi family?

@Neil Narayan I guess my point in doing this is because I don't have a ton of cash on hand to fund my first deal. So, in order to make the operation more efficient (ie get out of the PMI) and also have enough equity to look at a HELOC/other financing options, I would like to speed up amortization allowing me to get out of the FHA as soon as possible and reduce my overall debt load and monthly payment.

Just researching loans, I can find ones that are 0% APR for 21-24 Months. If I borrowed 30K and could put 1667ish towards it per month and pay it back in 18 months which would give me 3-6 months of vacancy. Of the 1667, 750 would be coming from the tenant (1300 rent minus property management, Taxes, and insurance).

I would pay the $900. I wouldn't be living for free during this time, but my current apartment rent is $1440. Again this is also assuming an 18 month payback on a 24 month loan. So I've built in a 25% vacancy factor, which is probably overestimating. 

With a 2 month vacancy (8%), the required payment 1363. My payment would be 550ish/month for instant equity vs ~500 in interest per month if I let amortization run its course. Yes, its $50 more expensive, but I'd get the equity upfront.

I haven't yet done extensive research on it yet, but I'd imagine it could make good financial sense with the right numbers and checks in place.