All Forum Posts by: Benjamin Carver

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $367,000
Cash invested: $18,000

Single family house hack live-in flip in North Raleigh.

1984 3/2 split level. Full cosmetic rehab. Turned into up-down duplex. Airbnb the top half and turn the bottom into a 1 bedroom apartment with walkout entrance and full kitchen.

Full cash out: $40k
Monthly Expenses: $2800
Estimated bnb revenue while house hacking: $2000-2500
Cashflow after moving out: 750-1000

Cosmetic Flip Expected Equity Gained Minus Rehab Cost: $20k

What made you interested in investing in this type of deal?

Save hundreds on rent monthly. Get tax benefits and future cashflow. All while paying down a mortgage on a home in a prime area of Raleigh.

How did you find this deal and how did you negotiate it?

Good old MLS. Crappy phone pictures and original owners had stuff everywhere. We saw the potential and were their only offer. Between price reduction and concessions we got it down from $375k to about $362k.

How did you finance this deal?

6.75% rate on FHA. The monthly payment was identical to 5% down due to rate differences. Worked with a local lender who helps other house hackers.

How did you add value to the deal?

Full cosmetic rehab to bring it from 1984 original condition to modern. Adding 150 or so sq ft of finished space by turning a utility room into a kitchen. Increasing rent potential by being able to rent both units separately.

What was the outcome?

50% left to go on renovation and then we get it listed on airbnb. Stay tuned.

Lessons learned? Challenges?

The roof looked good but was covered a lot with pine needles. Roof was reported 3-5 years old but no paperwork. Should have got an inspection done and dug deeper but our general inspector didn't find any issues. Turned out after the sale the roof was near the end of its life. Negotiating compensation for the false advertisement currently. Headache that could have been avoided.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I'm a real estate agent here in Raleigh North Carolina

 Social is my favorite too. Super long-term play for most of us trying it, but I've already got 1 good lead after 4 months of content on my area (Raleigh)! Love this one and will continue to pour into it.

Most buyers don't pay the realtor. Not so much "hiring" as it is partnering. I'm not sure why you would choose to hire a lawyer instead.

10 years out doesn't give you flexibility and you lose a lot of control and certainty. I like attainable, realistic, timely goals that feel real to me, something I can really control and work towards.

Personally I have financial goals and a general gameplan but realize end goal of say $10k a month can be done numerous ways or a combination of that. Then I found on 1 year at a time, no more than 2-3 years out. Long-term goals are a compass and short-term can be super specific. Just my two cents.

Hate to say it but ChatGPT could probably build you a custom one faster and cheaper. Worth a try

Raleigh always has my vote! We have basements, split levels, and close to national average housing costs. Great area, great airbnb laws, plenty of short term and mid term traffic thanks to Research Triangle Park (largest research park in the states), Duke University, UNC, and being the 5th fastest growing life sciences hub too. A lot of young people here, working professionals, and college kids. Laid back lifestyle, endless nature, and plenty to do. Would love to talk more if interested!

Remember, choose where you want to live first.... and then figure out how to house hack it. Unless you're talking cali, ny, somewhere where it's difficult and not worth it maybe. You want to be happy, have a good job or business opportunities, people to connect with, etc.

Yeah no that's astronomically high

Hey there Nikash, I'm a local investor, agent, house hacker. I have plenty of resources I could share with you if you're looking for some.

I am renovating a property I plan to house hack in North Raleigh and originally decided to move here from Dallas TX. I did a boatload of research as you probably are too right now. It's a little more expensive than national average, primarily due to cost of housing. Still plenty of good investment opportunities here and would be glad to discuss any questions you have over call. Just shoot me a PM anytime.

Lifestyle wise, greenery everywhere, great trails, 2 hours from ocean and 2-3 from mountains - what a great combination. Plenty of lakes too. A little more laid back than a big city would be but endless things to do and a quick shot into Durham and nearby towns offers additional shopping, sports events, national forests and parks, etc. Love Raleigh.

We're doing a live in flip turned house hack. With a flip plenty of unexpected things happen. Pipes were pretty full already and by the time we got in there they clogged up and had to call a plumber to fix for $700 almost right away. Roof appeared in great shape and was reported 3-5 years old, ended up being 16+ years old and needing replaced. We wanted to do LVP throughout the house and the kitchen and bathrooms had an extra layer of plywood to raise its height so we had to manually crowbar it out, which took days and a lot of work.

Aside from the flip, we didn't expect the sellers too keep changing their minds on closing date. We didn't expect the fact that insurance should cover short term rentals but raises a red flag for lending during the 30-60 day period after closing where they make sure you're not using the home as a rental. So we had to take the risk or choose a normal insurance during the period and switch over after our loan was resold. 

Another thing was how expensive tools and equipment were for the rehab and just to have around. Same goes for furnishing; many spend 10s of thousands on furnishing if doing bnb like we are. So we are having to get creative with fb marketplace and stuff.

Even stuff as simple as changing out locks to smart locks can be annoying and difficult if you're as non-technical and non-handy as I am!

But it's all worth it in the end.

I prefer scratch and dent places. Amazing deals there. We go to American Freight.