All Forum Posts by: Bobby Foster

Hey BP, I had a question about actually renting out a property once it is ready for a tenant. Note that I plan to use a property manager. So the scenario is: I have a property ready to rent out and I have found a property manager. If anybody could talk about what happens next, I would greatly appreciate it! Thank you!

@Alexander Felice thank you for your input. You bring up a good point, and the fact that we are at the top of the market, I will consider cash flow a little more than appreciation. Possibly choosing a conventional loan with 5% down (mentioned in a previous comment) and skipping the refinance step since the house may not appreciate enough or at all. I am also reading a book called "the sale of a lifetime" to become more familiar with housing market cycles. Could not recommend this book enough!

@Sydney Tiffany I believe the seasoning period for a fha loan is 6-12 months, so after that point I believe you can refinance out of it, but I'm not completely sure. As for the 203k loan, I have considered it and will definitely explore that option with my lender when the time comes. I would imagine that since it's a type of fha loan, there would be a fha appraisal to deem the house is livable.

@Jonathan Hulen I'll get right on that podcast, thank you for your help!

Thanks @Peter M. I was planning to quickly refi so I could move out, purchase a new property with a fha loan, and rent out the property to start the cash flow. But if I used a conventional loan with 5% upfront, I could probably get a lower monthly payment and save on refinance closing costs. Definitely something to consider.

Thanks for your response @Ed Emmons, I have updated my profile. I chose this strategy because I don't have the extra capital to spend on a down payment and repairs on a rental property, nor do I have my own personal residence (currently renting an apartment). I figured this would be the best of both worlds, where I can start my investment career and end my life of paying somebody else to live somewhere.

Hello BP, I am a new investor in the Tucson area and this is actually my first BP post! I'm looking for some opinions about my beginning investing strategy. My apartment lease is up in about 6 months and I plan on buying a single family home to essentially do a live-in BRRRR. Here is my step-by-step process: 1. Buy a single family house with a FHA loan. 2. Live in the property and perform renovations during the seasoning period (I believe it's 12 months?). 3. Refinance the property to a conventional loan after the seasoning period. My goal of this is to have at least enough equity built from forced appreciation to cover the 20% down payment. 4. Move out, and find a tenant to live in the house. 5. Repeat Would like to hear some of your feedback on this. Thanks everyone!