All Forum Posts by: Brian Armstrong

Hey Manny - I second @James Orr and all classes he teaches! They're timely, relevant, practical and super in depth! I've been going to his classes for a few years and they've propelled my RE journey. 10/10 recommend!

There are also local banks who might be interested in a "short" loan of 6-18 months. I'd be happy to recommend a small bank I've worked with to see if they meet your needs - if you're interested, please DM me. First Bank is a portfolio lender that could be another option but they'll likely place you in an ARM (which isn't bad if you're planning on refinancing after a year or two anyway).

Multifamily is tough here in Fort Collins but they are out there - I recently partnered with someone to take down a multi-unit building. I like your house hacking idea too! That's a great way to get into the game quicker!

What kind of statistics are you looking for? @James Orr has amazing stastics and Northern Colorado Real Estate Investment Group (NCREIG) is a fantastic place to talk thru ideas and deals! It’s the best investment group Ive ever been a part of! Successful Investing,

Brian

Hey @Gabriel Smith!

I like that you're looking at different options, good for you! If you plan on selling the property in the next 7-10 years then the ARM might not be a bad decision. I don't know about you but my crystal ball is in the shop right now so I'm not sure what interest rates will look like in 10 years. (If you go back and average out the last century we're right around historical averages at the moment.)

I tend to err on the conservative side so I'd recommend getting fixed financing (either a cash out refi or HELOC) if this is a property you'll hold for a long time.

Another consideration is what you'll be doing with the money you pull out. If you can re-invest at a higher interest rate than it costs to pull the money out, you'll be in great shape! (Ex: Let's take @Peter Tverdov's rates of 8% on a HELOC. If you can borrow the money at 8% then buy another property that gets you 10% from appreciation, cashflow, loan paydown, depreciation, etc. you'll be in great shape regardless of which option you choose)

If you want to geek out on topics like this, check out a local meetup called Northern Colorado Real Estate Investment Group (NCREIG). It's the best real estate group I've ever been a part of!

Best of luck in your decision!

I've been going to NCREIG, taught by James for a few years and he's no high promising, late night guru - James does the math, knows the market, and says it like it is! This info is mind shifting and life altering!

Taylor you should join us at Northern Colorado Real Estate Investment Group (NCREIG) on Wednesday nights when you get to Fort Collins. It's a free class hosted by the realtor I DM'd you about and there's tons of people who'd love to talk thru your goals to help you achieve them! There's also Investment Club of the Rockies (ICOR) that has meetings in Colorado Springs, Denver, and Loveland/Fort Collins. 
If you use the real estate agent I suggested, he knows the city super well and will guide you to the right places and keep you away from any "sketchy" parts of town ... there aren't many "sketchy" parts of Fort Collins :) 

If you're able, I'd buy right now while the market is a little cooler during the winter/holiday season. If you postpone it could end up costing you $10,000 or more for the same house in spring or summer. 
Successful investing!

Update: as I was leaving the English Ranch neighborhood the other day I saw a car driving around that was the City of Fort Collins and had "CODE COMPLIANCE" written in big letters on the side. So they are actively pursuing city code!

Sure thing @Taylor Howe - I'll DM you since the reply won't let me tag the realtor here. 

@Wyatt Simon Congrats on finding a potential deal in Fort Collins! It's a tough market here. I'm a landlord in Fort Collins and have looked into similar deals that wouldn't conform to the occupancy laws and my best advice is to avoid breaking those occupancy laws.
I've heard the city has multiple people whose entire job consists of looking for occupancy violations. If the city decides (or if neighbors complain, etc.) they can begin to fine you up to $1,000 per person per day for violating the occupancy laws. Fort Collins leases also must include the occupancy disclosure (https://www.fcgov.com/neighborhoodservices/occupan...) so you'd knowingly and intentionally be breaking the law. On top of all this, your loan documents may have occupancy disclosure paperwork in which case breaking that could be loan fraud. 

All in all, there are enough ways to make money without that much risk. I'd advise against breaking the laws. Even if you got two roommates who paid $500 each your share of the mortgage is only $200 - a big bargain in FoCo! Best of luck!

Hey @David Ferrette I'm happy to send a couple your way. I'll shoot you a direct message with a couple options. Best of luck!