All Forum Posts by: Brock Maggard

I'm ready to buy my first rental property, but I would like some advise from people who have actually done it. I'm afraid that I will make a mistake due to lack of experience. I am wanting to use the BRRR method.

I can buy the house for 14,000. Despite the price, It’s not a ghetto neighborhood. I’m buying in my small midwestern home town with a population around 4K people.

It is liveable but needs some work. I have the cash to buy it and do basic rehab. I should be able to get $500 per month rent. I would then want to take out a mortgage on the property. After rehab I was thinking I could probably cash out refinance what I had spent on the property and purchase another similar property and repeat.

I don’t know how to begin figuring rehab cost. I walked through house the first time last night and it just seems like paint, flooring, doors and stuff like that. 850 sq ft, 2 bed, 1 bath, attached carport, nice yard.

Im guessing a mortgage payment around $300 per month with taxes and insurance, which would give me a $200 per month cash flow with very little out of pocket.

What am I missing. What do I need to know about buying a house with cash. Will it be difficult to get a mortgage on a rental property that is that cheap?

Any advice is appreciated.

Thanks

were you able to find a solution to this problem. what did fund and grow advise?

 how has it gone since this response?  how was your credit when you started the process?

have you had any luck finding somebody in the area?  This is close to home for me

I am from southeast Kansas/southwest missouri are by the way, so it would be fantastic if I could find a mentor or lendor in my area.

Hi all. I am a small business owner with a semi-seasonal business. I'm exited about jumping into buy and hold real estate to even out the risk/volatility of owning a business.  I love the content bigger pockets provides and look forward to learning from this community. 

I don't quite have my financing in place for a first deal, but I will soon.  I'm considering using fund and grow or searching for private lenders.  

Thanks

Brock