All Forum Posts by: Brock Y.

Thanks guys. I do have money saved up, just in stocks that I can liquidate if necessary. Looks like I will just wait it out. 

So I am able to save around 7K/month. Most of that goes into stocks right now but I have decided to look at SFRs (I own a few duplexes). I only have about 10k in savings and was wondering if I should wait 3-4 months to purchase a 40k SFR cash or should I try to seek out private/hard money? (Conventional is out since I have less than stellar credit, around 690 due to a job loss in 2010 and getting behind on bills).

No issue on income, No issue on DTI, Just a less than stellar credit score. Thoughts?

It seems like he is referring to the month to month expenses which for my multifamily properties is closer to 25% than 50%. The 50% rule is for you because most likely a furnace will go out, a roof will need to be replaced etc. Just yesterday I had a $1200 expense for a water heater at a property. 

As someone who got into buy and hold properties with an owner occupied duplex I would say as long as it makes sense for you go for it. Based on current rents and your expected offering price it doesn't fit the 2% rule so for that reason I would not do it. It doesn't even hit the 2% rule on the maximum market rents. 

@Account Closed 

CAP rate is just the annual gross revenue /purchase price. All the other costs and financing would go into the cash-on-cash return which takes into account more costs. Look into the CoCR if you want a better idea if the property is cash flowing.

I use CAP rate as a quick indicator of if a property is worth it. Others will chime in that are more saavy than myself but hopefully that helps.

I own properties that are both paid off and those with a mortgage. My DTI ratio can withstand multiple mortgages but I was hoping to get input as to what route to go.

Ex. Would you purchase a $200k property with a cash flow of 800/month putting down 20% and having a mortgage OR purchase a $50k property with a cash flow of $250/month paying all cash? 

I plan on buying multiple properties and was wondering if buying ones on mortgages first then others with cash would be better or vice versa. Any input is appreciated. Thanks.

@Steve Meyer

@Ben McDermott Please contact me. Email in signature. I am interested in Minneapolis Market.

Looks like I just missed out on this one. Count me in on the next pending work travel schedule.

Hi All. I'm Brock and I currently live in Chicago. I just moved from Minneapolis 6 months ago with my wife for our dreaded day jobs. We have 1 Duplex in Minneapolis and 2 in Eau Claire, WI. This site looks amazing and a great way to get around like minded people.

I am always in the market for investment opportunities in Minneapolis. Will most likely be purchasing another by years end. I am not too familiar with Chicago's market but am open to there as well. Looking forward to contributing as much as I can.

b