All Forum Posts by: Carrie Brauninger

@Carrie Brauninger

Since this is your first step into real estate investing; my advice is to stay in the area you are currently living in or at least are within a commutable distance. Out of state investing can definitely work but it requires you to have a set team that is that location to real allow the system to flow smoothly (essentially you need boots on the ground). This means you would need a team of realtors and property managers (along with some other team members) that you completely trust. Have you looked into house hacking in your area? If there are multifamily (4 units and below) properties available near you, you could look into purchasing one of those. As long as the property is 4 units or less; the financing works the same as with a single family home and if you plan on moving into the property for at least a year; you should be able to qualify for primary residence financing options such as an FHA loan (among other programs) that would qualify you for lower interest financing. By living in one unit and renting out the remaining units; you could potentially build equity, gain value through appreciation, and still cash flow all at the same time. You would also gain the experience of how to manage a property so you will be better able to manage from long distance if you do want to try out of state investing down the road.

What about a home with a legal suite whether it be a basement suite or a laneway home?  You can live in either the larger or smaller unit and rent the other one.  For your current home that you want to turn into a rental, if it has appreciated a lot, I'd stick to your plan of renting it for 2 years and moving back in in case you want to sell as it will avoid cap gains.

If you know Michigan well, then you could buy there; but as others said you will need a PM to manage it which will add to your costs.  I don't know how much house prices have increased in Michigan (not saying they haven't, but that I don't know), so if you are looking for appreciation that is important.

What if you bought a duplex or triplex lived in one unit and rented out the other units then move back into your personal home after a year once the lease for your personal home expires? This is a strategy I have thought of doing and I have friends who have done it and have gotten very successful. I would be happy to explain further if you have any questions about this 😊🏡

@Carrie Brauninger

One thing to really keep in mind with the Florida market at the moment is the cost of insurance. I am in the nearby market of Louisiana and the problems we are currently facing with insurance are similar in Florida from the information I have been told. The yearly premiums have gone up substantially in the last 2-3 years due to a series of storms that caused widespread damage and caused many underwriters to leave the area. The combination of extremely high insurance premiums with the current high cost of capital; will be a major challenge that needs to be overcome when looking for a property that will produce a solid return on investment. 

Tampa And St. Pete are both great! But a good investor makes the good investment. That means, no matter what city or state of you underwrite your property the correct way you can’t lose.

@Carrie Brauninger

Yes! Tampa, Florida is growing city with lots of young people moving there because it is attractive for real estate investment. Here are a few neighborhoods worth considering:

1. Downtown Tampa: The downtown area is experiencing significant development and revitalization, making it an exciting investment opportunity. With a mix of residential and commercial properties, it offers potential for both residential rentals and commercial ventures.
2. Channelside: Located adjacent to downtown Tampa, Channelside is a waterfront district with a vibrant atmosphere. It features luxury condominiums, trendy restaurants, entertainment venues, and a growing residential population. Investing in rental properties in Channelside can offer potential for high demand and attractive rental income.
3. Ybor City: Known for its historic charm and cultural heritage, Ybor City is a popular neighborhood for both residents and tourists. It offers a mix of residential properties, restaurants, bars, and boutique shops. Consider investing in residential or mixed-use properties in this area to capitalize on its unique character and growing popularity.
4. Seminole Heights: This historic neighborhood has been experiencing a resurgence in recent years. Seminole Heights offers a variety of architectural styles and a sense of community. It has become known for its local breweries, trendy eateries, and events. Investing in single-family homes or multi-unit properties in Seminole Heights can be an opportunity for long-term growth and rental income.
5. Westshore: The Westshore district is a bustling business and commercial hub with proximity to Tampa International Airport. It features a mix of office buildings, hotels, and retail spaces. Investing in commercial properties or residential rentals targeted towards business travelers and professionals in Westshore can offer potential for stable rental income.

When choosing a neighborhood, consider factors such as property prices, rental demand, proximity to amenities, job opportunities, and future development plans. It's also advisable to work with a local real estate agent who has expertise in the Tampa market to gain valuable insights and guidance in making informed investment decisions.