All Forum Posts by: Colton Hahn

Firstly congrats on facing your inner demons and stay strong in that area, I know it can be hard. Secondly, happy that you have taken the chance on yourself to improve your circumstances. Good luck my man!

We love the north central to central Indiana regions for future rent growth and appreciation. Great value to be had for sure!

assuming the monthly payment was no longer reported on the credit report, and the income was the same then yes the DTI would decrease. Not sure how they would get around the reporting laws for debt but the formula is Debt Payments / Monthly Income and the debt payments are generally pulled from the credit report.

Example: If previously the debt payments reported were 1,000 monthly and an income of 2,000 then it would result in a DTI of 50% (meaning 50% of income is unavailable for new debt payments, not good). If it was later reported that the income was 500 with an income of 2,000 the DTI would then be 25%

This kind of situation would almost always be whats called a "jumbo loan" which basically means its above the loan limit of a normal mortgage and changes the rates/the way the bank considers the risk of taking the loan, I do not think you would be able to with just 50k . 

One thing to consider is raising the money with other investors to secure the loan, the returns are lowered because you are splitting the pot with them but that would increase the chances of actually acquiring the property. Good luck!

Hey Juan, Welcome! What I would do is begin by immersing yourself in as much knowledge as you possibly can. Look up videos and podcasts about real estate investing. I would urge anyone and everyone to learn as much as possible before jumping into an investment. Remember, the person who knows the most is most likely to come out on top. 

Hey Muhammed,

Great question here. There are a few different options you have for financing, if you have the ability to I would contact your local bank/credit union and go over your options with them. They will be able to lay out your options and you can weight the pros/cons. 

As for off market deals, they are hard to come by! I would join a local real estate investor group by googling "<your town> real estate investing group". Get involved there, and meet everyone you can. Find out what other groups theyre in, and go to those as well. Eventually you will meet someone who has a property they are looking to sell, or know someone who is! Its all about networking at that point.

Hey Justin, we operate out of Indiana and love the midwest. Midwest is the definition of steady-eddy, very consistent growth over the last 20 years. I think this area is one that will continue to appreciate, especially in key areas like Louisville, Indianapolis, Des Moines, etc and we have gotten some awesome returns in these spots.

Happy to help with any and all questions you might have as I am sure others here are as well :)

Hey Luis,

First off thank you for your service, I think your head is in the right place thinking of ways to use your VA loan to improve your wealth. I was a loan officer for a not for profit for some time, and loved being able to help out veterans with getting into real estate. House hacking with your VA is something I loved explaining to veterans because it opens a whole new world to many of them, VA loans can be a powerful tool.

My advice to all the veterans I helped was this: do your due diligence, set very clear standards to what a property has to have for your needs, do not let the money burn a hole in pocket (causing you to betray your standards), and get in the game when you find the right deal!

Great choice narrowing it down to Indianapolis, we invest heavily in the greater Indianapolis area and have seen some awesome returns. All signs point to that area continuing to appreciate and various analytics also point to that as well (CBRE has Indianapolis as #1 for business infrastructure in 2019 for example) and we have seen rent increase by over 8% in 2021! 

Good luck to you :)

Hey Harry, I would take a long hard look at the numbers and make sure you are not talking yourself into buying simply because you can afford it in that region. We use rent growth, job growth, population growth as key indicators when buying in an area. Last thing you want to do is be the one holding a property in an area that has low demand and high supply.