All Forum Posts by: Craig Curelop

@Aaron Holderman - BRRRRing out of state is definitely a great way to build wealth. You need to make sure you have a stellar team wherever you invest. There is a lot of risk when it comes to investing out of state. Typically you have a lot of money tied up and you're paying high interest on it. So you don't have much time for bad contractors, bad agents, bad lenders, etc. 

BRRRRing in Denver (or any expensive city) is next to impossible to actually pull out a significant portion of your money. However, if you get creative in Denver, you can definitely cash flow pretty good while experiencing some good appreciation! 

@Zachary Gilula - it seems like you know what you are looking for. You are going against the grain of the new investor and targeting appreciation over cash flow. 

That's not a horrible thing, in fact... you may be much richer in the long run with this kind of play. It's just a bit more risky. 

I do agree with @Chris Lopez's analysis of the deal in that your cash flow will be paltry. Potentially even negative. There's no say what the market does here in the next 6-12 months. 

Overall, you know the risk you are going to take. By purchasing this condo. You will have an easy investment property. If it's in such a great location, you should have no issue renting it out. It seems small enough where capex and repairs likely won't be that large... though, I have not seen the unit so it's tough to say. 

If you're okay with breaking even or maybe even losing a little bit of money each month to hold on and realize the appreciation, go ahead and do it. If you are looking to get the highest return on your investment, I'd pass. 

@Michael C. - FirstBank is great for commercial deals. They tend to be more expensive with higher rates and fees, but can get the tricky deals done. 

For lenders, I like to use Mike Stone over at Megastar or FlatIrons Bank I have heard good things about as well. I have a contact at Guild Mortgage who also does pretty good work! 

Inspectors, I usually like to use 360 Degree or Axium. 

You've got yourself an interesting property there, I hope it works out nicely for you! 

@Juan Pridgen - what is driving you towards commercial as your first investment? It's typically much easier and much lower risk to go the residential route at first and then grow/scale into the commercial route. 

Ethan,

@Linda Weygant is your gal! She is a real-estate focused accountant that helps Colorado residents. Specifically, smaller investors with real estate investments and W2 jobs. 

WOW! Congratulations @Heather Reed! Sounds like a good one :) 

@Jocelyn Doumani - I would recommend doing cash for keys. $500 and full security deposit returned if they leave in the next week. I suspect you can buy a lot of drugs for $500 :). 

@Benjamin Sussman - How much does it cost to break the lease? I will bet you almost anything... it is worth paying to break the lease and start house hacking than anything else. Just make sure you work the lease break fees into the numbers. 

@Alexander Mears - Congratulations on the move to Denver and even BIGGER congratulations on the decision to invest in real estate! 

First off, House Hacking will be the best strategy here in Denver. BRRRRs are really tough to do in any big city. You are talking larger purchase prices, larger rehabs, and higher competition. I wouldn't feel comfortably BRRRRing here with at least $150k in liquid cash. 

As for House Hacking, there are TONS of strategies that work. We've helped people rent by the room, convert basements into Mother-In-Law suites to have your own private living space, as well as the traditional 2-4 unit. Obviously, like many others above have mentioned, the strategy will differ based on the capital you're willing to spend and the amount of privacy you need. 

As for areas, I find that house hacking works best in Arvada, Westminster, Lakewood, Thornton, Englewood, Littleton, etc. It also CAN work in Aurora, I have just heard more people complain about finding quality tenants there... 

Happy to chat more! Feel free to shoot me a DM.

Thanks for the shout out @Linda Weygant! 

@John Gallagher - House hacking is the way to go. You can build some serious wealth relatively quickly. House hack every year for 5-7 years and you will likely be very close to a seven-figure net worth by the end of that time frame. 

You are almost in the perfect position. 21 years old, with a masters degree that can work remotely. I presume your job is fairly high paying which will allow you to continue to save and invest and maybe even expedite that timeline of 5-7 years. 

I would be happy to chat. Shoot me a direct message here on BiggerPockets!