All Forum Posts by: Casey Caton

Hello Everyone! Looking to see if anyone has had any luck finding financing for an established assisted living facility (real property w/ separate partnership with operator to run day to day). I was advised by a local credit union that I would need to go the SBA route to be able to include the income related to services in the underwriting. Before going that route, are there any other options out there short of finding more partners to pay cash? Thanks!

@Elvy Harris Welcome to BP! Do your best to find some lenders that are VA saavy to make sure you are uncovering all the potential benefits that are open to you. Definitely a good idea to keep your money working for you by doing a cash-out refi to plug into another property either as a househacking primary residence or as an investment property. If you're just getting started making sure you listen to as many of the podcast as you can and read @Brandon Turner's guide to real estate investing to get all of the basics down. Once you find that right deal that works for you make sure you take action. I've used the VA loan twice to jumpstart my journey to financial freedom, and things are cruising now! 

@Joe S. Find a great tenant and give them some options - could build some good will right off the bat. 

@Kaylee Walterbach I would have to say buying an empty 7 bedroom assisted living facility and turning it into my primary residence, furnishing it, and renting two bedrooms month to month, and AirBnB'ing the remaining four bedrooms while working a full time job. I was pleasantly shocked by our numbers for October, $6,500! Our mortgage is only 2.3K, and we manage it ourselves. It has far exceeded my expectations, and I am excited to do some more!

@Jonathan St.Leger My money is Orlando - Love me some FLORIDA!

@Joe S. Depends on the state of the current ones. If they can be cleaned and made new via Clorox, I'll do that. Otherwise, they are cheap, and it just adds a touch of cleanliness to the unit to set the standard for how you expect it to be kept. I've never had a tenant request to have shower liner replaced. Might be because I do my best to get awesome tenants who treat the units as if they were the owners. @Brandon Turner 's book on managing rental properties is full of awesome advice that has saved me so much trouble. I still ended up with a toilet story, but I could have had many more if I hadn't read that book! 

@William Costello investing in syndications is really a great option for most folks that includes lower risks than investing all by yourself, but with risks comes rewards. The deals that I've found and worked myself have given me much better returns than offered by most syndications - especially when I have very little of my own money down (the returns can be infinite with no money down). Also, I am able to use the tax benefits of owning real estate - especially depreciation - to make my dollars go further. There are plenty of risks, but a lot of those risks can be minimized through education (learning from others' mistakes) and partnering with more experienced investors. Cheers!

@Kevin Jennings If you're able to spot a small multifamily or a house with a casita or space to build a casita that might be the best way to househack with a family - having someone else pay that mortgage is a huge benefit and might be worth the sacrifice of some privacy for the long term financial gains. Much less privacy would be lost if you're able to find those options I mentioned. Good Luck!

@Daniel Overby a lot of companies that offer those services will be able to set you up with the right unit depending on the area that needs cleaned. I actually found an ozone air cleaner at goodwill, and I use it for a few hours in a bedroom after an airbnb guest leave and it leaves the room having that extra clean smell. Good luck!

@Greg Todrank Everyone's situation is a little different - For me and my current risk tolerance, I would treat the whole situation as a foreclosure and try to gather as much info about the property as possible to hedge against the risk of the unknowns. A lot of big ticket items could be viewed from the street such as the roof and HVAC system. Checking out the permits would also be handy. If this was my first deal. I likely wouldn't take the risk, but if you have plenty in reserves and have done as much due diligence as possible - I would say go for it! And it appears you have, so I wish you the best!