All Forum Posts by: Dock Newell Jr

Hi everyone. 

I have own a short term rental in Panama City Beach. I am looking for a General Contractor to renovate my kitchen in the down season this year (September-February). I assume everyone in PCB renovates during this time; I am trying to get ahead. I live in Atlanta. I need someone reliable and am willing to pay a little extra for that reliability. Does anyone know a good General Contractor that I could work with?

 Hi Dock,

thanks for your reply! Unfortunately the houses here are so expensive and often listed over value, that we were not able to get the VA loan in the amount of the asking price (one house we looked at, the VA appraisal came back with a value of $64k below the asking price). Thus, we need to save some cash.

And no, he is not active duty anymore.

@Jordan Batchelor- keep VA loan in place - use a 3.5% FHA loan or a 5% down conv for your next place ...if you dont have the cash - get a heloc in place on current home for the down payment funds needed

Thanks for the slap in the face Maksu. This was in no way a way to make big money. My husband and I are active-duty military that need a place to live. In today's market it's difficult to find affordable housing so we thought we would do some work on our own. We've had to move to four different states in four years. YES, forced to move!!! I've moved my family four times in four years, twice alone because my husband was deployed! My kids have gone to four different schools in four years. We're not trying to get rich just survive. When you make sacrifices for your country your family pays the price. I had heard the podcasts before and thought I might find some advice. Please don't be rude. I have enough stress in my life besides this house. 

1. 🌎 Where you’re based + where you (hope to) invest:

2. 💫 What your goals are with joining BiggerPockets (e.g. buy my first house hack)

3. 🤪 A fun fact about yourself

Hello BiggerPockets,

I am not new to the content. I believe I joined in 2019, but have not been as active as I know I should due the complexities of life. I look forward to connecting to those in my area to collaborate on like goals.  I currently live in Mooresville, NC, and hope to find a multi-family property (preferably a 4-plex) that I can house hack.  I currently rent in Mooresville, NC and own one side of a duplex in columbia, SC of which I bought in 2010.  The ideal location of my next property would be the Lincolnton, NC to Gastonia, NC area.   Fun fact I guess would be that I am retiring from the army reserves after 22 years and three deployments in the next year or so which will allow me the freedom to focus on my passion for real estate. I also enjoy outdoorsy things like fishing and gardening.

I really appreciate everyones opinions. I apologize for my late response.

I think Evan Polaski and John Clark made a great point that I didn't mention what the next type of asset purchase would be. From what I've found on the market I'd likely be purchasing a 2-4 unit that initially breaks even fully rented (once I eventually move out of the property) using a 0% down VA loan with an interest rate of 4%. There is no PMI with VA loans. Who knows if the rates will be there (I'm guessing they won't) by the time I complete the refi and live in my current home to meet the primary residence requirement.

I have locked a 3.8% rate for the current refinance which lands me at approximately 4500 for a PITI that also gives me a "break even" scenario with my current property fully rented without me occupying it in the future.

I also agree that the property my not appraise for what I need it to. Redfin/zillow have it at about 1.1 to 1.2 million and I'll need it to appraise at least 20% over 760k. If it doesn't end up appraising then I plan to not go through with it and I'll be out about $700.00 for the appraisal. No problem. 

Lastly, for context my wife and I both work as nurses and save/invest roughly 65-70% of our income and credit score in the 800's. So with that we could also just hold onto our current rate of 2.25, go get approved for a conventional loan/ FHA to buy another house hack using a low down payment. Although I like that I can put little/ 0% into the deal with the VA loan and use the capital somewhere else. Like a declining stock market or put it into a reserve fund for the new property.

@Jordan Batchelor Freeing up your VA loan as Chris Mason and others have said would be your best move. It frees up cash flow at your current residence once you move out and use your VA loan. Make sure you do a rate/term conventional refinance if you want to move soon after adn use your VA loan. If you do a cash out refinance, that starts your 12 month clock again to buy another primary just like when you first purchased your current house hack.

Hello @Bianca Lavagesse, I know this is too late, but Welcome to BiggerPockets Community! I'm not from Montgomery County, but I would like to connect. I'm Dan, an active-duty Military and investing since 2016. Feel free to ask any questions you may have. We are here to help each other grow. Best of luck on your investing journey!