All Forum Posts by: Eric Chiang

Congrats on closing on your first deal.

I closed on my first house hack (duplex in Riverside, CA) a few weeks ago, and the security deposit went towards my closing costs. Would suggest checking your Buyer's settlement statement to double check that it wasn't already included.

Good luck!

@Frank Rodrigues : What platform did you curate the data from, and is it applicable to the area of your choosing? Data looks quite useful!

Hi @Cesar Hernandez. The short answer is that it depends on a lot of factors (location, condition, amenities, etc), and the information provided wouldn't allow us to give you a great answer based on our analysis.

My suggestion would be to talk to a real estate agent in your area, one that is used to working with multi-family properties (and even better, does REI investing him/herself). Additionally, you can search for comps in your area based on other, similar (in size and # of units) properties.

Best of luck!

Hi @Jason Hicks, I came across a similar situation for the duplex that I just closed on, and will be househacking once renovations are complete. Luckily for us, one of the tenants were month-to-month, so we had the seller's PMs deliver a notice to vacate and ensured that the seller would deliver at least one unit vacant.

At the same time, it's important to remember that these are people you are vacating from the property. We had our PMs help those tenants find new housing. Additionally, our closing period was set to allow for time for these tenants to vacate/find new housing.

Best of luck!

Hi Nick, here are some tips that come to mind:

Pros:

• Consistent, on-time payments from the government
• Idea that some tenants keep property in better condition, since they risk losing housing if they no longer qualify for the Section 8 program

Cons:

• Lower income families may not be able to pay entirety of rent if the rent of the place exceeds amount offered by the government program
• Yearly inspection by the government to ensure that property is up to standards

I've seen stories on BP of both great and not-great tenants, so it's really up to you if you would like to, or have your PM, deal with Section 8

Hi BP community! I'm a new real estate investor about to close on my first househack (duplex near Riverside, CA). I had a few questions regarding CPAs focused on REI:

• At what point in your REI career did you find a CPA?
• How much can I expect to pay a CPA?
• If you have used a CPA for REI, how did you find your CPA and was using a CPA worth the cost?
• What are some common questions that you ask for vetting CPAs?

Thank you in advance for the help!

I'm in the process on closing on my first property (househacking a duplex in southern CA), and I've hired a property manager.

Main reason is because I feel that the PMs know the rental market + area better, have better resources to advertising for vacancies, and are able to screen tenants more quickly/efficiently than I would be able to. Additionally, my property does require quite a bit of rehab, so I'll be utilizing their contractor network to handle these issues. If they turn out to not be a great fit for my expectations, there's a clause that allows either party to terminate the agreement within 30 days.

I'm okay paying the PM fees in order to free up time for other ventures, such as family/friends, learning more about REI, etc. Like you, I also have a W-2 that is M-F 9am-5pm.The extra time/fewer headaches definitely helps.

Good luck!

As an individual who has rented for the last few years (new to REI, plan on househacking a duplex as soon as we close), I would suggest going with Option 2 using coin operated machines.

To echo what others have previously mentioned, Option 3 is out of the question since it's a low/med income area, so renters in this population would most likely not spend for a washer/dryer. And Option 1 may be geared towards tenants with higher income.

Additionally, from the tenants perspective, Option 2 sounds better than having to drive to a laundromat haha.

Good luck!

Like you, I am also new to REI and am currently in escrow for my first multifamily property (duplex).

To echo what others have already mentioned, definitely network and find a great real estate agent that you feel comfortable working with and has knowledge of the market in your area. Obtain a pre-approval letter from a lender so you know what your price point you qualify for.

If you haven't already, be as specific as possible with your criteria for properties. This may include, but is not limited to, property type (duplex vs. tri/quadplex vs. commercial), price range (max price), location (zip code), condition (Class A-D) and profitability.

Good luck!