All Forum Posts by: Fendy Jn pierre

@Fendy Jn pierre, I agree with @Matt N..

The thing I would focus on is discount points. With that you are CHOOSING to pay the lender some money up front in exchange for a LOWER interest rate.

It doesn't sound like you're getting a great rate even with that discount. So, perhaps you can do better somewhere else.

Also, do you even want to buy the rate down on a loan right now. If you think rates might drop a lot in the next couple years you might have an opportunity to refinance into a lower rate before this move would pay off on this first loan. 

I'd push back on the appraisal fee. That seems high or not even required.

Why are you paying for discount points and still getting a rate over 8%? With 20% that is insane.

Find another lender. I have a great contact at a local bank if you want to speak with him. DM me I dont think I can provide info here. 

 Yes, I do. You're 30 minutes away. You should look at Philadelphia as a whole, find properties within your budget that pencil out financially and on a weekend afternoon go by the properties that were working and (at first) keep notes on the neighborhood. Do the residents have cars? Is there lots of stoop sitting? Drug sales going on? Is it quiet or are people hanging out in the street and blasting their music? Did you get robbed or offered drugs while walking around? 

Get lost in the neighborhoods. Turn off your GPS and just drive around checking out areas. See if you can find your way home without the GPS after wandering. While you're out in the field make notes of properties you like that aren't being maintained - look for high grass and weeds, broken windows or unshoveled snow in the winter. These have the potential to be receptive to an off market offer. You can look the owner up when you get home andd reach out to them. Talk to people you see in the neighborhood - do they know anyone interested in selling.Is their landlord ready to retire?

Presumably, this will be your retirement. The fruits of 40 hours a week labor, every week, for your whole life. Investing time in learning the market so you understand what the much more helpful advice with street boundaries and heat maps really MEANS. Investing time to learn the market will pay great financial rewards to future you.

Hey Fendy. It's definitely a big step getting away from analysis paralysis. I think that a quality agent that truly understands how to run numbers and analyze deals to lead you in a good direction is what you need to get over the final hurdle. 

I have worked with a lot of first time investors, some even out of state. The first goals to overcome is objectify the exit strategy. If you don't have one... Find one. I would also suggest having a couple of exit strategies to minimize risk. Have you defined any specific areas or neighborhoods you would like to buy? Have you pinned down financing?

For first time investors, i think that the BRRRR strategy is a pretty safe bet. Something that is a little distressed, where you can add some sweat equity. Get your hands a little dirty, and a little experience managing a project. Then sitting back once you have a nice cash flowing asset to borrow off of.

Give me a call if you're interested in talking further. 

Cherry Hill

That's a joke. The only way to learn the neighborhoods is to spend time in them. 

Hello @Fendy Jn pierre Philly is certainly a block by block city. In terms of the safest areas in the city, this is a very generalized list so let me know if you want me to expand on anything in terms of borders, zip codes, etc. Now in terms of investment in these areas it can be quite tough because of the higher barrier of entry in terms of purchase price and demand for these pockets but there are still deals to be found.

• Anything in between Girard and Washington Ave
• University City/ Spruce & Squirrel Hill
• Manayunk & Roxborough
• West Germantown, Mt. Airy, Cedarbrook, Chestnut Hill
• Pennsport, Dickinson Narrows, Passyunk Square

Hey Fendy! If you're struggling to get started and don't know where to look, I'd highly recommend doing a house hack. 

It's killing two birds with one stone with low barriers to entry. 

Not only do you get an investment but you also have a place to live. Getting a househack helps you understand if RE investing is right for you, gives you first hand experience at your doorstep, and starts to churns those wheels inside your head with your next move. 

I am an agent and investor in the phila area and help lots of newbies to experienced investors. Feels free to reach out anytime!

Stop beating yourself up and focus on moving forward. You will need different agents for each market.  DM me if you need a Philly investor friendly energetic agent. That is not me - I can connect you :-)   And maybe focus on just one market or you will spread yourself too thin - I can not imagine analyzing deals for multiple states all at once. Maybe you need to hammer down your strategy.