All Forum Posts by: Funsho Adesanya

I agree with @Dan M. get educated and start off by house hacking. As much as you don't like your 9-5, I'd suggest you stick with it for a while as it'd be challenging getting approved for loans without a W-2 income or minimum of 2 yrs business experience with income. I felt the same way you do 2yrs ago when I started investing. I still have my W-2 but I also own 10 units now thanks to the relatively easy way to qualify for loans with my W-2 income. Best of luck to you! 

If they are paying at current market rate, I'd lean towards keeping them. You can note in your lease renewal the cutoff time for loud music and other stipulations you'd like to enforce as their new landlord. Otherwise if you do not renew them even though they are paying market rate, you'll have to spend money and time to get the unit ready for a new tenant. That could easily be 2 month of no rental income. Now if they are currently below market, then it'd make sense to look for a new tenant that'll pay the market rate. 

Take it from someone who has actually gone through the process of a 4 units 203k gut rehab. @Paul Weldon is 100% correct. 

I'd recommend you put that money away into some index fund and get yourself educated in REI FIRST before buying any property, partnering up with anyone or doing anything related to real estate investing. You will make mistakes regardless as we all do but you'll need that education background/grounding to help you get back on your feet very quickly. Otherwise it could be a really tough experience if you don't know what you're doing. Good Luck!

@Brendan M. - You may want to check out the FHA 203k loan program. Still 3.5% down and you get the cheapest renovation loan financing out there. This could easily be a workaround to getting good househacking deals that will eventually cash flow once the project is completed. Yes it's requires time and hard work plus man management (contractors, HUD consultants, etc.) but it typically pays off in the long run if you do it right and stay reasonably within budget. Otherwise, as you said, the ideal "turnkey" househack inventory the cash flows are far and few between these days.

Hello, 

I am in an owner occupied FHA Loan now on a fourplex. However, I plan on refinancing to a Conventional Loan. Can I use FHA again after this is done for my next house hack purchase?

Thanks.

I agree with @Sarah Lewis. I have a four flat under a gut rehab in Chicago and could not have the water meters separated by units. Best to get the historical water bill and average out among tenants if that's what you're looking to do.