All Forum Posts by: Jay Patel

Hi,

I am close to Huntsville and I have done house hack twice on which I have mortgages so I am good there..but two of the houses I paid cash out and fixed it and have rented it. Since it is more than one year I own the house I was thinking to do cash out financing on 2 rentals...they both are worth around 125k and get 1500 rent.

I went to lot of banks and everyone is quoting about 4000 dollar closing costs for each house for cash out financing. Which is about 3 months of rent but i can deduct thay in my taxes against rent.

Or are you guys using Heloc as I won't be able to deduct that from my rent is what I read.

Also is there a better way to find lender with less fees for closing for cheap investment rentals.

Currently I have 5 rental. 2 with personal home mortgage and 3 paid cash so no mortgages.

Thank you Taylor and Canesha for the reply. I will try to answer your follow up questions.

The town is rogersville in Alabama. I and my sisters’s family moved here from Ohio 8 months back and my sister had to buy house right away in July 2021 as all apartment building here told us to put the name for waiting list and we might get opportunity in 5-6 months to get a unit to rent while I moved in December and I had to give 6 months of upfront rent to a townhouse guy to give me priority over others. Anytime a rental house come it goes away in a day tells me will not be a vacancy issue here.

The property I am looking to buy is 2002 built and half of the roof was fixed in 2015 thru insurance. I pay 675 rent myself right now and I can move in if any one moves out.

My girlfriend has two houses on the same lot (guess perks of living in rural area) where one is occupied by her father and other she rented right away in 3 days for 750 as soon as her previous tenant moved out. She has 3 bedroom and 1 bath but the units that I will get are 2 bed/1 bath.

Also I am not looking to hire a Property management company as I can handle it myself here in the town. Btw I had a house in dayton Ohio that I sold last year and had to fire my property management company there as I was doing more work then them.

Another thing the current tenants on the multi unit are only paying 450 rent to the current owner as he is not willing to raise their rent but they are on month to month and the realtor said u can change the rent when u buy the property to 600 or 650. Previous owner has kept the property well as he put washer and dryer in all units so tenants don’t scratch the floors. I gave offer of 250k around 3 weeks back when the house got sold in 3 days of coming in market for higher offer of 275k but because the buyer’s credit didn’t went thru it came back in market again.

So what do you think.

Hi,   

This is my first multi family property that I am buying and that too in a rural area where rental property has a demand and want to ask you some question as it has a doubt.

The 3-unit property which rents for $600-650 each is selling for 275,000. Total rent I will get is  $1800- 1,950 which I know is less than 1% rule but the property tax on this property is 1000$ per year which I guess will composite for 1% rule. My total expense with 20% down including insurance and property taxes will be around 1200$.

Regarding vacancy at this area will be very less as the apartment always have 5-6 months waiting. 
What do you think for this deal and what all should I do consider. 

Hi guys... I am new in investing field and looking for good deals in Dayton Area...with good cash flow...