All Forum Posts by: Jeremy Roberts

@Michael L. - I agree that is the way to go. Future equity we borrow out of the HELOC will cost us 4.625% variable, but our short term goal is to pay that down before the interest rate goes up...which we all know will happen. My approach isn't extremely popular as interest rates do go up, but I'm active duty military leaving for deployment. So, my wife and I are paying down the loan over the next year to minimize any interest rate adjustments. The cash out refi you're doing works too and gives you the fixed rate interest to manage the rental. I simply wanted the ease of moving on a new investment every time I have enough equity in the HELOC. It's my way of managing the overhead prior to every new investment.

@Michael L. - My wife and I refinanced to a first position HELOC to get access to 80% equity. New loan offered us 3.2% fixed APR on the payoff amount for the old loan. This gives you access to most of your equity toward purchasing your next investment and the smaller monthly payment you want. Then, you can be a cash buyer for up to $228k. Make sure the numbers work even after you tap into the equity, but I would expect your GOI to be over $1700/month on the new loan, even at current interest rates. Of course, all of this depends on the terms of your HELOC if you choose this option. Enjoy!

@James Hsia  - Every time the rent isn't paid, it's an extenuating circumstance. I agree with @Thomas S. about never using the deposit toward rent. In Virginia, we can use it after the tenant vacates, but someone in that position doesn't usually take care of the house either. And, they'll blame you for their extenuating circumstances by the time everything drags out. Evict and move on. City courts take vacation too so you could be stuck until early next year.

@Jesse Harris - All the mentioned websites work, but the MLS is the best. Not only will it give you the comps, but you can get historicals on your subject property if it was ever listed previously on the MLS. As a bonus, you can take the opportunity to build your team and vet a decent real estate agent.

@Anthony Bobbins - Anything written by Grant Cardone or Gary Vaynerchuk. Success leaves clues!

Consult a tax professional, but the law didn't change regarding tax exemption on capital gains for the first $250k for single people and $500k for married when selling your primary residence. I don't invest in properties or areas I wouldn't live in.

@Aaron Robertson - I recently refinanced my house (future rental) with a home equity line of credit (HELOC). This allows me to quickly use my own equity to finance future deals. This is what works for me based on my income and goals. Definitely research thoroughly.

@Maya Torres - I rented for the first 10 months after the Navy brought me to Hampton Roads. I bought my first house in 2001 right before the market took off. I have moved around a lot in the area, but have spent my whole career here. If you are absolutely against buying in Williamsburg, maybe Western Branch or somewhere on the Penninsula closer to the population centers will be worth looking at. Also, if you are an active duty family, maybe the same reason you don't want to buy in Williamsburg will make your house an attractive rental for someone else when your three years are done.

Family...

@Nicole Heasley - And makr it the gift that keeps on giving :-)