All Forum Posts by: Jordan Deeney

Hi @Nam Hoang. If you don't have that much stuff, and you can get the flooring done in one of the rooms to put your stuff in ahead of time, I think that would work. You could just cover it with plastic or a sheet to keep dust and paint from getting on your stuff. Personally, I wouldn't do it if all my stuff didn't fit in one room easily and I couldn't get the flooring done ahead of time. It would be a pain to be having to move everything from room to room. Plus contractors could get paint on it. Theres my thoughts! Hope that helps. 

There are arguments to go both ways on this. It ultimately depends on YOU and what YOU want. With having a 9-5, you have the ability to get financing a little bit easier, which is great if you want to start building your passive income through rentals. And, if your job pays well, it gives you another source of income to put into real estate. You can always quit your 9-5 if you prove to like and be good at flipping once you've done a few. Or, you can quit your job now and dive in full time and possibly make more money flipping than you would have made at your job.  If you fail, you can always get back to the 9-5 game if you need.

Personally, I am in a similar situation job wise and financially. I am deciding to quit my 9-5 right out of the gate because I love real estate and I want more control over my own life with having a young family at home. 

Just depends on YOU and your situation.

I hope you gain some clarity from everyone's feedback. 

uick question, or what would you do? If you had a lot of money in the bank to fund flips would you do it while still working a 9-5 or don’t even bother getting a 9-5?

Yes, it is best to get prequalified for a loan before shopping. You go to a lender, give them all the information they require, then they will inform you of the maximum amount they can lend you. Then, it is always wise to get a "pre-approval" letter from them to submit with your offer on a house. It gives you strength as a buyer when making an offer. Which is very important in this hot sellers market.

One you have an accepted offer, you then will begin to go through the process of acquiring a loan from your lender, which needs to be finalized before you can close and acquire the property you're purchasing 

Hope this helps!

Sure thing @Kaden Cole. BRRRR stands for buy, rehab, rent, refinance, repeat. It's a technique for acquiring properties with little or no money out of your own pocket at the end of the process.

For more info, I would just point you in the direction of the bigger pockets podcasts and forums. They have tons of information on this subject. Hope this helps!

The answer to this is definitely very much subjective to many aspects of your current situation.

I will speak from our own personal experience on your first option. 

Before I discovered bigger pockets, my method was too move into each house I purchased for a year or two, before buying another one. It just made sense financially. Low down payment, low interest rate, etc. But, then I discovered BRRRR method and felt that made much more sense. Plus, you don't have to wait a year.

Also, before discovering BRRRR, my wife had already said we are not moving every year haha. We did it once and that was enough to realize the hassle for us. But, everybody is different.

Good Luck!!

This has been a struggle of mine as well. 

I educated myself on a lot of different avenues. From there, I looked at what things I felt the most passionate about, what I felt fit my current life and financial standing. In other words, what I loved the most and could start with today. 

In response to @David Smith, I don't believe you need to money to make money. I used to think this, until I discovered bigger pockets. 

What do the always say on the podcast? Something like, all you need is 2 of the following 3 things: knowledge, hustle, money. 

Excited you're getting started Gabriel!

@Tyler Mundy. Sounds like a deal for no money down! Exciting! 

It sounds reasonable, as long as the numbers work. Your use of the word "should" when you say the NOI should cover both loan payments, would scare me. With being 100% leveraged, you need to be for certain that you're still cash flowing comfortably. How comfortably, is determined by your risk tolerance and cash reserves. Personally, I would want some solid cash reserves and/or to be cash flowing very well when being 100% leveraged.

It is my understanding that syndication is only when you're pulling money from multiple parties and giving equity splits in the deal. Not just interest on their loan. 

Along with @Larry Caper's point, Joe Fairless's book is fantastic education. A couple others I thought were very educational were Crushing it in Apartments and Commercial Real Estate by Brian Murrary and The Complete Guide to Buying and Selling Apartment Buildings by Steve Berges. 

@Richard T Himes is right on it. I would check out some different banks. In my experience, lenders even use the rent from the property you're purchasing and count it as income. So I'm not familiar with a waiting period on counting your rental income. But, every bank is different. 

Thank you @Andrew Postell. That was a very clear explanation this strategy. It sounds to be a lot easier to do this with cash or a heloc loan, but possible to do with other techniques, though harder. 

Thank you @Carl Dowdy and Brian Ellis. I plan on using a Hard Money Loan mixed along with money from a Heloc on one of our properties. That sounds like a method that should land me the ability to do a cash out refinance without seasoning from a bank that allows it?