All Forum Posts by: Jordan Ray

Aggressive strategy, Jordan! I like it!!! :)

I think I'd just pull the money out from only one of the two rentals that I already have, which are both cash-flowing (tenants are in place for both). I'm going to take the weekend to digest all this wonderful info from you and the other posters here, and I'll post again on Monday. Have a great weekend!

Hello Everyone!

I have two rentals in Memphis. Both are 3BRs, and they both have Section 8 tenants in place. One home is being rented for $1100/month and the other is getting $1250/month. Both homes were purchased in cash, so I do not have any debt on either property.

I'd love to do a cash-out refi on either home in order to buy another rental, but I am not sure if I'm missing something with the BRRRR method and would appreciate some guidance.

Current Rentals' ARV: $125k for both (slightly conservative # here)

Purchase Price for 3rd/new rental: $100K

Rehab Needed: $2.5k (tenant currently in place, just needs punch list items taken care of)

Gross Rental Income: $1500/month

I guess what I'm having difficulty with is how much I'll be able to receive back from the re-fi that I can use towards the purchase of this 3rd property. I calculate that 75% of the ARV on a home worth $125k is around $93k, but this is where I get a bit lost in the process.

Any advice/guidance would be amazing!! Thank you in advance!!!

 Jordan, 

Great information, Thank you. I will try that out. I have several different things that need to be accomplished very general maintenance, some paint, air filter changes, and light bulb changes. I appreciate your help. 

Ryan 

I have a rental in Memphis, looking to see what someone would charge. I have a quote from my property management's preferred company, however, I do not appreciate their work. Looking for someone who has done good business with people in the past. Thank you. 

Thank you, Douglas! I'm really looking forward to what 2024 brings our clients here in Memphis!

 Thanks Jordan, that is a good idea.  I will look into a rate and term refinance.   I am paying cash for the the turnkey home and am trying to figure out the best time to pull out cash to buy a second property.  My thoughts are to wait until the next interest rate drop.   But I’ll look into rate and term. Thanks 

Hello, I'm going to be closing on my first SFR investment property soon via an all cash deal. After closing I'd like to do a delayed finance to use the cash for a second property. The property is in Memphis TN. I am open to any lender recommendations from those that have done the same. My thoughts are to wait until the May timeframe since I believe rates will drop a bit by then and I'll still be within the 6 month threshold for a delayed finance transaction. Is there a difference between a delayed finance or a cash out refi? They are ultimately the same thing but I know that many lenders require seasoning. Would I be better off waiting until the 6 month mark or later to do the refi? Is there a difference in rates or process? I don't have my second property picked out yet but will work with a turnkey provider once I have the funds. Any recommendations are appreciated. Thanks

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $54,000
Cash invested: $110,000

SFH in Memphis with Section 8 tenant in place!

What made you interested in investing in this type of deal?

It was my comeback deal in real estate

How did you finance this deal?

Cash

How did you add value to the deal?

We fully renovated the property

Lessons learned? Challenges?

It was my first time dealing with mold remediation, and it wasn't too bad at all! :)

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Tjuania Redmond - Agent
Marcus Walker - Contractor

I've noticed a few companies are building manufacturing type jobs in the MS/East TN area and I'm thinking of looking at this area for an OOS SF LTR unit. I'm curious to know if anyone has had any experiences in that area/market you are willing to share. Any agents or property managers/vendors you like in that area? Any advice as I look into that area with some new job growth is greatly appreciated! 

Thanks, @Jordan Ray.  Somebody's going to have their best year ever in 2024.  It might as well be you!