All Forum Posts by: Joshua Noth

@Lieren Schuette There are plenty of resources out there, especially depending on the criteria you land on - the Bureau of Labor Statistics is a good example for employment rates, as are many government websites for those types of factors.  However, one thing to avoid is blindly trusting a single resource.  As with literally any information gathering, compare data across different sources. The more data points you have to reference, the stronger your predictions can be

As both @Tanner Sherman and @Joshua Janus mentioned: yes, that is a solid plan.  Especially if your current primary residence would cash flow right away, that is a tough to beat strategy.  It's very consistent, especially if you do it year after year (keep in mind that lenders will require 1 year of occupancy for it to be considered a "primary residence".

In terms of scaling it up - maybe the next property you make a duplex or quadplex.  This way, you get more units faster, while still employing a similar strategy.  Eventually, if you get to a point where you have 5-10+ units cash flowing, you can just purchase more properties with that cash without owner-occupying them.

Hey @Lieren Schuette - it's a very popular question. You could start with areas with good "criteria", such as low unemployment rates, population growth, company relocations, high occupancy rates, etc.  Many times these figures can be found online.

Start narrowing your goals: appreciation heavy market, or one that favors cash flow? Keep in mind, markets can have both, but likely at a price - for example, even Austin can cash flow from day 1, barring that you put more than 20% down.

Sometimes your strategy will also direct you with this. I'll use Austin as an example again (sorry, just my expertise!) - if you are an out of state investor, and you want to do a STR, you won't be able to get that license if within the Austin city limits. Same scenario for small MFH: some cities are full of these, while others don't quite have that inventory.

In short: find what things are important to you, both in the area and strategy, and continue to build upon that.  Use BP as much as you need - a lot of times questions around these subjects have been answered before as well!  Best of luck to you

Welcome to BP @Bryan Smith, great to have you here.  You're taking a lot of great steps towards your goals.  Having your RE license certainly helps a lot - forces you to constantly immerse yourself in real estate.  Wishing you the best of luck, Bryan!

Hey @Cody Collins, you have tons of options, but a solid one is what @David Mackin mentioned.  Unless you NEED to sell the property, keep it and convert it into a rental - it could be a long term rental, or even a medium/short term rental as well, barring that your city allows non-owner occupied STRs.  From here, purchase a new, owner-occupied property - utilize a lower down payment (if you want), and rinse and repeat.   If you can find a small MFH, that will get you more units under your belt as well.  Sounds like you are in a solid spot! Always reach out to fellow Realtors/lenders/investors in your area too for extra advice!

Welcome to the site @Patrick Penderel.  There is a ton of information out there, but it's very important to have a good foundation of information for investing.  Necessary? No, but neither is a wearing life vest on a boat.  The best piece of advice to give at this point is to learn, learn, learn.  Whether its through these forums, through the podcasts, books, etc.  Find what strategies would work best for you, what areas, etc.  Investing locally to start is a smart move - you get to keep things close, see it in person, and so on.

Start learning, keep learning, and then start connecting and networking with those in you area.  Wishing you the best of luck!

Welcome to BP @Chris Alford! Great to have you.  What area are you primarily interested in for MF investing?

@Carter Mezzio I think there are a bunch of great points made in these other comments - I would echo one in particular, where @Mackenzie Grate mentioned "don't over think it".  Obviously don't go in blind and with no game plan, but if your numbers/gameplan is realistic and achievable, sometimes its just getting your feet in the door is what matters most.

That being said, cash flow and appreciation don't have to be mutually exclusive.  Any property can cash flow with a high enough downpayment.  Assuming a lower downpayment (since its owner-occupied), that reduces that chance.  However, if you have 4 units, you could look to make 1 or 2 of them short term or medium term rentals.  This would boost your likelihood of hitting stronger cashflow.  On the flip side, like @Kathy Henley mentioned, you could make small improvements to a cash-flowing property that will force equity into the property.  At the end of the day, it depends what you and your partner's goals are.

Welcome to BP @Elijah Lewis McCall Jr., great to have you here.  You're in the right spot for connecting with other like-minded individuals! Wishing you the best of luck

Hey @Heath Hamlin and welcome to BP. Your first move is coming here, so kudos on the first step.  Learn, learn, learn! Put briefly, the "Education" tab at the top of the site has TONS of great first steps.  There are a few that I would highlight: the "Real Estate Rookie" and the "BiggerPockets Real Estate" Podcasts, "Set for Life" by Scott Trench, and "How to Invest in Real Estate" by Joshua Dorkin and Brandon Turner.

There are obviously hundreds of more sources that I could recommend, but these are a couple of great ways to get your toes wet, diving in further where you see fit.  Best of luck to you!