All Forum Posts by: Josh Young

@Reynaldo Purvis

Those are not strategies that I would pursue as a beginner, you just listed the hurdles, and they are real.  I always recommend that people start out buying a primary residence every few years, keeping the previous as a rental.  This gets you a relatively low interest rate and a low down payment.  Also, if you need more cash flow you can rent it out by the room.

@Doris Garcia

That is a stiff prepayment penalty, that majorly limits your ability to pivot if you need to change strategies.  Also, the terms and payments don't add up, is there a balloon at 20 years?

@Michael G.

Single family homes and condos almost always sell for less when they are occupied by a tenant.  You want the property to be as marketable as possible, clean and available for showings.  I actually got a great deal on a condo in 2021 because it was occupied by a tenant, it was cluttered, dirty, and had bad photos too, I bought it for $15k under the appraisal when all the other properties available were selling for over asking and waiving contingencies. 

@Michael Naples

That seems really high for most markets with today's rates and prices.  Make sure you are accounting for Vacancy, Maintenance & Repairs, Property Management and Cap Ex. These combine could be 20-25% of rent or more depending on the property.  I think most markets are negative on single-family unless you put 40% or more down.  

@Joe Wall

You should do a HELOC instead of a cash out refi. They will basically give you a line of credit and you won't have to pay anything until you draw against it, and it will be interest only payments for the draw period (usually 10 years, but depends on the lender).

@Ubaldo Gonzalez

I'd shop your local Credit Unions, they will vary a lot, but local Credit Unions are usually the best place to get a HELOC, after you find the best one you might need to open a checking account there to qualify.

@Nathan Bischof

You also want to have in your lease that your tenants are required to have renters insurance.  I use Geico for my car insurance and get a discount for bundling all my properties and vehicles with them, although Geico doesn't directly sell homeowners insurance it's actually Travelers insurance but through Geico.  Whoever you choose I'd recommend you put all properties and vehicles together with one company so you get a discount and it's easier to keep track of.

@Tyson Williams

I'm a Rental Property Investor and Real Estate Agent and I also live in Gilbert.  Take a look at my profile and read a few of my posts, most of my content should be helpful to you.  Here is a link to an article that I wrote and posted: https://www.biggerpockets.com/...

Good for you for wanting to learn so much at a young age, out of all the things there are to learn about in life Real Estate Investing is right up there at the top! Feel free to DM me if you have any questions.

I have one of my properties listed for rent right now, and I have a lot of people request to view the property, but I only give showings to qualified applicants, I am good about messaging and answering questions, but the decision is based on their application (good credit/no evictions/consistent income) this really helps keep the process more standardized, if someone doesn't qualify then I don't need to meet them or show them the property.