All Forum Posts by: Julien Jeannot
Julien Jeannot has started 6 posts and replied 750 times.
Post: Construction Loan without builder experience
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
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Any particular reason you are opting to use a first time home builder rather then an experienced one?
That's an enormous amount of risk and faith.
Post: Take the equity and less cash flow or
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
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Quote from @Ty Cover:
Quote from @Julien Jeannot:
I'd say it depends on what the next steps of your long term strategy requires. If that is not mapped out, I'd recommend a quick though exercise:
- 10yr goal
- Back into 5yr goal
-Back into 3yr goal
-Back into 1yr goal
-Back into your next step.
This doesn't have to be done in detail, nor fully vetted to 10yrs. The value is in the exercise to figure out what you need to do today to set you up for the next step.
I want to continue to buy and hold rentals after force appreciation through rehab.
The main question would be whether $50k cash would be more beneficial than a $50k LOC and $400 less mortgage payment. This will help me decide my direction in the future.
The refi will free up my original $225k LOC so I'll be able to repeat the process either way.
The additional $50k LOC won't be enough to buy and rehab a property alone. I will have to go through the process 2-3 more times until I have $150k+ in a portfolio LOC.
With cash I’ll be able to put 20% down, but it will be more difficult to do a large rehab.
Got it.
Here's how I think about these things.
1) LOC Opportunistic: when I don't need the funds right away and intend to pay back in short period of time.
2) Refi - Cash out: when cash flow supports it, for longer investment opportunities such as buying a house. Do keep in mind DTI ratios, speak to lender on the impact of the refi to the next purchase.
3) Refi - no cash out: to improve cash flow and DTI ratios. No investment opportunity on the horizon and cash in the war chest for future rehabs or acquisitions.
Post: Annual and monthly tasks owning a rental property in Philadelphia
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
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- Bookkeeping
- Newsletters to tenants such as:
- Winterization tips: min temperature, outdoor faucet covers ect.
- Landscaping tips
Post: question re new 5% down fannie mae law on multiplex, passed in 2023
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
- Votes 1,043
If you are buying in the next 3mo, its time to talk to a lender who can answer all of your questions tailored to your situation.
Also time to chat with a realtor that caters to REIs. The realtor will (should) have a preferred lender that also caters to investors.
You want to do this now, to put the pieces of the puzzle together to be in a position to close in 3months.
Post: 2nd house hack financing
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
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Sounds like great questions for your lender.
If you don't have a lender that is experienced with REIs, go find one that can offer solutions to financing your next deal or advice on what to do this year to qualify.
Post: Take the equity and less cash flow or
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
- Votes 1,043
I'd say it depends on what the next steps of your long term strategy requires. If that is not mapped out, I'd recommend a quick though exercise:
- 10yr goal
- Back into 5yr goal
-Back into 3yr goal
-Back into 1yr goal
-Back into your next step.
This doesn't have to be done in detail, nor fully vetted to 10yrs. The value is in the exercise to figure out what you need to do today to set you up for the next step.
Post: New to REI. Nervous, should I get training?
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
- Votes 1,043
Quote from @Nicholas L.:
there are lots of things you can do:
-talk to a lender to find out how much you can borrow
-find an agent and go look at 50 potential house hacks
-reduce your expenses so you can save more each month
-go to all of the local REIA meetings and find out what the other investors are doing
just because you haven't bought something does not mean you are in analysis paralysis.
wholesaling is labor intensive, and getting your RE license won't help you invest. but certainly keep learning about them if you want to.
hope this helps
Solid advice here. The only I'd add is find a Lender/Realtor who cater to investors and enjoy coaching their clients.
Post: BP pro worth it for a newbie?
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
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Plenty of free calculators out there.
Another approach is find a good realtor who specialize supporting investors and they will have all the tools you need as well as coach you through it.
Post: How to find a wholesaler for flips
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
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Network: in person, on forums, on facebook etc...
Post: Buying a home every 2 years, renting the previous home out, and repeating, good idea?
#4 House Hacking ContributorPosted - CPA, Real Estate Broker & Investor
- Seattle & Woodinville, WA
- Posts 757
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That's a phenomenal strategy, make it better by doing it with 2-4 units.