All Forum Posts by: Justine Scheuher

Still do your due diligence...you don't want to be stuck with a filthy, drugged-out, drama queen with shady friends for 7 months. Take their situation into consideration...why is she moving, does she plan to get a job, etc. Make sure she can pay the utilities too if they are not included (or maybe increase the rent to include them so you get that up front too). If she's a responsible adult and her dad wants to pay upfront for the lease, thats awesome. 

I don't see the harm in screening them both/putting both names on the lease. It could put you a little more at-ease. Call references for her for sure, see if you can find her on social media, etc.

@Monica P.

Congrats!!! (On both your 4-plex AND engagement!!) This is such a great opportunity and a  GREAT potential wealth building asset. 

I just bought my first home in May 2017, using an FHA loan. So yes, we are stuck "living" at our homes for 1 year. However, a year goes by SO fast! Your address might be at this 4-plex, but the government can't dictate where you spend your time.

Have your hubby-to-be buy/rent a place near your work (that is still a wise financial decision), and stay there during the week if it makes your commute better. Does one of your 4-plexs have 2 bedrooms?  Can you have a roommate to help with the mortgage? 

Thank you everyone, for the input and words of encouragement. I feel much more at-ease with where I am at. In a perfect world, I would have liked to find a multi-family unit where I could not only be saving money, but also cash-flowing. It is hard to sit tight, save, and wait but I now see the positives of my current situation too. In the meantime, Ill continue learning, listening, networking, and maybe even do some home-improvements. 

@Kristina Heimstaedt Thank you for your response, encouragement, and prospective! I have been so caught up in what I could have done that I haven’t spent much time thinking about the real goal of selling.

@Charlie V. Great questions. My knee jerk reaction was to sell/buy at the same time. Specifically looking for a property that would create a cash flow. However, my next steps, as you said, need to be clearly defined before lacing up my skates and going into a china shop (which has been my default technique in life lol).

@Brian Pulaski I have definitely overlooked the positives of my current arrangement. Thanks for the input.

@Matt K. Yes this was my plan. Using the money from selling my house to purchase a MFH. I feel less of an urgency to do so now. Taking the next year to continue to learn and save seem like a wise idea.

@Jordan Moorhead Thank you for those words of encouragement! I love the idea of finishing the basement. Congrats on the 6-plex!

@Scott Trench Thanks for the input! I’ve been so caught up in the “what I could have done” that I failed to see the benefits of my average-to-good house hack. I can see where having clear exit strategies are VITAL. Next property will meet those goals. It's hard not to get amped up and want things to happen right-meow but taking the next year to save, learn, network might be a wise decision.

@Pedro Martins Love the idea of finishing the basement and Airbnb it...esp for Derby. I think building a team will be key too. Thanks!

@Dave Foster I can’t thank you enough for the pep-talk and encouragement, its greatly appreciated. I’ll keep that rule of sec 121 in mind (and hopefully find a husband by then to increase that tax exemption :P, jk). I love the idea of finishing the basement--It's perfect for an extra living space--its dry, has a side entrance, and a lot of natural light for a basement. Love the term “war chest” too :) Thanks again. 

@Scott Trench ruined my first home purchase.  Just kidding...kind of, but in a good way.

This year, May 2017, I bought my first house. Renting felt like I was throwing money away so I thought I was making a smart investment when I bought my house...unfortuately this was before I found out about bigger pockets. 

Since finding BP Ive been listening to the podcasts, read Brandon Turner's The Book on Rental Property Investing. And currently reading Scott Trench's Set for Life. I am realizing that my house was probably not the best to get started in investing...I bought it for $260,000 with a FHA loan in Louisville, KY. Mortage is $1600/m...and I have 2 roommates that pay $1,320 of it (so I am able to save more than when I was renting) BUT I could have made a MUCH better investment.

I'm not sure what I should do next and was hoping the BP fam could give me some input:

Should I just keep it for 5 years and then sell (I think I heard on bigger pockets that if you own a house for at least 5 years and lived there at least 2, you can sell it without paying taxes on capital gains).

The house is beautiful but only 3 bed/1 bath (all upstairs), main floor has all original hardwood flooring (living room, sunroom, formal dining and eat in kitchen) and the unfinshed basement  has laundry, storage, and an emergency toilet (no walls surrounding it lol). Would it be wise to try to finish the basement and then sell?

Or just put it up for sale as-is and see what happens. (The previous owners wanted 290,000 for it...but I was able to purchase it for 260,000. It appraised for 263,500. Since Ive had it i put a new roof on it.) It is in a desirable neighborhood. 

Or maybe just sit tight and keep saving by living frugally? Im currently saving $900/m but hope to increase that to 1000-1200 by not shopping at Whole Foods, ha. 

Any ideas, thoughts, or advice would be much appreciated! 

@Will Gaston lolol "And I expect it to fill 1/2 of the Library of Congress by the time I retire." too funny! Thanks for posting this discussion. Learning a lot for these comments!

I think it's a good idea to save for all of these things. But does this money just sit in a bank account waiting for disaster to strike? lol.  Or do you eventually save a specific about of money depending on the house and just replenish that amount when something needs to be repaired? 

@John R. Whittington I would recommend Katie Noe--she is a Realestate agent with a lot of investing knowledge. Her and her husband are both investors, flippers, wholesalers, etc. I'm very new to investing and they have been a big help already.  I'm sure her hubby, @Brad Noe, would vouch for her too :P  

@Andrew Syrios thanks! That makes sense.

@Alan G. This is great! Thank you, I didn't realize how much freedom/creativity I could have :)

@Tom S. Thanks! That helps a lot! I am currently in the planning/learning phase of my REI adventure and its helpful to see how others do this--especially with family/friends. Keeping it simple/causal sounds great.