All Forum Posts by: Justin Hammerle

 I would contact the city first to see if they are going to require testing prior to issuing a permit or C/O because of the explosion.  If they do, then you would have to contact an environmental agency that could drill into the soil and give it a clean bill of health.

@Blake Grzybowski - just a side note here outside of valuing the land.  If you had a gas explosion you could have a situation where you may need soil remediation; this can be very expensive and absolutely destroy the value of a lot.  Just something to keep in mind if its not on your radar.

best of luck

@Abhishek Sharma - I am not sure how far under a $1m you are but if you are close like in $800-900k range, you should be able to find a MFH in Boston Metro that you can afford.  Inside I-93/95 will be a challenge, but outside it and inside I-495 should be fairly open to you.  I would stay within the commuter rail system and focus in areas where you are not too far from major arterial roads connecting you to I-495; Like Route 1, 3 and 9. IMO that's where your likely to see the most value growth.

@Joan Saylor - this may be pretty obvious but why not consider listing with an agent if you really want to sell? MLS will give the property the greatest exposure and probability of highest sale price.

@Sia Herr - I would say your first step is figuring out whether or not you have seller.  You can use direct mail or door knock the property.  A house that looks like it hasn't been kept up can be a fair indication of an opportunity but in my experience there are a lot of stubborn owners out there that just don't care to sell.

@Steve Wolfrey - at 5 residential units you would need a commercial loan regardless of the retail space.  Mixed use financing is a challenge and most small shops try to stay away from it but you may have some luck with some larger banks or private lenders.

Congrats! Doing a 5+ unit deal as your first is pretty admirable; interested to know how challenging the financing was in this environment.

@Darryl Ribeiro Sr. - If you guys are in a tough situation and are both in agreement I don't hate the idea of switching out a SFH for MFH house hack; a MFH will however carry additional expense and time with the added income. I would also visit with a loan officer and go over all the risk factors of loan approval for a MFH in the markets you are considering assuming you will need to sell prior to being pre-approved.

@Michele Granata - I think as what most responses are alluding to is that due to unique competitive market we are in agents may be finding it difficult getting offers accepted using FHA financing because there are so many offers on table for each individual property. The market could be shifting but I think in your case you should always go with what's in your best financial interest and in most circumstances that is likely to be an FHA because of its low down payment and rate. Just understand that it is going to be more difficult getting an offer accepted if you are dealing with a property with high interest from other parties. If you try to look for properties that have been sitting for more than 2 weeks you are likely to have a better shot as that is generally when activity slows from a newly listed property.

@Tyler Suggs - There is always the option of selling down the road if the house does not cashflow; I am a subscriber to the idea that the sooner you can capitalize on building equity the better.  In strong market like Boston Metro you also have natural value appreciation working for you.  If the condo option is affordable for your family, perhaps buy it, fix and it up, and sit for a few years and re-analyze.

best of luck