All Forum Posts by: Justin Sherfey

@Melissa Murphy I've heard your name in our house before, it's good to hear from you. You have a valid point, I would be maxed out. I tried to buy a rental these last couple of months but couldn't swing bank financing on anything that would work. I have a private money partner who I am actively looking for a multi-family project to start. I'm not sure if I would have my money involved in that deal or not, it depends on what we find. I appreciate your willingness to connect, thanks for your time.

Justin

@Nik Moushon I agree! I would hire everything out. Price per sf is tricky as there are so many variables on acreage. I would have to say on average, the cost of the house would be between 250-300k, not including the well and the lot which can average 100k together. It really varies from house to house. My dad has built for 25 years. The only logical exit plan is to sell, they're priced in the 450k-550k and doesn't make a great rental. If worst came to worst we would drop the price to taking a loss and getting it off our hands. I really appreciate your time, thank you!!!

@Jaysen Medhurst That is exactly right. My goal with the spec would be to further build up my cash reserves, take advantage of this sellers market, and eventually roll it into a multi-family investment. I do see the spec build as a relatively safe option being that my dad 25 years experience and has done very well. At the end of the day there is no guarantees however, I don't view it as risky as others do. 

I agree with  your thoughts on a rental, however I'm not able to qualify for bank financing. That has been the biggest hitch for me. I do have a private investor who is interested in multi-family, but my 70k  is  pennies when it comes to those properties. I greatly appreciate the insight, thank you.

Hello BP!

I’m a 20 year old college student looking to either buy a rental OR build a spec house with my dad. I live in Spokane, WA and was looking for advice on which to do first with today's market. I have about 70k in the bank. A spec build would have a cash on cash return of appropriately 75k over a 9 month period (if all goes as planned) and for a rental to work I'd need $200+ cashflow and 15%+ ROI. At the moment I do not qualify for bank financing because I do not have two years of provable income (I'm a musician). Any ideas on which path to take in today's market?