All Forum Posts by: Kayla Givens

We started looking for our first investment property in February of last year after finding BiggerPockets in January. It took a lot of offers but eventually, we got one under contract in March for $62k over asking and never looked back! We purchased it as a house hack with the intention of turning it into a sober living/recovery home for men with substance abuse issues. We moved in in April, got to work getting everything set up, opened our doors for business in June, and by the end of September, we were full and moved out and into a new property. 

Our first investment was an okay one - no major issues with the property but it's not the nicest. We had to get all new windows, we added solar, added two egress windows, added another bedroom, updated the concrete in the front of the home and in the back of the home, and have plans to fix all of the landscaping as well. Overall, a great purchase and cashflows really well for this market!!!

 Absolutely! I sent you a DM - would be happy to chat more about the Denver market and help you figure out what strategy would be best for your next move :) 

Hey, @Kaylee Walterbach! Great question - do you own any properties yet? If not, I would highly recommend buying locally first, as you can take advantage of house hacking (all the advantages you mentioned) and get some experience with property management if you choose to self-manage. Yes, Denver is an expensive market but property prices will continue to rise, and it's better to get your foot in the door NOW. You might be able to acquire more properties out of state but what will the difference in cash flow look like once you get property management in place?

Either option will be great to get your foot in the door with investing :) 

 That sounds like an excellent idea and out in NC you'll be able to find plenty of land for decent prices! I'd start looking to link up with a local investor-friendly real estate agent :) 

Hey, @Josh Pulley! Congrats on making the move from Vegas to NC - it sounds like you definitely are ready for a change! I have good friends that just moved to that area from California and they're very happy they made the switch.

With that much capital, if I were you, I'd start out with house hacking or finding a primary residence for 3.5-5% down. If you're not interested in living with roommates, live there for a year, rent it out and move on to the next property utilizing the same low down payment option. I'd do that because 1. you're getting a property under your belt right away and 2. It leaves you with plenty of funds to go after a fix and flip in the meantime. 

Best of luck to you!!

Hey, @Avery Clair! Congrats on choosing Denver as your next home - it is truly an amazing place to live and definitely a great place to be in terms of real estate investing. I sent you a DM but would be happy to connect on the phone or over coffee (when you get here!) to chat about the Denver market and help you build up your network!

Hey, @Tom McDermott! Echoing others here - I have seen more price drops in the last few months than I saw in all of 2021! The market is definitely making a shift and sellers are playing "catch up" when it comes to pricing their homes competitively. A lot of buyers have been priced out of the market due to the rise of interest rates and prices remaining high (although we are seeing the drops). 

As an investor, if I had the ability, I would buy as many deals as I could right now. Like others have said, sellers are no longer getting the "as-is and take my firstborn" treatment - I've seen more price drops and seller concessions than ever before!

 No problem!! I would try hitting up a local lender to discuss more in-depth and iron out some details. I believe your co-signer/co-borrower would not need to live in the property, and you could still qualify for a low down payment option BUT I am not a lender so I'd confirm with someone you trust. The good news is you're in a great place to find a local lender here at BP! I'd start reaching out :)

Hey, @Ethan Dezzani! Congrats on getting a jump on things while you're in college - I wish I had had the insight and thought to purchase a home to house hack while I was your age! I'm curious why you were told you would need a co-borrower to get a 5% down option? Can you share a little more insight into what your lender told you? Typically, if you are going to occupy the property as your primary residence, you can purchase a home for as little as 3.5% down using an FHA loan and 5% down using a conventional loan. If your debt-to-income ratio supports it, I would definitely go for the conventional loan option.

If I were you, I'd definitely plan on occupying one of the rooms. This way you get hands-on experience with property management and can take everything you learn with you when you get the next property. 

My fiancè and I plan to use a DSCR loan to purchase our next group home as the cash flow covers the mortgage and then some. We'll also be looking to purchase an STR using a DSCR once we've built our reserves back up for a down payment. Anyone using a DSCR loan for their STR - how is it going?? What's the cash flow look like? Was it worth it?