All Forum Posts by: Ko Kashiwagi

Hi Kevin,

Was your home in SD also a house-hack? If so, you'd probably pretty familiar with the process and it would be a good idea to do another house-hack if you had a good experience from it.

In general, if you're out of pocket-payment is less than the rent you would've had to pay, it's not a bad idea to do a house-hack.

Hi Hunter,

Deals with similar prices can have varying reserve requirements as different lenders have different requirements. Closing costs can look different depending on if you are purchasing a 50k property of 500k property. Depending on the type of strategy and the financing, reserves can also differ - whether it's a short-term rental, mid-term rental, conventional, DSCR, etc.

In general it would be:

downpayment + appraisal + title fee + escrow fee and prepaid + lender's fee

For rentals, you would usually be required to have cash on reserves for a certain number of months worth of PITI - typically anywhere from 3-12 months. If you want more specific numbers, it's best to get real estimates from your lender, title, insurance companies.

Hi Matthew,

Have you reached out to other insurance companies for quotes? I'm not familiar with your market but I know insurance can jump up quite a bit sometimes. A deal I was looking at in Fort Myers had their insurance jump from 3000 to 6000 in one year.

Hi Forrest,

Our office is in CA but we can do flip loans in most states including VT! Happy to connect!

Hi Kyle,

There are options out there for constructions loans for investment properties, although they typically require experience. Since the second home plan is only intended for second homes, you wouldn't be able to obtain the second home loan if you are intending to use it as a rental. Happy to show you what's out there for constructions loans.

Hi Heidi!

Welcome to BiggerPockets! I'm also guilty of adding to the wishlist on Zillow😅

Hi K,

It would be a good idea to first research more on the property - whether the property had fell out of contract, what the pricing history has been, what the neighborhood looks like, whether it is overpriced, etc. If a house has been on market for 230 days, there is typically a reason for it. Asking about any problems or things that needs to be fixed is very important.

You can also get an inspection before getting under contract, or put an inspection contingency to cover yourself.

Hi Paul,

Rehab costs vary a lot depending on the location. A floor rehab in Los Angeles will be different than a floor rehab in Cleveland. For ballpark numbers like this, it's probably best to contract contractors and flippers in the area. With that being said, I'm attaching a page I read on a book for reference.

Hi Shenouda!

Love the positivity! Welcome to BiggerPockets!

Hi Caleb,

Is the rent of $1,300 a month per unit or combined? If it's per unit, it would likely make sense even if it's cash flow negative for a period of time. If the rent you will pay (if you don't house-hack) is higher than the negative profit per month, it generally isn't a bad play to house-hack. Home-run house hacks where you can stay cash flow positive while occupying is rather rare nowadays.