All Forum Posts by: Katie Phillips

Thanks!

@Tom Dieringer

Thanks! Yes, you're correct. It's a small home, 3 bed, 1 bath, 897 sq ft. I noticed the smaller homes obviously sell for less, but they don't rent for any less than an 1100 sq ft home. It does need a few piers, 4k total, but after discussing with a few companies and structural engineers, I don't plan on fixing that for at least a year or so. 

I got floors from LL flooring. They will let you open a contractor account if you own a few rentals, which makes the floors a great price. Even better than Home Depot/Lowes for a better quality. I also did some of the work myself and used Amazon for fixtures/finishes (much cheaper than Home Depot for the same quality). I did hire someone to fix the HVAC and run air ducts through the attic, an exterior painter, and a few handymen to help with countertops, floors, and odd jobs. 

HVAC - Bob Weems

Handyman - Jesse Huis 

Painter - Juan Grimaux 

Hope this helps! Best of luck on your investing journey :) 

@Doug Spence 

I found this one on the MLS.

All in one loans are a little different, so technically you only have to pay interest for 3 years and taxes/insurance are paid outside of escrow. They sort of act as a HELCO and conventional at the same time. Basically, I will have my rent payments deposited into my loan account every month, which is $1175 ($1250 rent less PM fees). Interest is calculated monthly based on how much you have in the account, so my payment will typically be less than $607, but for our purposes of comparing to a conventional, please see below. The nice thing about All in Ones is that you can take the money out at any time to make repairs, etc. I do not plan of taking anything out unless I need to fix something on the house,so I am kind of making extra payments on the house. Hopefully that makes sense! Let me know if you want more info :) 

Interest payment = $607 ( I would add about $60 here for principle if you're comparing to a conventional).

Taxes = $128

Insurance = $80

Property Manager = $75

Vacancies/repairs = $190

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $128,500
Cash invested: $47,150

I started my long distance real estate investing journey in OK! I purchased a single family home in Broken Arrow in Feb 2023. I put about $15000 into the rehab which included floors, paint, exterior paint, HVAC, countertops, etc. I am using an All in One Loan with 25% down to help keep monthly costs low, and now I am hoping to refinance with an AVR of at least #165,000 later this year.

How did you finance this deal?

All in One Loan - 25% down, 7.7% interest rate

How did you add value to the deal?

New floors, paint, exterior paint, HVAC, countertops, fixtures, etc

What was the outcome?

Currently renting on a year lease at $1250 a month. Tenant pays all utilities.

Lessons learned? Challenges?

It is better to have a rental rented out, than getting top dollar with vacancies.

@Chris Seveney 

If you are unfamiliar with house hacking, I could see how you could read it that way, but I live in this home, which is why it is a primary. That is also why I am only renting out 2 of 4 bedrooms. As an agent and investor, I am fully aware of the requirements and conditions of getting a loan, and I would never commit mortgage fraud. Thanks for looking out, but no need to worry :) 

Investment Info:

Single-family residence buy & hold investment in Rancho Cordova.

Purchase price: $345,000
Cash invested: $20,000

I originally purchased this home as a primary and house hacked for 2 years. I saved enough cash to move into a second home, and use this one as a rental. I built a 4th bedroom and rent each room to an individual to create more cash flow. Most of my tenants are students and traveling nurses.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $580,000
Cash invested: $30,000

I purchased my second home as a primary, so I only had to put down 5%. I am renting out 2 of 4 bedrooms at $925 each to help pay the mortgage.

@John Do 

@John Do They aren't hardmoney lenders, but they can help you get the home with cash. I'll PM you Matt's number. 

There are lenders out there who will guarantee a 14-day close ot purcashe the home for you (which means it's an all cash offer for you!). I know Amerifirst will buy investment homes too. Let me know if you would like a contact. 

You can reach out to 5 agents in each state and ask them to help you narrow down a location, but most agents are experts only in 1-3 counties per state, and 5 states is a lot of area to cover. I suggest narrowing it down to a few different specific locations on your own before finding agents.