All Forum Posts by: Jeremy Pace

@Chris Mason EXACTLY.

@Chris Mason you are correct about Fannie Mae, but every bank puts their own flavor on their process, you can be qualified under FM and still not get a loan because their internal policy says 'No'.

@Taylor K. banks should use the 70% of the rental income in their underwriting process right out the gate.  I would strongly recommend that you talk to more banks.  Focus on credit unions, they are generally more receptive to investor financing.

@Taylor K. please clarify is you're referring to seasoning, or something else, thanks.

@Jordan Abromovitz hello!

Adam Rothberg of Liberty Insurance Brokers (Google it) I can't speak highly enough of him, or his hustle.

They have insurance products specific to flipping houses.

Make sure to get freeze coverage too, I didn't see it mentioned here.

One last thing ... anything but Replacement Value Coverage is a bad idea.  It's difficult to describe in a forum post (because it gets really mathy, really quickly) but you can easily find yourself in a situation where if something happens, you're not made whole, you're just a bad off as if you didn't have insurance at all.

@Emily Fraser that's great!  Now that you know what you're looking for, you simply need to look until you find it, and then pounce.  If you ever come up with any questions, let me know, I'm happy to help.

@Emily Fraser welcome to BP!

It sounds like you're interested in some form of house hacking, have you begun to look around the city and thought about where you might like to live?

@Neil Metzger I'll message you, I have two people in mind that I think would be very helpful for you.

@Neil Metzger I know of several, what are you looking for specifically?  duct work? furnace/boiler installs? everything?

@Varinder Kumar I would not recommend Shamokin, it's a tiny town with enormous budget and industry issues.

As far as CoC 15-25% in Class B, I'm sure that they exist, but I don't think that those properties change hands very often. To get that kind of return below $250k, you're looking at class C at best, if you want options. Even at 15%, you'll have to cashflow $1k per month (30% of $250k as your 'cash' ... so 15% of 75k, or $11,250/year cashflow) ... that's 250-500/door per month, which is a LOT.

@Anthony Angotti is pretty much spot on with his 100-200/door cashflow outlook on rentals ... and as an out of town investor, you'll have to eat a management fee too, which will slim your choices even more drastically.

Would you consider moving up into a small apartment building? 5-19 units?  You could potentially achieve your goals if you can gather a little more seed money up front.