All Forum Posts by: Masyn Grant Barney

There are so many ways to house hack. Many people think of only one or two ways. But anyway you can leverage your primary residence to make $ and lower your personal mortgage obligation than you are house hacking. 

Townhome/condo/SFR - rent by the room

ADU / multifamily units - self explanatory

Storage / Space rental - Rent extra space/bedrooms/garage for storage, driveway for car parking, etc. Here in UT there is a cool company www.neighbor.com that is the Airbnb for storage. 

Do whichever best suits your personal situation! 

Beneficial Ownership Information Reports

Are they actually going to fine people $591/day for being late? Or all together forgetting?

I just did one for an entity I created this year.

It has been 89 days since formation.

I was 2 days away from being late, and potentially opening myself and business partner up to fines of $591/day.

It just seems like there will be many that fail to file their report and I just can't see the government really going after tiny businesses for so much money for something that is so easy to forget to do.

Thoughts?

I would only compare to 2 unit multis

 Yep! I have had clients benefit from it. It’s been an awesome program that I believe was correctly targeted to help those who need it the most and also boost supply. 

Another credit union here (I believe they lend in Colorado too) has a no income limit 0% down program. Lmk if you want me to connect you to a lender that offers it. It's a 40 year amortization with no PMI. It's awesome.

@Joseph Still welcome to the community! This is definitely the place to start. Keep a lookout for any investor meetups down there. Meetups by far have been the most impactful thing in gaining my RE investing knowledge. Nothing can replace you being in the room when both small and large deals are being talked about. 

If you are looking down in Saint George, you should definitely connect with Kristen Whetzel. DM me and I can pass her number to you. She is an incredible investor friendly agent down there that knows her stuff better than most. 

If you look up here in UT county or SLC county I'd love to be a resource for you. We have a solid meetup in Provo I enjoy going to and have learned lots from. Feel free to reach out with any questions along your path. 

Utah had a bill passed (SB240) with limited funding (it has been plenty so far) that gives $20k to first time home buyers in a form of a 0% loan that is paid back on refinance or sale. I think it is an awesome program because of the following. 

- Must be on a new construction home 

- Must be under $450k (which can be hard to do on new construction here) 

- Also protects against deflation by saying if the equity upon sale is less than $20k, only 50% of the equity needs to be paid back. Which helps keep the home buyer from being boxed out of a sale if they happen to see depreciation. 

- Is income capped so we are helping those most in need. 

This bill is meant to help first time home buyers while also incentivizing builders to build more starter homes rather than bigger more expensive homes. Addressing the issue on both ends is key and I believe this bill does that. 

I think a similar approach should be taken by states with the biggest issues. Mainly those that have seen sharp price increases without incomes keeping up. I agree that the current proposal by VP Harris is not the right approach. 

Security Service FCU use to do a 100% LTV HELOC in UT and CO. 15 year draw 25 year payback 40 year loan. Interest only and had decent rated. I have heard they won't do 100% LTV anymore, but even if its 95% that's better than most. They are on primary residences only though so not sure if you were looking for that or for an investment.

@Greg Kasmer, I love it! Yeah I would take that cashflow every single day. Here in UT without a significant downpayment (usually 30%+) you aren't even breaking even on any multifamily. Unless there is a heavy value add aspect, seller financing, assumable loan, or some other "deal". We obviously do have some nice appreciation and an incredible economy that makes our area good for other reasons. 

I have found that lots of newish investors are trying to buy small multifamily based on cap rates and I personally think it's a waste of time. Large multifamily trades on cap rates and is valued by rents, but small multifamily gets comped and lower rents usually don't get you a better price. I love seeing investors that understand that dynamic with small multifamily. 

 Great comment. See my comment above yours for a better explanation of what I was talking about. The TLDR is cashflow in the Utah market. But everyone has made some great points about how else they could "work". 

@Bill B., Great points! Maybe I should have added something to specify I was talking about making a property cashflow and specifically the Utah market. It is also true that many investors don't care about cashflow. At the end of the day, I was looking to generate discussion just like this so thanks for the comment! 

Value add, rent by the room, an appreciation play, and a tax play are all potentially viable paths to making one of these deals work for an investor.