All Forum Posts by: Matthew McKee

Quote from @Michael Leeson:

@Nate Sanow great points. The fiduciary responsibility as an agent is clear. 

I’m not interested in wholesaling but being able to offer 3 options depending on the sellers need:

1) I can buy this from you now to help you out of a bad situation. 
2) I can bring an investor to buy off market. 
3) I can list for you and help you get top dollar. 

Do you still see potential conflict of interest there?

“Top dollar” is a bit misleading. I’ve never structured an off market deal where the seller makes less than they would have on market. Sure the asking price might be higher but after time, cleaning up the property, home inspection remedies, now seller concessions, agent fees/co-agent fees, transfer taxes and half the escrow fees; they are down from what a good off market deal could look like. Especially with OWC, cutting out a third party lender will always make the seller more money.
 

There's not really enough information to say one way or another. What do your terms look like?

Great way to get out there is to join FB groups in the areas you're interested in investing. My team and I just branched out to Pensacola area from Idaho and that's how we connected before we actually flew down there.

P.S. Congrats on the first steps! you're in the right place!

With the fear associated with buying right now its leaving some serious pains for sellers which means off market is going to be on fire for the next couple years.

From this list, Contractors. The real MVP on my team is our social media manager. In house is the way of the future.

Quote from @Linden Hausmann:

Quote from @Bruce Woodruff:

Quote from @Linden Hausmann:

Thanks for the insight. Yeah I would love to start locally but I live in southern California sadly. I wanted a state that was more landlord-friendly after hearing the horror stories of landlords in California during COVID. 

 How about moving over to AZ and doing this right? I did, and only wish I 'd done it sooner....

 I was thinking about AZ, I will look into it. I have family in Boise and thought Idaho might be my market. Still haven't given up on it yet. Thanks for the suggestion

Hey Linda. I’m a local investor to Boise, it’s certainly hard to find something that cash flows but not impossible. You can look in the outer areas or find absolute gems to force appreciate especially with the psychological effect on this market right now.

The reason why I’m so bullish on this market is the water rights we’re just approved for further expansion in west boise

Micron is adding 15B to its campus, 2k jobs which will likely add 15k support jobs.

highway 16 will link our Amazon warehouse to the greater boise areas to the north.

Quote from @Felix Rodriguez:

Quote from @Matthew McKee:

Congrats brotha! the VA loan is without a doubt the most powerful financial tool known to man. I advice you force as much appreciation into the property as you can, refinance into a conventional when rates start coming down and use that VA/house hacking method to repeat the process while converting this deal into a rental.

 Thank you I appreciate! Plan on making that a future goal in the upcoming 2-3 years! By the way would you happen to know any good books, forums, videos etc in better Force appreciating a home 

Yeah man, let’s connect!

Congrats brotha! the VA loan is without a doubt the most powerful financial tool known to man. I advice you force as much appreciation into the property as you can, refinance into a conventional when rates start coming down and use that VA/house hacking method to repeat the process while converting this deal into a rental.

Quote from @James Hamilton:

I'm also thinking...would it be unwise to invest in a couple STRs out-of-state? Or should the first property be local? 

I have three markets of interest two appreciating that I STR in and one that I LTR because its low entry and high rent but virtually no appreciation.

The key with out-of-state investing is having a local team you trust to coordinate buying/rehabbing/managing your asset. 

Quote from @James Hamilton:

Quote from @Matthew McKee:

Quote from @James Wilcox:

Quote from @James Hamilton:

Hi everyone, I introduced myself to BP last week but wanted to post in the new member forum as well. I'm James from Kentucky but live currently in the St Louis area after 11 years in the USAF. I have caught the real estate investing bug and have set my goal to obtain my first property by June 1st, 2023. My thinking at the moment is to buy and hold a few properties long-term, then work my way into the STR world and possibly BRRRR or flips once I get enough capital. I would like to start out in the St Louis area, but am not opposed to buying turn-key properties out-of-state if I can make it work. Just joined our local REIA here in St Louis and looking forward to the first meetup next Tuesday. Can't wait to start making connections and building a team of trusted colleagues to hopefully be done with my W-2 in three years! May be ambitious but i'm determined and motivated. Thanks to all of you for your knowledge and contributions to making this website an amazing REI tool.

Hi fellow James. My father was in the Air Force as well. With your military experience, consider joining the national guard. You might be able to take advantage of the VA loan program. It is the best available mortgage program anyone could ever hope for. You could be buying before your target date. GL with all your future REI ventures.

You don’t have to be currently enlisted in the military to use the VA. Honorable discharge, 6 years in national guard/reserves or 90 of active service will qualify you for a VA loan. Just need your DD-214

The only way you can use the VA loan is for a primary residence, correct? My understanding is that VA and FHA loans can't be used for STRs or investment properties. Is there any way around that?

Disclaimer: I am not a lawyer or a lender, this is not legal advice just my understanding. 

You must intend to occupy the home as your primary residence (over half the year) within 60 days of closing for an unspecified time (1-2 years is widely quoted).

I advice my VA clients to buy a primary, house hack, refi into conventional then buy another primary, converting the former into an STR. rinse/repeat.