All Forum Posts by: Ryan F.

So if my math is correct each unit of the 10 unit apartment only rents for around $300 per month? It must be in an absolutely terrible area and I could not imagine paying $300k for something in the hood. All units will have a hard time staying occupied, maybe 6-7 at best.

What will a home that you buy for $100k rent for? Your making $500 on the one you currently have and I doubt you will get that on another one.

Maybe option 1.

The 10 unit rents for $600 each I believe ... It is in the outer edge of the "hood". Not a great area but right outside the really bad area. No go then? I'm here to learn so give it to me haha.

As far as your 2nd question - it depends on who you ask. Some say a $100k home in my area (which gets you in a decent suburb), will net you around $250 per month after mortgage, insurance, etc. However, I would be purchasing THREE of those with the $65k rather than the 1.

0 Votes

This is my "dillema". Not really a dilemma, more just my thought pattern.

I have 1 rental property, which I inherited. It is worth about $100k and has a $25k HELOC on it -- therefore, after closing and paying off the HELOC I'm thinking I would walk away with about $65k.

The HELOC is $120 per month with $400 in taxes per month and $80 in insurance per month. Renter pays everything else. $600 total expenses and it rents for $1100, resulting in a $500 cash flow per month.

I could:

1) Keep this property (it's in a suburb with the city pushing in on it a bit), and save up $20k in the next year to purchase another 100k rental property. And go that route every couple of years or as soon as I could save another $20k.

2) Sell my rental property, take the $65k and attempt to purchase THREE 100k rental properties, each with $20k down.

3) Sell my rental property, take the $65k from it and a little savings and purchase a 10 unit apartment building carrying a $300k mortgage with a supposed $35k cash flow.

Thoughts?

0 Votes

Originally posted by @Larry Turowski:

@Ryan F. There are several lenders here that will give you ten mortgages, assuming you are credit worthy.

Reliant Community Credit Union

Bank of Castille

Canandaigua National Bank

And others.

Hi Larry! Nice to see another Rochesterian. I'm actually a member of Canandaigua (as is my business) so I'll give them a look.

0 Votes

Thank you!

Perhaps it is my ignorance, I always thought it was difficult to get a mortgage!

0 Votes

I read this article by Brandon Turner -> http://www.biggerpockets.com/renewsblog/2014/08/02...

My question is, how hard is it to get another mortgage every single year for 4 straight years? PLUS your primary home. I am new - only 1 rental property. Paid in full. Sorta inherited it.

Is this article assuming bank mortgage + private mortgage?

0 Votes

All Forum Posts by: Ryan F.

Ryan F. has started 7 posts and replied 26 times.

Post: Starting small -- or big (keep my rental or sell it)

Post: Starting small -- or big (keep my rental or sell it)

Post: Starting small -- or big (keep my rental or sell it)

Post: Question about Brandon's article (multiple mortgages)

Post: Question about Brandon's article (multiple mortgages)

Post: Question about Brandon's article (multiple mortgages)