All Forum Posts by: Milton Chamberlain

Hi Breven,
Looks like the FHSA is only available to Canadians. pretty neat tax tool though! It seems contributions are capped at $8K per year. But if you qualify sounds like a good savings option.

Congrats on getting ahead with your savings. You’re well-positioned to get into real estate investing, and house hacking is by far the best low-barrier entry point.

The biggest advantage, in my opinion, is being able to leverage traditional financing  meaning that for owner occupant style loans (house hacking) you only need to save 1/5 (5%) of what you need to save compared to traditional investing loans (20-25%)

For example, buying a $600K fourplex with a standard investor loan typically requires 25% down which is $150K. But if you house hack using a 5% down owner-occupant loan, your down payment obligation drops to around $30K

Alternatively, you could look at a 3-bed, 2-bath home in an A market which go for about $360K. First-time buyer grants can often cover your down payment and duplexes still qualify (unfortunately, triplexes and fourplexes don’t). That means you could potentially close on a duplex with $0 down, live there for a year, and then move out and buy your next property with your savings using a traditional investor loan

Right now there is actually a nice package of duplexes for sale in Liberty A market, 2 of which I know rent at $1600 per unit ($3200 income)

I’ve helped a wide range of investors on both the Missouri and Kansas sides of the metro reach their goals, and I’ve personally invested in three single-family homes (two that I fully gutted and remodeled). All three are currently rented long-term.

anywho, I’ll stop talking :) congrats again on getting started, and Let me know if you’d like to set up a call to talk more about your investing goals in the KC metro.

I work the KC metro KS and MO side and I would be happy to discus your goals with you

Hi Josh, I invest in real estate and assist others as well in the KS and MO side of the KC metro, happy to chat anytime.

Hi Chris,

I would be happy to discuss your investing goals and real estate ideas and provide any clarity you may need regarding Kansas City real estate investing.

Reach out anytime 

I suggest you contact a CPA in Canada, preferably one with some real estate knowledge. Looks like you will need to set yourself up as a corporation to shield yourself from a tax perspective. I have my self set up as an S-corp (through an LLC), and its not too terribly difficult or expensive.

I work both the MO and KS side of the KC metro. Im happy to chat with you about the various sub markets and strategies that work well in KC.

Its one of the rare major metro cities of the US where rent has appreciated the most consistently. Prices softened at higher price luxury new construction back when rates went up in 2022, and new construction has slowed down bc of that combined with some 'green' building regulations that went into effect in 2023 significantly slowing down res new construction in KC MO proper.

But everything else sub $500 in most regions has been appreciating well year over year. I'm happy to chat with you further. I messaged you

Hi Chris,
I come from the hospitality world too, specifically fine dining restaurants, and more specifically, the back-of-house. I worked as a chef up until about five years ago. When we started shifting our investments into real estate, I got my license and gradually moved over full-time as a real estate agent by 2021.

Since then, we’ve bought three single-family homes that we’ve rehabbed and have been renting out for the past four years.

Kansas City’s been a great, stable market over the last five years. The only real price softening has been in luxury markets in 2022 when higher rates caused affordability issues, but everywhere else has seen steady growth anywhere from 3% to even 7% in some highly desired areas. And KC metro rental rate appreciation has consistently been amongst the strongest of all the major metropolitan areas in the country.

I just helped some OOS investor friends close on a good condition 2,400 square feet 4-bed, 3-bath single-family home, in one of the top desired school districts (Blue Valley) in one of the fastest-appreciating submarkets (Overland Park, on the Kansas side). They got it for $412,000, which is around $25k under market value. They’re planning to rent it for around $3,000 a month and, I assume, let the equity build like we’ve seen over the past several years.

I messaged you, so reach out to further discuss your goals and what and where in the metro you can best realize your investing goals with.

Missouri joins Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, and Wyoming with starting the 2025 tax year by ELIMINATING state property gains tax, meaning you won’t have to pay the ~4.8% former property gains tax paid at the state level. That means better returns whether you’re flipping, BRRRRing, or just selling off a long-term hold. (*Keep in mind all property gains taxes can be avoided by making the property your primary residence for 2/5 years or 1031 exchange, but this now removes that worry at the state level) For example, if you sell a property and walk away with $50,000 in gains, Missouri won’t touch it, saving you ~$2,400 in that scenario. Sorry, Kansas side folks (KCK, Leavenworth, De Soto, Overland Park, Prairie Village, Mission, Olathe, Baeshor, etc), you're still on the hook. Still 3.1%-5.58% across the state line. And again, still owe it at the federal level, which can vary from 0-20%. 

What do you think? Big deal? Nothing Burger?

Hi Sam! Happy to assist! I just messaged you

https://sites.google.com/site/kclandlordsinc/home
This site might have what you're looking for in their forms. $100 fee/ year. 

otherwise I would just get a boilerplate lease and write in your additional terms there. Although hiring an attorney to do that would ensure crossing your t's and dotting your i's

Reach out if you would like to discuss more in depth as well as what your goals are regarding your first house hack. I have helped many local investors get started with house hacks.

Hey Michael! Sounds like you’ve got a solid game plan. I’m a local KC agent and investor too — I own three single-families, rehabbed two down to the studs, and hold them as long-term rentals, so I definitely get the hands-on route you’re taking.

Happy to chat about your goals and see how I can help. I’ve worked with folks on house hacks, STRs, equity plays, and appreciation-focused deals.

Have you looked into multifamily investing? Some down payment assistance programs work for duplexes, and the new federal rule allows 5% down on up to fourplexes — huge win for traditional financing, where previously 20%-25% DP was required, even if owner occupant. Owner-occupant loans are a great way to start in REI, particularly if you live there for at least 2 of the next 5 years, which will allow you to avoid capital gains tax down the line. And then rental income can help boost your DTI for future purchases, vs a SFR providing no income.

Reach out anytime!