All Forum Posts by: Morgan Gutierrez

Congrats on branching out!

Make sure you check the supply and demand of STR in the area.

You may also want to ensure it can cash flow as LTR in the event the market changes or regulations in the area no longer allow you to use it as STR.

When looking at the area, if it is the only triplex and everything else is single family homes, you might want to ask yourself if the resell value will be affected by that - who is looking to buy in that area and why?

If you have trouble finding comps, a lender probably will as well.

I would sell your primary home and take advantage of the tax free gains from living in the property. You will have negative cash flow... that doesn't make sense to keep it as a rental and get negative cash flow and then sell later on and potentially have to pay the capital gains tax. 

Texas is a landlord friendly state and is growing! 

Househacking is a great way to get started. As @Joe Funari mentioned, you have to live in the house for the first year to do FHA loan. Considering that you are disabled and will need the house to be able to accommodate you for your house hack.

I would start by thinking about where you can/want to live. Then start looking in those markets for houses that are appropriate for you. An agent would probably be best suited to assist you with this. When you are house hacking you can house hack a SFH by renting out other rooms, or multiplexes by renting out other units (and rooms in your unit too). If you are choosing a SFH, consider a floorplan that would make sense for househacking- you may not want your room next to theirs, you may look for properties with multiple living areas.

Trust but verify- ALWAYS!

Good luck to you!

You mentioned wanting to house hack in 2 years once your graduate. @Nick Maugeri offered some great insight on house hacking now too! This isa great way to reduce your living expenses to be able to save for your next purchase and to get your foot in the door. 

Things you may want to consider if you house hack now:

How much will it change your current living expenses?

What is your exit strategy? Will it cash flow after you move out in 2 years, or is likely there will be enough appreciation in the area to justify selling after 2 years? You want to make sure you get back whatever you put in and then some. Even with a lower down payment you will still have other closing cost, and you will have closing cost again when you sell. Also, consider the resell value and it's current floor plan when looking for the right one to purchase now. 

I hope this helps! Good luck! :)

 I have never used this company before, but found out about them through networking. I am sure there are other companies and photographers that do the same/similar things. This could be a good starting point for you though.
https://matterport.com/digital-pro

Hey Toni, welcome to BP!

Being an MLO could potentially open doors through creative financing for you. 

Congrats on starting your portfolio and wanting to continue to build it! Having both long and short term rentals are a good diversification method! 

Are all of your investments in FL?

Welcome and congrats on jumping in!

I have heard that NY is a difficult state to invest in. It is one we stay out of... 

Doing a BRRRR from out of state comes with its own challenges, specifically regarding the rehab. Even if you have someone you trust to look over things for you, the rehab on a project can make or break a deal and there is A LOT that goes into a rehab done correctly.

STR might be a good avenue for y'all to pursue, especially if y'all can purchase something retail ready. You may be able to qualify for a "vacation home" loan which would allow you to put less than 20% down. Much more rare to find, but if you could get one off market you may be able to get a better price given realtors wouldn't have to be paid.

With a corporate job and a 10 month old, I'm sure you have your hands full! If you have funds to use, you may look into note investing or lending. Although, you typically want to know more than the person you are lending to. There are lender brokers (not sure if that is the correct legal term) that allow you to lend money through them. This can help you with not knowing much about real estate, but please do your diligence and make sure the company is reputable!

This is not to deter you or be negative. I think anyone that wants to make things happen and has/develops the discipline and resources to do so can! I hope that this did give you some things to consider, and you found it helpful!

Best of luck to you! 

Tax value of the land is $39,000

Pictures: https://drive.google.com/drive/folders/1voKwgn5d_Dy-raIGh7K4...