All Forum Posts by: Myles Berrio

3 bed 2 bath with bonus room 2,000sqft in a nice "newer build" neighborhood, does have HOA but the exit strategy would be mid-term rental 30 day minimum which I already have experience in.

Current loan balance: $249K 

Arrears: $8.8K 

Seller receives: $5K at closing 

Wholesaler receives: $5K at closing 

Buyer pays closing costs (roughly $2.5K) 

House is could use about $10K in repairs to be rent ready and I already have furniture in store to fully furnish from staging my flips. I'd spend probably another $1.5K to fully stock the house as a mid-term rental. 

So, $249K balance + $20,000 cash to close and pay everyone, catch up arrears and closing costs. Brings you to about $270K to own the house but 8% cash needed to close and take over mortgage. 

Monthly mortgage: $1,842.23/month 

Interest rate: 2.75% 

Lender: Movement Mortgage 

Projected midterm gross revenue $5K/month at $167/night (focus is corporate housing & insurance claims NOT traveling nurses)

Total all in cost to reinstate, pay everyone involved and fix up the house = $30K + $249K balance = $279K 

House worth $300K - $310K today

What are your thoughts!?

 Let's definitely hop on a Zoom or grab a coffee! 

 Not necessarily! They each have their benefits and challenges. Wholesaling is a great low cost way to make a lot of short-term cash, but it does not build long-term wealth. Flipping houses is a great way to create huge profits, raise private money and create marketing content around your remodels (the reason HGTV is HGTV). Although, it's very capital intensive and you have to rely on a lot of factors you can't control, contractors, interest rates, market shifts, realtors, buyers, appraisers, inspectors, material costs, weather etc etc. Buy and holds is the key to true wealth with all the benefits of depreciation, appreciation, loan pay down by your tenants, leveraging the equity, cash-flow etc etc, but it often times isn't the active income that pays the bills until you build up a portfolio and even then there's the tenant management or managing your property managers.

That's why I'm involved in all 3. Diversify and leverage the best strategy based on the specific deal.

@John Underwood Hey brother!! I will definitely check out the CREIA! Is this your group you run/started?! That's awesome 🎉👍

@Nathan Gesner That means a lot brother! Looking forward to connecting with you boss! Also, new to the platform BP has here, what exactly are "the boards" 😅

Hey Matt! Welcome to Greenville and BP!

However I can be a resource let me know! I host real estate meetups in Greenville once a month as well as have a podcast called the Amputee Investor. 

Always remember this, don't measure your progress using someone else's ruler. There's so much growth and so many things you could be grateful for, and while your friend getting started has encouraged you to jump in yourself, don't let it discourage you that you aren't enough. 

How is your primary residence search going? 

Also, many lenders like to loan on ground up new construction when you own the lot free and clear. It's essentially your "skin in the game" for them and equity position in terms of their LTV or Loan To Value funding the actual build cost.

A great strategy to buy your primary AND do new construction would be to find a property like one I just purchased in Moore S.C. just 30 minutes outside of Greenville.

It's in Spartanburg county, so their subdividing restrictions are more favorable.

I bought a 3 bed 2 bath rental already in great condition but at about 52% below it's as-is value because it was an off-market motivated seller from my wholesaling lead generation.

Paid a $30,000 assignment to my friend I partner with on wholesale deals to buy it from him.

Put about $8,000 in upgrades, new LVP throughout, all white paint inside, upgrade all light fixtures etc, and that put me all in at about $180,000 with closing costs, etc.

Used none of my own money, paying a private lender of mine 15% interest for the entire purchase and rehab.

Then, I subdivided the lot in half as it sat on a 1 acre lot. The county only required me to have 100 feet of road frontage and so by creating a new lot and doing a release of collateral on that lot with my private lender, I own that lot free and clear.

Now, I'm currently in the process of building another house that I will keep as a mid-term rental as well as the original house as a mid-term rental.

In your case, you could live in the original house and have two roommates that covered your mortgage or  greatly reduced it and then build you a rental nextdoor.

If you can't find any good duplex or triplex situations for house hacking, that's another hack in your tool belt!

Hey folks! Myles here from Greenville, South Carolina! I'm not new to real estate investing or bigger pockets, but new to the forum. I'm not sure of what exactly, but something led me to start connecting with others here and do my best to actually stay active. I married my wife in Atlanta back in 2019 and was a destination wedding and commercial photographer. I traveled all over the world for photography, Malaysia, Singapore, Mexico, Thailand, Canada, Mexico, Belize, Dominican Republic and the list goes on. My last claim to fame was working on set for Season 1 Love Is Blind on Netflix also as a wedding photographer. 

It was January of 2020, during COVID, that I transitioned into real estate out of necessity, specifically wholesaling. Just when I cleared around $100K in assignments in about 7 months, I was hit by a drunk driver head on and became a left-knee amputee. Anyone who knows me knows I always say, "It's not about what happens to you that matters most, but what you do with what happens to you." I may have, overnight, become disabled but I am not unable! Took about half a year to learn how to walk, talk and even eat again, but bounced back to my love for real estate investing and the two things that transitioned me from just wholesaling to actually buying deals as an investor was creative finance and private money.

Bought my first rental property in Easley, S.C. owner finance and one of my best rentals I still own today was bought subject-to! Ultimately, a do a little bit of everything in the residential space depending on the deal I find, but either flip paper (wholesale), flip houses (remodels) or flip the debt (buy and holds).

I am looking to connect with as many of you as I possibly can while adding just as much as value wherever I can!