All Forum Posts by: Nicholas L.

@Matt Sora listen to Spencer Cornelia's BP podcast.

@Karla Simmons I think this is a great question because I agree with you... it certainly seems like there is a lot of development happening! But... these big new SFH developments, which tend to be at higher price points, don't seem to be contributing meaningfully to supply. There just aren't enough of them. And I just don't see new developments of SFHs in any markets that are meaningfully below the median home price for that market.

I don't believe the US population as a whole has fallen in any year... but it is growing more slowly!

https://www.census.gov/newsroo...

"...the population of the United States grew in the past year by 392,665, or 0.1%, the lowest rate since the nation’s founding."

@Jim K. great question.  I'm watching the US's slowing population growth... and if this population growth continues to slow, and new housing starts pick up meaningfully, will this allow supply to catch up to demand?  It seems like, even though I agree with the others that it will only be totally clear in hindsight, that these are such glacial factors that maybe we'll be able to see them converge in real time?

You and I were conversing on another thread about how Allegheny County's population grew from 2010 to 2020 for the first time in 50+ years... and then it immediately fell from 2020 to 2021.  But... how much of that was due to the pandemic?

@Victor Baronich any appreciation or debt paydown?

@Richard Davis the seller pays the fee for the buyer's agent so, especially if you're new, it doesn't really make sense not to use an agent as the buyer.

@Kevin Santos the more cash you have, the less the total outlay on your BRRRR is going to be. This is because if you borrow money to BRRRR - either for the purchase or the rehab - you will pay both up front financing costs as well as interest to service the debt during the rehab.

Having your own cash eliminates those expenses and lowers your total outlay - lowering the likelihood of "leaving money in the deal."  It also reduces the risk you'll be stuck in a higher interest loan if you have a problem refinancing.

Can you house hack - or better yet, house hack a BRRRR? This is an even lower risk strategy.

@Leonard Rybak because it's easier to get things set up and fine your Core 4.  Can you invest anywhere in the US?  Sure.  But meeting people, seeing houses in person, meeting agents, going to REIAs, networking... easier if you can drive there.  I have to believe there are markets in PA or CT within 2-3 hours of you that are growing and investable.  Will they be the absolute cheapest markets in the whole US?  No.  But cheapest doesn't mean best...

@Leonard Rybak find a market you can drive to.

@Andrew Merritt not sure if this helps but I am going through a similar process, I just locked in at 6.5% on a 30-year fixed and mine also has a pre-payment penalty.  So 7's don't seem crazy to me.  But if you were supposed to be locked and they're changing the rate without a valid reason I guess that would be a different issue.

@Tatyana Rimar you just need to make sure that they are licensed to lend in the state you're looking to purchase in.  There may be differences in how closing would work, what needs to be signed when, etc.  But those are all questions you can ask them.