All Forum Posts by: Nick Gray

Thanks @Gal Peretz. I work out-of-state many weeks, but I'm going to do my best to make it to the event on August 16th. If I can't attend, I'll be sure to reach out to you about meeting another time soon. 

60% of the time, it's accurate every time. 

When analyzing a deal and valuing a property, what financing terms do you include? As many of you already know, a deal can look very good to very bad to anywhere in between based on the down payment, interest rate, and loan term that is used. Is there a standard set of financing terms that should be assumed in deal analysis regardless of the actual mortgage terms that will be used...say a 30-year fixed rate mortgage at the prevailing non-owner-occupied interest rate and 20% down?

Let me explain why I am asking this. I am currently assessing house hacking opportunities that I would finance under an FHA loan with its associated interest rate and minimum down payment. Simple math dictates that such a low down payment will result in an acceptable cash-on-cash return for even the most razor-thin positive cash flows. However, the same deal might be undesirable once I have 20% equity. If I intend to re-finance into a non-owner-occupied traditional mortgage after some time, should I then analyze the deal with the aforementioned standard financing terms?

As a side question, what return criteria do you look for in a deal (cash-on-cash return, return-on-equity, etc.)?

Hi everyone, I'm a 23 year-old aerospace engineer who is looking to jump into the real estate game in New Hampshire and Greater Boston. After spending the last 9 months pouring over real estate books and listening to BP podcasts for hours on end, I'm hoping to pull the trigger on my first deal in the coming weeks. To start, I would like to house hack a duplex in my hometown of Exeter, NH on an FHA loan, re-finance after 12 months and bounce to another duplex on a new FHA, and so on repeatedly. In the long term, I wish to escape the 9-5 engineering grind by breaking into the larger multi-family market and pursuing a full-time real estate investing career.

I look forward to collaborating with and learning from each of you. Likewise, I'm eager to meet with any new or experienced investors in New England to share insights and discuss potential partnerships. 

- Nick