All Forum Posts by: Ross Sims

I'm definitely interested! I'm a real estate agent here too!

@Justin Smith thanks for the encouragement, I'm ready to get started!

@Chris Armstrong yeah I understand that. But first and foremost this is a house for me to live in because my lease is up on my apartment in July. So even if I live in it and end up flipping it for a 10k gain, in my opinion that isn't bad. I know if it was strictly a flip property that isn't a big enough margin. But I essentially don't have holding costs and things because I'd have to pay to live somewhere regardless. I'm currently getting my real estate license here in SC, so that will help me keep some profit if I sell. 

However, the more I think about it the more I may just refinance it and rent it out when I can afford another purchase. 

Just for future reference, do any of you have a sheet that helps you calculate everything to see if something is a good flip deal or not??

@Thomas S. I could rent it for $1,000-$1,200. If my taxes, insurance, and mortgage are $632, how would I be negative cash flow if I rent for less that $1100?

@Bob Okenwa oh okay, thanks! Yeah I plan to do as much as I can by myself! And I just recently learned that they had those classes, definitely going to try some of them.

Yeah I realize that spread is pretty low, but I bought the house to live in initially since my apartment lease is up in July. I was searching for a good deal, not necessarily one with high flip margins. You are right, I think renting it might be my best option. I just have to get stuff in order so that I could buy another property to live in when I go to rent it out. 

@Andrew Merritt i am definitely open to staying here and renting a room out. Because if i were to rent out the whole house I would need a plan as to where I was going to live myself. I financed it, I put 3.5% down (roughly $3,500).

Do you know in the BRRRR method, what the rate is on the money the bank lets you pull out from the refi? Because essentially it's like another loan, correct?

@Ian Reeves that was my original plan, but duplexes here were outside of my budget, I may do that in the future! And as much as I'd rather not have to share a house and a bathroom with other people the money is very tempting hah!!

@Nick G. thank you for explaining that! The struggle is that I don't have huge cash reserves to use. So the house that you get way under budget and have to put $30,000 into can have a high yield is great but I only have $10,000 to work with. And the Charleston market is very hot right now and in the 1000,000 range they get bought up by a lot of investors. So I figured I'd learn from this experience and get my hands dirty and maybe make a small amount of cash, since I am living there anyway. What on your thoughts on keeping this one and living in it for the next few years and buy a different one to rent out? But I guess it would maybe have to be a 203k loan on it because I don't have more cash reserves to rent from.

I could apply the BRRRR to the one I bought, and pull that money out for the next one. That may be the smartest in my situation.

@Jen R. I could get $1,000 to $1,200 a month for it! And I do have a friend that could potentially rent from me. With my mortgage, taxes, and insurance being $632. How much do you think I should charge if I pay all utilities and internet?