All Forum Posts by: Ruth Lyons

Use your cash to buy a 3 Bedroom, 2 bath townhome in a good part of Baltimore county for around $225,000. Rent it out for $2000/month. Take out a HELOC to replenish your cash and do the same thing again.

Ruth Lyons,

Md Licensed Agent, Sachs Realty with offices in Columbia and Cockeysville.

Totally agree with Alan C. Appreciation is always icing on the cake. (Sorry for the bold, large type--couldn't change the default for some reason!)

Welcome to BP, @Alexander Lee!
It is difficult to BRRR in Howard and Montgomery counties, and near impossible in DC. The acquisition prices are too high. Have you thought about Baltimore county? I know it's a little further away, but certain parts of the county are very investor-friendly. You can find deals with the 1% rent multiplier.

I live in Howard county and am always searching (but rarely finding) deals in Howard that work. I did a flip in Howard last year, but most of my fix and flip deals and all my buy-and-hold properties are stable areas in Baltimore county. 

@David M. Thanks for the heads up; I'll look into that!

@Teri Feeney Styers I appreciate the heads up, Teri. I'll double check. My flips are not that extensive, are in nice stable neighborhoods, and I'm turning them around in 3 weeks while making sure my contractors are insured and bonded. It seems silly to pay for a full year of builder's risk insurance for a few weeks of coverage but like any other investment decision, it depends on your risk tolerance. 

Oh if only we had a crystal ball!! LOL. This is uncharted territory not mimicking anything the housing market has ever seen before. Anyone's guess is as good as the next guy's guess. My financial plan is to be in the position to purchase foreclosures in the next 6-18 months.

Yes you need insurance. For my first flip, I purchased a builder's risk policy but it was expensive. Now, I just got a homeowner's policy on an investment property. When I sell, I cancel the policy and get a refund for the remaining months. 

I would suggest you consider taking out a home equity line of credit to access the equity in your current home as cash for a secondary rental investment property purchase. 

Welcome to BP Bianca. Your enthusiasm and positive attitude are obvious in your post. Love that! I agree with Stephen that a house hack is your best first move. I'm an investor who became a Md-licensed agent after my personal rental portfolio was full. I've helped several investors acquire and sell both buy and hold and fix and flip properties in Howard, Baltimore, Anne Arundel, Carrol, Montgomery and Prince George counties. I would recommend picking an area (DMV is huge and real estate markets are hyper local) and focusing only on getting that first house hack opportunity. Use your VA loan for the property you will occupy and you can purchase with no money down. Save your funds for your second purchase, an investment property that cash flows well. I'd love to grab a cup of coffee with you and help you strategize.

Hi Marc,

Towson is a good area to live and work. As an investor in other parts of Baltimore county, I've always wanted to pick up a fix and flip or buy and hold in Towson. The problem is it's hard to find properties that work financially. Because of the high demand by retail buyers to live in that area, acquisition prices are high. Other areas of Baltimore county produce better cash flow. Take a look at Owings Mills, Windsor Mill, some parts of Parkville and other areas around Towson. I'm a licensed agent in Maryland and have helped several BP members find rental properties if you want to reach out.