All Forum Posts by: Sharon Steenbergen

@Guy Yoes
 

Yes, the price points would make you assume they are section 8. But, not at all. The niche area I invest in, is outside of Military bases, this case being outside of Ft. Benning. The 30-65K Single family homes I buy, rent between 700- 1000 a month. Most of our tenants are soldiers, living in nice modest and clean homes :) All of our investments are at a 10% ROI. My Property management deals with tenants (obviously), but we have a good enough relationship where I will send her to potential properties to get me work quotes, and vet the neighborhood. She goes the extra mile for me, in return I give her that home to manage!

Hi there! Most of my portfolio is out of state and I am loving it! I live just outside Boston and I do buy and holds, in GA and AL!

I got started by flying down and checking out the area, built a team of great property management, a good realtor and a solid lender. I buy cash and do cash out refinances, after 6 months and recycle the money to buy more. I just could not afford Massachusetts real estate anymore. The prices are high and there is more risk involved. Now I buy SFH varying from 30-65K. Find out what your goals are and go from there. You can either cash flow, or equity. Hope this helps!

Hi Daniel! IF your financing through fannie mae/freddie mac it is against their regulations to lend to an LLC. You will have to refi on your personal name, and then you can do a quit claim deed back to your LLC with no issues (just let the lender know what you plan on doing). Unless you are pulling portfolio/commercial loans you can not refi strictly under your LLC. Hope this helps!

@Hunter Mills

Why don't you want a credit card? It will help build your credit

We don't usually buy in a specific price range to fit BAH range, but always consider local BAH rates when determining rent! (We do long term holds outside of the bases.) We just enjoy giving soldiers a good temporary place to live that is off base :) We have had some potential homes in Ft.Hood (Killeen and Copperas cove area) but the property taxes in Texas are just killer. Hubby was stationed at Ft.Hood for two years and loved it, I really like the area as well and would reconsider investing there. 

Hi there Kenneth!!! Thanks so much for your service. Im an Army spouse, my husband just ended his time in the military last year, and we invest full time now! Best way to start your investing career is to use your VA loan to house hack if you still have it available! VA allows you to buy up to 4 units. You can look up VA loan limits in whichever area you choose to start in. The hubby and I invest in single family homes right outside of bases. (decent tenants and constant cash flow). We have some homes just outside of Ft.Benning. Welcome welcome :)

The best way to manage from long distance is to hire property management. Most management companies take 10% of the monthly rent, but it leaves you stress free. They take care of vacancies, repairs and and vet all potential tenants.  

Oh I see! So different lenders may do the refi before the 6 months and its not a set rule theN?  I know financed properties require 6 months seasoning.. wasnt sure about cash purchases! 
 

Hi @Jake Stokes!

I can totally relate to your situation. I live in Boston and home values here are just sky rocketing. I own a 2 family home here and rent both units for 2300$.

I just started out of state investing last year and love it. Pull HELOC's from properties here, using private money to buy SFH in both Alabama and georgia. It was definitely outside of comfort zone! I visited a few times and made my own little team remotely, with a realtor and Great property manager. Research some areas you may want to invest and go visit and network! Prices around the country are pennies compared to our hometowns. The biggest thing I look at when investing is, property taxes and tenant landlord laws. I do long term holds so your approach might be different. My single family homes rent for modest prices $800-1000k. BUT atleast if a tenant leaves it not a bigger hit to my pocket. I had a squatter in my 2 family home here and it was such an expensive ordeal.Things to think about! Hope this helps!!

@Lyman DeAnn-Gaines II

I suggest as a first time homebuyer definitely utilize a FHA loan for your first property. FHA allows you to buy at most a 4 unit property. Find something you can house hack and collect rents from the other units. Also, YES it is only 3.5%
down, but save at minimum 5% to cover closing costs and fees. Hope this helps!