All Forum Posts by: Shon Drennan

I am currently about to buy a single family home from a family friend for $100,000. It will need roughly $10,000 of repair. The appraisal value is approximately $190,000. My question is should I buy and hold this property which will tie up money for future investments or should I whole sale to fund the next rehab project to continue to expand?

I am currently about to buy a single family home from a family friend for $100,000. It will need roughly $10,000 of repair. The appraisal value is approximately $190,000. My question is should I buy and hold this property which will tie up money for future investments or should I whole sale to fund the next rehab project to continue to expand?

@Patrick Franta does that get tied into the original loan of the house or would that be additional payments to make in addition to the original payment?

@Aaron K. Thank you. I will look into a HELOC

I have a family friend who is offering to sell their house to me for $100,000 plus closing costs etc. The value of the home is worth $225,000. He is a trust fund individual and is only offering this price to me because he wants to move to Hawaii so he doesn't mind selling it for that. This would be my first buy and would love to keep the house as my primary residence. My question is, is there a way to use the 125k equity in the house already to fund an investment like a flip? Would this be something like a brrrr strategy? What would be the downfall of doing this such as increased payments on the primary house etc. Thanks

@Andrew Newlon awesome thank you very much!

@Casey Mericle thank you!

I am currently doing research towards being able to do my first flip. The houses I'm currently looking at in distressed condition are between $50,000 and $70,000 2/3 bedroom and 1/2 baths. Most of what i'm finding are a little older 80s and 90s homes. While looking for comps I've found several newer homes around $115,000. I'm starting to get concerned that the might not be much wiggle room after all the costs involved with closing, taxes, realtor, title, insurance, etc. to actually make a profit. Do I have legitimate concerns or am I over thinking things? Im also curious if all these expenses can be included in the financing of the home as I do not have much money up front. Thanks everyone.