All Forum Posts by: Trent Reeve

 so everything i hear on here is to dont be stopped by paralysis, get into it. Is there no way to strategically use my assets to start?

Newbie wannabe investor. Had some thoughts but after a few posts, I may need to step back and re-evaluate.

I am finishing HELOC, for about $140k. also have about $20k in cash reserves. I live in Atlanta, and most available SFH houses run near $300k for 3/2 and about 1200-1500 sq ft. some 2bed 2.5 ba townhomes and condos running between $240-300k.

What would be the best way to utilize these 2 items to start my investment journey?

yeah, with no backing, the only people that make money are people that have it early and find suckers people to buy it and then get out

 yes, i  can rent or sell to anyone. I say unofficial as its likely aimed at people downsizing (hence just 2 bed/2 ba and landscaping included) but no official designation or requirements. stable area, near University. regular/larger home values easily go $350k+ starting out. being just outside Atlanta, near all normal needs (hospitals, stores, restaurants, etc). honestly, rents could easily go near $2k. talking with agent, estimating rent probably a little lower, but better to be pessimistic and get more than optimistic and take losses in my opinion. as for value add, some other 2/2 houses in area Zillow estimate $260 right now, and they dont have that loft. I dont necessarily needs this house, but more trying to gauge what margins I should look for vs what is out there right now. 

to go further. i was looking at a 2 bed, 2 ba house, with a loft for more space/office/etc, and 1 car garage. In an un-official retirement community (almost all houses 2bd/2ba, around 1k sq ft, quite a few of these outside Atlanta). estimated rent is around $1650. house does not need any updates, looks in very good condition. low HOA ($40/month) that pays for outside landscaping.

the 25% down was the amount required by lender. and it is not the whole HELOC, actually less than half. And i do have about $20k in cash reserves.

 the numbers do take into account taxes and insurance, but only those. and that is the market rate for the rent. Heloc structured at 10 yrs draw at only interest, 20 yrs pay back, at prime + .125

In today's market in my area, i can find some sub-$300k houses, with mortgage payment about $1,000-1,100   (after 25% down payment) would profit around $350-500. but my down payment would be from a Heloc, so after interest on Heloc, would be a profit of $100-200.  does this sound right? does this range sound right?

thats what im looking to do on our primary home. not planning on spending all my HELOC as the DP. trying to find the right property to start with.

 this is where im at. finalizing my money so that i can move on a property. but i agree, not looking to buy just to buy, finding a property near me in NW Atlanta, where purchase price and rental price work so that i can feel comfortable and not take a loss.