REAL ESTATE INVESTING THREAD

[flyny]

Im in the same boat as y'all. I'm interested in purchasing a property. I plan on putting sweat into it to rebuild and renovate, and live in it for a while. Eventually I plan on renting it out. Or I might rent it out first and then live in it after. Either way, I don't have no where near a 20% DP saved up.

20% of 200k is 40,000, and I def don't have that cash on me. Is there any way out of this?

 

[sneaks89]

Im in the same boat as y'all. I'm interested in purchasing a property. I plan on putting sweat into it to rebuild and renovate, and live in it for a while. Eventually I plan on renting it out. Or I might rent it out first and then live in it after. Either way, I don't have no where near a 20% DP saved up.

20% of 200k is 40,000, and I def don't have that cash on me. Is there any way out of this?

There are 0 down loans, depending on credit score.  20% down is not required to purchase a property, just what is suggested to help you keep afloat.

 

[solewoman]

There are 0 down loans, depending on credit score.  20% down is not required to purchase a property, just what is suggested to help you keep afloat.

From what little research I've down it's very hard to get 0 down for a property that will not be primary residence. And all the banks have told me 20% minimum. So unless he makes it his primary it will be an issue.

 

[651akathepaul]

20-25% is just ideal. Realistically I've seen people put in bids for much less. I get at least a handful of people every week doing wire transfers to real estate businesses for under $10k here in NorCal. 651akathepaul you still working at a bank? If so talk to your mortgage loan specialist to see what associate discounts you're eligible for.

As far as renting out properties, what I would do is invest in homes that are nearby military bases and rent out rooms to military personnel. It's a win-win for everyone. You're guaranteed to get paid because they are guaranteed to get paid and you can charge them a little more than average because they get housing allowance that's not out of pocket for them. Plus, you don't have to expect too much hooligan behavior and them wrecking ****.

Good idea. There just happens to be a base in my area. As well as a Boeing plant (lots of contractual work).

There are 0 down loans, depending on credit score.  20% down is not required to purchase a property, just what is suggested to help you keep afloat.

From what little research I've down it's very hard to get 0 down for a property that will not be primary residence. And all the banks have told me 20% minimum.

That's exactly what I've found, but I'll look around some more. Brokerage firms seem to offer different deals though.

 

[luong1209]

Im in the same boat as y'all. I'm interested in purchasing a property. I plan on putting sweat into it to rebuild and renovate, and live in it for a while. Eventually I plan on renting it out. Or I might rent it out first and then live in it after. Either way, I don't have no where near a 20% DP saved up.

20% of 200k is 40,000, and I def don't have that cash on me. Is there any way out of this?

Much easier than SF...It's insane out here fam. Momma dukes was telling me, some instances, maybe even most...30% DP of 500-600k.

 

[frankmatthews]

Good idea. There just happens to be a base in my area. As well as a Boeing plant (lots of contractual work).
That's exactly what I've found, but I'll look around some more. Brokerage firms seem to offer different deals though.

You in St. Paul? Wee should link up. I'm in the same boat with you, just taking preliminary steps to see what it will take to get in the door. I'm looking at investment financing through a company as opposed to a personal loan. Not sure which route would be more feasible but maybe someone in here can chime in on that?

A friend of mine keeps telling me to go the "for sale by owner" route. Anyone have any comments on that?

 

[yanky]

20-25% is just ideal. Realistically I've seen people put in bids for much less. I get at least a handful of people every week doing wire transfers to real estate businesses for under $10k here in NorCal. 651akathepaul you still working at a bank? If so talk to your mortgage loan specialist to see what associate discounts you're eligible for.

As far as renting out properties, what I would do is invest in homes that are nearby military bases and rent out rooms to military personnel. It's a win-win for everyone. You're guaranteed to get paid because they are guaranteed to get paid and you can charge them a little more than average because they get housing allowance that's not out of pocket for them. Plus, you don't have to expect too much hooligan behavior and them wrecking ****.

I never thought about that, that's a good idea. Plus you don't have to worry about finding a random tenant on craigslist not knowing their background and what they may do with the place.

I also hope this thread begins to liven up a bit since I've been interested in this but don't have nearly enough capital to buy my first property yet. I would like to gain knowledge on this topic since it may be something I will be doing in the future.

Properties in SF are skyrocketing in price since people are now being priced out of their homes and moving to the eastbay.

 

[al audi]

Going thru an eviction process right now with some tenants. So annoying.

 

[kesp]

20-25% is just ideal. Realistically I've seen people put in bids for much less. I get at least a handful of people every week doing wire transfers to real estate businesses for under $10k here in NorCal. 651akathepaul you still working at a bank? If so talk to your mortgage loan specialist to see what associate discounts you're eligible for.

As far as renting out properties, what I would do is invest in homes that are nearby military bases and rent out rooms to military personnel. It's a win-win for everyone. You're guaranteed to get paid because they are guaranteed to get paid and you can charge them a little more than average because they get housing allowance that's not out of pocket for them. Plus, you don't have to expect too much hooligan behavior and them wrecking ****.

Im considering this. (The military thing) or getting a duplex and renting it like a hotel. Speaking of which...

Anyone here use Airbnb?

 

[gatorbeltsnpattiemelts]

just showed my unit to a prospective tenant today Man I hope this comes through! Being able to pay for school cash >* Buying this duplex is serious the best decision I've ever made. hands down.

 

[al audi]

There are 0 down loans, depending on credit score.  20% down is not required to purchase a property, just what is suggested to help you keep afloat.

dude you know how hard that is in this day an age.............

these banks dont F around these days, an 20% is the minimum especially if youre tryna be a rental property they be wanting even more

 

[stayblessed]

Serious question to those who are concerned about the 20% down peice, what are you going to do if the place needs repairs, especially for safety code reasons? To me it sounds like you are not prepared to take on the property owner role. Its more than collecting rent, try to do some more research first. 

 

[al audi]

Serious question to those who are concerned about the 20% down peice, what are you going to do if the place needs repairs, especially for safety code reasons? To me it sounds like you are not prepared to take on the property owner role. Its more than collecting rent, try to do some more research first. 

absolutely

its not for the faint of heart or the half ***

an yes many fail, not to deter anyone but its true

 

[lightweight champion]

For property that needs heavy renovation the value of the home is already down because of the shape it's in. If you put 20% down on it I'd consider taking out a HELOC (home equity line of credit) on the property and using it towards renovation to boost the value, then eventually sell it. There you would have a successful flip.

With the money made from the flip you could buy another fixer upper and repeat the process. Heed this warning though, flipping a home is not a quick and easy process. It is a long grind that takes time and patience. And if you plan on renovating yourself instead of hiring companies you can expect a lot of blood and sweat as well.

 

[datkidfiasco]

family owns a few locations and developing a 42 unit apartment now. 

Ask any questions 

 

[sneakaprince]

Seems like it livening up will subscribe now

 

[stayblessed]

For property that needs heavy renovation the value of the home is already down because of the shape it's in. If you put 20% down on it I'd consider taking out a HELOC (home equity line of credit) on the property and using it towards renovation to boost the value, then eventually sell it. There you would have a successful flip.

With the money made from the flip you could buy another fixer upper and repeat the process. Heed this warning though, flipping a home is not a quick and easy process. It is a long grind that takes time and patience. And if you plan on renovating yourself instead of hiring companies you can expect a lot of blood and sweat as well.

I don't think a HELOC is really going to help you out, if you put 20% down a decent amount will go to closing leaving only a portion in equity. Also, I am not 100 on this but banks may frown on someone that buys a house and a week later turns around for a HELOC. 

 

[imrobindahood]

Going to start getting into this thread. Saving up to buy my first investment property by end of the year

 

[gatorbeltsnpattiemelts]

this is what I did.... I took a more "slow steady pace wins the race"

I purchased a duplex that was foreclosed--didn't require much extra effort on my part to maintain. It's not a quick flip but it's some extra money in my pocket every month. I can afford the mortgage w/o rent so I'm able to stack the rent I get (although now i'm using it for school). I'm still able to save half the rent tho and that's my "rainy day funds" for repairs etc.


just my two cents.

 

[651akathepaul]

Good idea. There just happens to be a base in my area. As well as a Boeing plant (lots of contractual work).
That's exactly what I've found, but I'll look around some more. Brokerage firms seem to offer different deals though.

You in St. Paul? Wee should link up. I'm in the same boat with you, just taking preliminary steps to see what it will take to get in the door. I'm looking at investment financing through a company as opposed to a personal loan. Not sure which route would be more feasible but maybe someone in here can chime in on that?

A friend of mine keeps telling me to go the "for sale by owner" route. Anyone have any comments on that?

I'm in Washington State.

Just bought a few books this weekend to further educate myself on some of the nuances to this.

 

[shake]

you gotta have big money to invest in California. especially the Bay Area

 

[dathbgboy]

I've seen at least 4 potential properties in my area but, I have no funds to invest.

 

[ybyb20]

@VaGixxer  check your pm bro, I gotta a few questions about real estate I hope you don't mind answering.

 

[al audi]

Im in the same boat as y'all. I'm interested in purchasing a property. I plan on putting sweat into it to rebuild and renovate, and live in it for a while. Eventually I plan on renting it out. Or I might rent it out first and then live in it after. Either way, I don't have no where near a 20% DP saved up.

20% of 200k is 40,000, and I def don't have that cash on me. Is there any way out of this?

talk to people who have more money than you.

bein srs, its called investors

damn i made this thread in 2011 an its almost 2015

its amazing what some hard work can do

 

[lightweight champion]

20% down is ideal but not necessary. Putting 20% down creates the possibility for a Home Equity Line of Credit which you can use to consolidate debt or when unexpected situations arise like losing your job or needing money for hospital bills.