The Realtor Who Likes To Turn First Time Homebuyers Into Pros
Coldwell Banker West
It sort of is that simple. The question is, how much of a fixer are you willing to live in? This will also depend on your loan type. You may have to wait a few years on the first one if you go in with a lower down payment, because the home has to be habitable and hazard-free for a lender to loan on it, and there's a lot of competition for these starter properties, with the other first time buyers, move-down buyers, buyers coming in from out of state and of course, the cash investors. So, find an agent who can help you with pricing. Low balling in the beginning will get you only a lot of paperwork, and you can't build equity on that. You won't have ton of equity going in unless you have 20% down, and are willing to live in a not-so-perfect home.
Go with the agent that will be up front with you, not the one that's telling you everything you want to hear. Anyone who says it's easy, isn't writing offers. This is a market where everyone is jumping off the fence and submitting offers. A short sale condo recently had 45 offers!
It also depends on the price range, although inventory is low even in the high $300K's and $400K's.
But, I've met people who have only done that lived in houses just to fix them up, sell them and buy a new one. They buy perfectly liveable homes, fix up the ugly over time, then sell for a profit and find another one. They also were willing to rent between properties so they didn't have to buy in a time crunch. They saved their money and were able to buy with cash eventually.
Use lenders that are tried and true, and routinely close loans in 30 days, even FHA loans if that's what you'll use the first time out. FHA is for an owner occupant, so if you're just going to flip, then you'll need an investor loan, and those usually require a 25% down, so you might want to live in the first one. If you get a loan that sounds too good to be true, you'll be paying for it in fees or interest rate.
Let me know if I can help you get started.
Cory La Scala, REALTOR
That is a great goal! Actually that is exactly what I did which is what got me into loving real estate and eventually making it my career. There are a few things that you really want to make sure you consider. First of all, you need a "deal" to make your plan actually work in real life. :) Also, I highly recommend that you select working with a realtor that knows the rental market in addition to the buying/selling market. Many realtors stay away from rental transactions because there is only a small commission for the agent. But a realtor who knows the rental market can tell you the current "hot" rental spots, which condos complexes are great rentals, which locations will get you the best rent for your investment, etc.
Honestly, I have no doubt that this can work out for you. I have seen this work very successfully many times and I'm sure that with the right professional and careful planning you can be a great success story! Just be very careful to select a professional that is experienced in looking for income producing properties.
If you have any questions or would like to hear my "keys" to making this work out please contact me through phone or email!
1.) Get pre-qualified by a direct lender or mortgage broker. This will give you the financial numbers you need to move forward. (Loan type, qualifying amount, downpayment amount, other purchase costs to expect).
2.) Find a REALTOR to work with and go over the financial numbers and your other purchase goals. There is a lot to discuss before you jump in with such an important investment. You may need to consult your tax advisor as well.
3.) Set up an action plan based on the above and start looking. Your REALTOR will be beside you through the entire process up through the close of escrow.
Marcie Sands, REALTOR
Simply The Best Real Estate Co., Inc.
I have done this with several of my clients and it can be done easy, All you need to do is :
1. Get your finances in line with your goals.
2. Get a Realtor with experience and a good track record, in this type of situations.
3. Secure financing! (very important)
4. Know what you what and are looking for, No "Just a Deal"
A Deal can be something different for everybody. Be specific for your first house you want ? and flexible at the same time.
Right know this is a Sellers market and the people that is not 100% ready to buy and focused on what they need, the are having a very hard time buying a home.
If you are ready for the to get your first property withing the next 30 days give me a call 619-869-058 or visit us at http://www.SanDiegoHouseShop.com
Good luck and happy hunting!