Fresh College graduate looking to get started!

Rehabbing, Fix and Flip, Rental Properties
1

FINALLY!!! A forum that’s worth a damn. I have bought countless books, talked with parents, read forums online and nothing so far has amounted to providing as much information as this forum. So to start off, Thank you.

Now heres my story.

I am 21 years old, a newbie to REI and have not purchased my first home yet. I am a resident of Long Island, where real estate is NOT cheap. I am looking to finance the home 100%, and CT may be my best bet. I am a graduate of a school in the New Haven area, and am looking at the town of Hamden(06518). I lived there during college and know the town pretty well. My plan as of now consists of the following:
-Look for homes in the range of $100-$200k.
-Purchase a 3 bedroom, 2 bath.
-Rent to a family in order to get my first purchase underway.
-Eventually continue and start to rent to college kids.

I am interested in the college market, because since I am recent grad I know how much they are paying. I lived in a 3 bedroom home, 2 baths, and paid 733 dollars a month x 3 roomates.

My reasoning for getting into the market prior to college rentals is the fact that I feel college rentals is all about timing. Books have said to try to get $1000 dollar a month in profit from the rentals, and I am not sure how attainable that is. Any advice on what to do would be great.

I am going up to town this weekend in order to go to a couple open houses, cruise around town for FSBO signs.

Thanks in advance

-Jason

2

1st of all congradulations on graduating that’s awesome.

I have several questions for you, what does your credit look like? Do you have money for closing costs or do you want cc’s combined into the loan (this is possible). Can you go full doc or stated this will determine rates.

Regarding Positive cash flow, Depending on how long you plan to keep the properties, you can consider a pay option arm or an I/O loan, both these options will boost your cash flow. Also going to FSBO is a great idea, a lot of times they will be willing to carry part of the note, (and sometimes w/no interest) this will save you a lot of money also.

Regardless you need to get preapproved so your offers hold water. And the sellers and/or agents will know you are serious.

3

Joleen is sending you in the right direction. Look at your financials first then start looking at properties. Don’t put the cart infront of the mule.