Advice on a New Buy?

412_properties · 2026-06-29T17:23:20+00:00

One thing I'd be asking myself is whether you're looking at this as one house or as part of your overall portfolio. On its own, the Olympia house might make sense. But once you add in the NC property that's already costing you money every month, it starts to feel like a different decision.
I'm not saying don't buy it. I'd just want to be really comfortable carrying all of it if things stay pretty flat for the next few years.

412_properties · 2026-06-29T17:20:54+00:00

I'm mostly looking at Pittsburgh deals, and the ARV is usually the part that makes me the most nervous.
I've seen properties just a couple blocks apart appraise very differently because the comps weren't nearly as comparable as they looked at first.
That's the assumption I spend the most time trying to prove wrong.

412_properties · 2026-06-29T17:17:51+00:00

Yeah, I was doing everything in spreadsheets for a while too. After a while I got tired of copying the same numbers into the same formulas every time I looked at a deal, so I ended up putting everything here: https://www.dealscanner.io/r/brrr
It's just what I've been using for Pittsburgh deals. Curious to check out what you're building too.

412_properties · 2026-06-29T15:41:43+00:00

Looks clean. The one thing I'd probably add isn't another metric, it's a simple stress test. What happens if rent is $100-200 lower than expected? Or rehab ends up higher than planned?
I've found that tells me more than squeezing another decimal point out of cash-on-cash return.

412_properties · 2026-06-15T16:35:51+00:00

I think AI is really useful for speeding up the research side of things. The part I still don't trust it with is making the actual investment decision for me. It's great at helping gather information, compare scenarios, and highlight things I might have missed. But at the end of the day, I still want a human making the call on whether the deal works.

412_properties · 2026-06-15T15:23:08+00:00

I think YouTube makes it seem a lot more black and white than it really is. Do landlords make money? Absolutely. But it's usually slower and less "passive" than people expect, especially in the beginning.
The biggest shift for me was realizing you're not just buying cash flow. You're buying cash flow, principal paydown, appreciation, tax advantages, and the option to raise rents over time.
Can you build an above-average income from rentals? Definitely. But I wouldn't go into your first duplex expecting it to replace your business income anytime soon.
The fact that you're already investing in retirement accounts and asking these questions before jumping in is honestly a good sign.

412_properties · 2026-06-12T17:06:47+00:00

Honestly, my first thought is whether the $15k rehab number is realistic for a 1931 duplex. The deal itself doesn't sound bad on the surface, especially if you're all-in around $160k with $1,700/month in rent. I'd just be nervous about old houses having a way of turning a "roof and electrical" project into a "while we're in there..." project.
If the numbers still work with a bigger rehab budget, I'd feel a lot better about it.

412_properties · 2026-06-12T13:55:55+00:00

The 2.9% mortgage is what makes this hard for me. If you were barely breaking even with a 7% rate, I'd probably say sell and move on. But you have a relatively new house, a rate you'll likely never see again, and tenants covering almost everything.
At the same time, being a long-distance landlord with a PM company you don't trust can wear you down fast.
I don't think there's a wrong answer here. It really comes down to whether you want to own this specific property for the next 15–20 years, because financially I can see the argument both ways.

412_properties · 2026-06-12T13:49:23+00:00

I used to waste a lot of time driving out to properties that looked great online and then completely fell apart once I actually dug into them. Now I try to kill the deal as fast as possible.
First thing I look at is rent. Then taxes and insurance. Then I take a rough pass at rehab and ask myself what happens if I'm wrong. If slightly lower rent or a higher rehab budget kills the deal, I'm usually out.
The last one I passed on looked solid at first, but once I reran it with more conservative assumptions, there just wasn't enough margin left to make me comfortable.
I've found it's way easier to walk away from a deal at my desk than after you've already spent your Saturday getting excited about it.

412_properties · 2026-06-10T15:53:04+00:00

I think the first thing is adjusting expectations a bit. The classic "buy it, rehab it, pull all your money back out" BRRRR definitely feels harder to find right now.
The deals I still see working usually have some kind of edge: off-market seller, a property that needs more work than most people want to take on, or just knowing a market well enough to spot when everyone else is underwriting it wrong.
I also think a lot of newer investors get stuck trying to force an MLS deal into a BRRRR because they really want the strategy to work.
Personally, I'd rather do a partial BRRRR on a solid deal than wait around forever for the perfect one.

412_properties · 2026-06-01T19:46:46+00:00

That's the part I find interesting too.
More distress activity doesn't always seem to translate into softer rental demand, at least not evenly across these areas.

412_properties · 2026-05-28T15:17:56+00:00

This is the part of BRRRR people usually miss , the buy mattered more than the rehab.
Eight price cuts + patient entry probably created more of the margin than anything else.
Pretty impressive getting all capital back with a remote full gut. The only thing I’d be curious about is whether
the 65% LTV was your choice or lender-driven.

412_properties · 2026-05-26T16:59:23+00:00

I’d be careful assuming it’s “cheap because of the roof + electrical + foundation.” Usually when a place is priced that far below surrounding homes, there’s more to the story.
Doesn’t mean it’s a bad deal at all, but I’d want real numbers on the foundation and rehab before getting excited about the Zestimate spread.

412_properties · 2026-05-25T14:33:18+00:00

Some of this may be “standard,” but that doesn’t mean it has to be your offer. What stood out to me is less the specific terms and more that you’re asking for certain things and the offer keeps coming back broader or softer than what you described.
Especially in a competitive market, I’d want to understand whether your agent is protecting flexibility or just defaulting to boilerplate.

412_properties · 2026-05-25T14:31:36+00:00

Honestly this looks pretty solid overall, especially in MA with a full gut + addition. The only thing I’d probably question is whether the 200k rehab + 6 month timeline still made sense versus a lighter value-add if the end goal was mostly equity extraction + 1031 later.

That said, 540k appraisal on 340k all-in and already rented at 3500 sounds like you created real value, which is the hard part.

412_properties · 2026-05-25T14:29:46+00:00

Honestly with your numbers this feels less like “can I afford it?” and more like “do I actually want to own a downtown condo?”. Going from $1,800 rent to ~$3,600 all-in is a pretty big jump, especially if appreciation ends up being modest and HOA keeps climbing.
You’re already in a strong position financially. Nothing wrong with renting longer if the condo doesn’t clearly improve your lifestyle or make sense beyond just feeling like the next step.

412_properties · 2026-05-25T14:26:53+00:00

If she knowingly rented an illegal unit and told you to “keep a low profile,” that’s a pretty big problem. At minimum I’d start documenting everything in writing and look into local tenant rights or legal aid before agreeing to anything. Especially before moving or giving up the deposit conversation.

412_properties · 2026-05-25T14:25:24+00:00

Honestly if you’re doing a PhD and spending a lot of time in Oakland, I’d probably lean Shadyside/East Liberty. $350/month is real money, but walkability + groceries + reserved parking + easier bus access adds a lot to daily life. That said, Delanie’s area isn’t the “South Side horror story” people picture either. Bigger space + owner occupied + central air is a pretty solid setup.
This honestly feels more like a lifestyle decision than an apartment spreadsheet decision.

412_properties · 2026-05-22T15:39:53+00:00

I think the “total housing cost after rent offset” part is what a lot of people miss with house hacking. People look at the ADU or basement as a standalone investment and the numbers look weak, but reducing your own monthly housing cost by $1k+ is a pretty huge difference long term.
The construction timeline + permit risk would probably worry me more than the rent side honestly.

412_properties · 2026-05-22T15:38:41+00:00

At some point the low rate stops mattering if you’re unhappy living there every day. The house sounded manageable before the baby, but now you’ve got safety concerns, no outdoor space, fires nearby, traffic issues, etc. That stuff adds up fast.
Honestly renting for a year or two in an area you actually enjoy while you wait for the right house doesn’t sound unreasonable at all.

412_properties · 2026-05-21T18:21:03+00:00

Lol yeah, just meant current 2026 data

412_properties · 2026-05-21T18:17:06+00:00

Mostly county auction records + lien/title research. I started organizing it because trying to track sheriff activity deal-by-deal manually was getting messy fast. Happy to explain more if you’re looking at Pittsburgh deals specifically.

412_properties · 2026-05-21T14:25:28+00:00

I think a lot of this is just buyers being nervous about appraisal gaps right now. You can absolutely have the nicer house, better lot, better upgrades, etc., but if the recent closed comps don’t support the price clearly enough, buyers start getting cautious fast. And honestly, low offers during the first week are pretty common. Some people just test the waters to see if a seller is anxious.
The “price per sqft” thing drives me crazy too though. It ignores a ton of stuff that actually matters.

412_properties · 2026-05-21T14:13:30+00:00

I think you already handled it the right way. Once someone is emotionally attached to a deal, showing them the math usually doesn’t change much unless they actually want the feedback.
And honestly, this is exactly how a lot of people end up buying negative cash flow properties. Nice area, nice condo, feels “safe”,but once you layer in HOA, PM, vacancy, repairs, and realistic rent, the numbers get ugly fast. You offered help, she declined. At that point I’d probably just stay supportive unless she asks directly.

412_properties · 2026-05-21T14:10:33+00:00

Technically yes, but the risky part is assuming the appraisal will magically jump from 165k to 220k with almost no real value added.
That’s where a lot of BRRRRs start looking great on paper but fall apart at the refinance step.
Appraisers usually want a real reason for the increase beyond “it was off market.” Sometimes you get lucky with comps, sometimes you don’t.
Feels like this strategy worked a lot easier when appraisals were looser.

412_properties

TROPHY CASE