BLOG

From House Hack to Commercial Multifamily with Jay-R Domantay, Episode 146

December 10, 2019

 

A house-hack is a great way to get started in real estate. You live in one unit and rent out the others, so the residents pay the mortgage and expenses. Jay-R Domantay used this strategy to get his first deal and then invested in a couple duplexes before making the leap to commercial multifamily apartments. 

 

Born and raised in the Philippines, Jay-R moved to Chicago in 2007 and has used hustle, grit, and ingenuity to build a 27-unit portfolio. Even more impressive, he’s done it all while working a full-time job and another part-time gig. He is not a licensed CPA and real estate broker, helping others get started in real estate investing. We talk about his steps to go from house-hack to commercial real estate, lessons learned along the way, and what's next on his investing journey.

 

  

Partner: Join me at the Best Ever Conference plus 15% discount with 15DEAL

 

Key Insights

  • Raised in the Philippines and moved to Chicago in 2007 at 17 years old

  • Did a house-hack on a new 2-flat in Berwyn, IL 

  • With an FHA loan, he only brought $7,500 to the closing table

  • Rental income covered the majority of the mortgage and utilities

  • Acquired a 2-flat foreclosure in Cicero for $80,000

  • Needed 25% down, but did not have all the capital

  • Took a loan on his 401k to get the remaining capital 

  • Made the leap to commercial multifamily apartments 

  • Tips for seller financing: build rapport, demonstrate capabilities, establish trust, and be easy to work with 

  • Lending process was easier for commercial properties than the 2-4 unit residential units

  • Looking to do a passive deal to learn more about syndication

  • Seeking 8-24 units for his next active investment 

  • On the Westside of Chicago, 2-4 units are still going strong

  • Cash flow, cash reserves and long-term financing
     

Partner: Download a Free Sample Apartment Deal Package

 

Bull’s Eye Tips:

 

Apparent Failure:

Not having enough cash reserves, had to tap into W2 income to cover costs

 

Most Recommended Book:

Eat That Frog by Brian Tracy 

 

Most Recommended Digital/Mobile Resource:

Google Docs and Dropbox

 

Daily Habit:

Miracle Morning Routine

 

Wish I Knew Starting Out:

The importance of cash reserves

 

Advice to College Student:

Consider the cost of college before you take out a loan

 

Advice to Ignore:

People who have not done what you want to do

 

Current Curiosity:

AirBNB

 

Best Place to Grab a Bite:

Lola Tining

 

Connect with Jay-R:

Email: mvdarental@gmail.com

 

Leave us a review and rating on Apple Podcasts or Spotify. Be sure to check out more info at TargetMarketInsights.com.

 

Share on Facebook
Share on Twitter
Please reload

Featured Posts

How to Produce Life-Changing Content with Seth Williams, Episode 133

October 25, 2019

1/7
Please reload

Recent Posts
Please reload

Archive
Please reload