All Forum Posts by: Aaron Brown

Hey Jake,

That's great to have these RE goals set!  Congrats and good luck getting started!  

I love your plan-very similar to how I got started by purchasing a 4plex, living in one unit and renting out the other units.  If you need a RE lease template, application, etc. Or just want to toss around thoughts on potential deals, let me know!

If you ever want to grab lunch, or dinner with the fam let me know!  I love talking about real estate!

Thanks Lee,  I'll send you a message.

Anyone else have thoughts or any advice regarding my strategy of refinancing?

One more piece of info- I started as a Landlord in 2014 and As of June 2016, I started property managing full time and also doing house remodeling and Contracting jobs. So no W2 income. Personal credit is excellent.  Any referrals, suggestions, or advice regarding my plans to refi would be great! Thanks!

Good morning BP!

It's been awhile, I've been hard at work investing in Real Estate!  I'm more in search of an investor-friendly bank or portfolio lender for my properties in Independence MO. Any advice also appreciated.

Following properties I'm looking to refinance:

Personal Residence- currently 75k loan, 7% interest. Would now appraise for 110-130k. Wanting to pull cash out to fund a down payment for an upcoming multifamily deal.

Fourplex- currently JV partner deal 50/50 and i have a 40k loan 6.25 %interest with balloon in 3 years. Would appraise at approx 110-120k. Gross income $2121

My goal is to refi with possible lower interest rate and pay off my loan and buy out my JV PARTNER.

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Additional properties NOT necessarily needing refi:

Also have four SFR Rentals all together on one private lender note approx 80k left, 6.25% interest, 8 years left on note. Gross income $2695.

Fourplex on 30 year FHA NOTE approx 4%interest. Gross income $1990

on all my properties, I have found state farm quotes to be the highest priced...

 I use a local agent that represents many insurance companies.  He has been very good to work with and has almost always been the cheapest quote I've found.  Feel free to pm me for contact info.

My favorite SF house: bought for $18,500 cash, put in about 3k in repairs, rents for $775 a month.

Others:

$21k, rents  $600/Month

$24k, rents for $625/Month

$26k, rents for $675/month

Key is finding great tenants that want to fix up the place and stay.  Have had some issues with tenants, vacancy, and large repairs, late payments, etc. 

Definitely doable , but takes super hands on management, and I haven't been able to find any deals like this on the last year... Prices and competition have gone way up.

Hi Trevor,

Unfortunately, they are not the same floor plan. This is an older converted residence 4-Plex, and upon first look it looks like the rents are tapped out as high as market value will bring. I'd love to raise the rents, but I don't think that would be a good idea as it might bring higher turnover and vacancy. 

One thought I am considering though is charging an additional fee to recoup some of the utility costs for water paid by owner. Have you heard of anyone doing this before? I'd love to meet with you or speak with you sometime Trevor to hear about your apartment building Independence!

For Independence, I use Homestead Inspections. great company!

Just curious, what type of property and where in inform did you purchase?

Yes I have used private money with regular amortization and payments with my previous properties, but this private lender offered the interest only loan, which I've never used before. Of course I can pay down the loan on the 40k at any time as well. 

Essentially the interest costs are about $50 per month, per each $10,000 increment.

Yes ^Reggie  that is exactly what i Wanted to offer , about 88k, but other offers started coming in, or so the seller agent said.  I'm still a little leary because I know from experience that these older properties from early 1900s have a lot of deferred maintenance... especially plumbing issues on converted residences like this in Independence. At least it had a brand new roof!!!

I definitely know there's going to be higher turnover in Independence(from experience), so I'm glad I factored the 10% management fee in for myself.  I thought that was smart anyways!!!