All Forum Posts by: Aaron Junck

So your personally going to live in it?

I have always preferred a 30 year. Here is why. It gives you options. What happens if you or your significant other becomes ill or loses a job. That extra $100 can be a lifesaver in a pinch. As long as everything is going fine you can easily pay an extra $100 a month as you like. You will however have a hard time going to a bank and saying hey can I refinance to a 30 once you get a hardship. So like I mentioned I always shoot for a longer term and give myself the option to pay it off as soon as I feel. Cash flow can be your friend or foe.

Also you may have a hard time getting a mortgage under 50k some banks don't mess with mortgages under 50k. Just an FYI.

One thing I get a kick out of is when you listen to his show and people call in with questions pertaining to getting out of some sort of debt and their household income is ballpark of 200k a year. HELLO if you have a household income of 200k and you can't seem to figure out how to get out of debt... then yeah you should get out of debt with a plan and never get back in debt. I would like to hear how many people that had a household income of 30-50k a year with a FAMILY that purchased homes in all cash and no debt whatsoever and are now ...oh lets say have a net worth of 1,000,000 within 20 years???? Now I would have to bet that would be under 1%.

However, I too feel like the bulk of the rest of the posts previously. If you can buy right and be leveraged and profit by doing so, then your setting yourself up to win. 

IMO I feel that what he has to say is great advice for personal finance.(no debt) But, as far as business and RE goes I am fine carrying debt that is leveraged wisely.

1st thing to be very cautious of is that you mentioned its owned by a family member.

I would say if your set on getting this deal done. Ask if they would be willing to kick you a little money if you found a buyer(wholesale it). Yes, it would be nice if you could get a huge chunk of equity but it would also feel like your stealing from family. Just educate them and work something out in my opinion. 

What is wrong with the property if it is in the most desirable part of town and it is only 100k and hasn't moved yet? Does it need a bunch of rehab?

There are a ton of structures you can do but it will depend on your end goal here. 

You should be able to cashflow or break even with only a 80k loan and 1000 month in income. 

Sounds like a great plan. Find your niche. That will set you apart and help you succeed.

The flippers you may be referring to may buy really cheap houses and flip them out cheap. But that is not the only ones that can be flipped. Look at @Will Barnard , he does beautiful high end homes.

Great story!  

Just goes to prove . At some point your going to have to get off the couch and act on what you know and learn along the way of what you don't.

I agree with the above posts. Just give a local foundation repair company to come out and look at it. I am sure most would evaluate it at no charge expecting to get the work.

Around here that happens. Many times from large trees too close to the house. The remedy we see a lot is they excavate around the outside and pull the wall back straight and tie it back into solid ground to prevent it from happening again. 

To me it doesn't make a whole lot of sense to put any beam across the room from one wall to another to keep it from bowing in anymore unless this space is completely useless. It hasn't fixed the problem it just more than likely is keeping it from getting much worse. In my opinion a half a** way of doing things.

You would want to be sure the material they used to backfill and regrade is the best choice to . Some soils allow water to flow easily through them while others do not. 

Wow. (I am not an electrician ) However, I do see a huge issue on the top of the old panel where there is a yellow and white wire going out there is nothing keeping it from rubbing on the panel itself.( I don't remember what those clamps are called)

Can you say huge safety issue.

I agree with @Guy Gimenez . 

Find a new investor to work with if he/she doesn't care for quality and safety. I would focus on finding an investor that has the same mentality as you do .

The last thing you want is to find yourself in court bc some issues came up and the investor blames you even though you addressed the issues and he wouldn't do whats right. Also when issues happen from cutting corners it will come back to who did the work and once again it will ruin your name and business name. 

Chose an investor that isn't in it only for the money but cares about the reputation and safety of everyone.

With really bad credit you going to be in a harder position than those with mediocre credit. The reason for it is that investors see you as high risk. 

If you have cash to put down on the property and have bad credit you may be able to still secure a deal. If your looking for 100% financing on a project your going to have to show an investor (private lender) some sort of value(LTV) along with security to show a lower risk to offset your poor credit.

Your best bet may be to spend some time and repair your credit and in that mean time network and learn as much as you can.

@Kenneth LaVoie Are the plans you mentioned all self directed?