All Forum Posts by: Aaron Linden

Wow man this is amazing! Congrata and thank you for the inspiration!

Chris Mason My broker stated it is a NCUA regulation. He was getting a bit irritated with my constant querying of the bank's stance so I walked after hearing that. However, now that you have once again prompted my curiosity there seems to be some information here: https://www.ecfr.gov/cgi-bin/text-idx?SID=b7f39b8d18dafb7b299e1cd5aada9efe&mc=true&node=se12.7.703_13&rgn=div8 Under: Title 12, Chapter 7, Subchapter A, Part 703, Subpart A, 703.3.b and 703.3.k.6. There may be more information in some other bylaws but from this information it seems like the NCUA sets what type of rules the board of directors of a CU may make but then the board actually sets those rules up. My guess is that the NCUA publishes a set of recommendations and guidelines for member CU and then the founding board of directors adopts most of those items strictly based on recommendation. I would love to understand how this actually works in practice for NCUA member Credit Unions if anyone else has more input.

Marty Summers I was just getting ready to ask this same question! My credit union told me the same thing. After digging in with the mortgage broker it seems that the National Credit Union governing body illy allows credit unions to make 15yr loans on commercial properties. This is why BP is so great, thanks for posting!

Joshua Buchanan What is your strategy? How long do you plan to hold it and how much does the sales price (when you sell it) affect the viability of the deal from your perspective? The answers to these questions will tell how much you should care about the neighbors mess and garbage service. As for the garbage, is service available in that area (if not, whoa is it out in the boonies! And maybe you should consider the location before investing) if so then you can just rent a dumpster and charge back to the tenants (don't forget to put a nonpayment of garbage clause in your lease!).

Daniel Kervick Welcome to South Bend and BP!

I agree with Arlan Potter, especially in that neighborhood. That is a really tough neighborhood right now. I think a good starting point would be something in a nicer neighborhood between 1-4 units. The other option would be to partner with someone in town familiar with these types of properties and see how you can help them out throughout the process and learn from what they are doing.

What neighborhood is this in?

David Zheng I completely agree with you. Thank you for sharing this and reminding me there is more to life, perspective is amazing. I wish you all the best moving forward.

Hey Scott Graham what a great and fun question! I have a BS in Mechanical Engineering from Western Michigan and a MS in Mechanical Engineering from Purdue. I believe both degrees contributed to my ability to effectively analyze potential properties and increased my problem solving ability. My BS also got me a "high paying" job and a load of school debt to go with it. Regardless, my job provides enough income to buy some houses. The job has also enhanced my creative problem solving capabilities and my ability to create and work with teams. The job would not be possible without the degree so I thought I should mention that too!

Jake Walroth I typically underwrite more for vacancy maintenance and capex especially for my student rentals but even so this looks like a smoking deal if you can get $2k/mo! Nice find!