All Forum Posts by: Adilah Curry

@Gary Waldron 203k covers multifamily units (1-4 units). It does have to be a primary residence so you would have to "house-hack" & live in one of the units. You can also ask about the Fannie Mae Homestyle Loan which is similar to the 203k, but allows for the property to be investment property, a 2nd home, or a primary residence.  

Unless your broker IS a mortgage broker or lender, I would highly suggest speaking with a mortgage broker or lender that specializes in 203k or Fannie Mae Homestyle loans in Washington. They would know the specific requirements for your county. I do have literature regarding 203k loans, however, it's for Colorado buyers, but the principals are the same. The only differences are the allowable loan amounts.

I followed your link and it didn't say that the 203k isn't for multifamily, it just emphasized single family homes. If I were you, I'd do some research & maybe Google "203k lenders in Washington state". To be honest, there are many lenders who quite frankly don't know how to do 203k loans - its simply not their area of specialty. Renovation loans have been rumored to be "difficult", "not available", etc. You need to really find a lender that knows what they're doing and are experienced in these types of loans. Hope this helps. 

@Brian Fenton Bird Dogging & Wholesaling are two fast cash strategies that require $0 - very little. You could start by posting a free ad on Craigslist offering to find properties for investors & cash buyers. Also, networking & engaging with people here. Investors, cash buyers that are looking for property in your area will help and like @Rafael Norat said, educating yourself here is very important & will go a long way when you start working with investors :). Best of Luck!

@Raphael Thomas

If you're working with Investors & cash buyers, POF is something they're used to providing. It's customary with cash deals (and others) ... I would simply have a standard email or letter requesting Proof of Funds to be submitted. No need to beat around the bush or sugar coat it. It's really a normal request. They'd probably be suspicious if you didn't ask for proof of funds...lol.

If you want, you could be less formal & simply ask over the phone that they submit Proof Of Funds. Make sure they they have any sensitive or confidential information blacked out. Many times they'll just get a POF letter from their financial institution.

You could simply say that "the seller is requesting Proof of Funds, could you send that over at your earliest convenience? My Fax # is.... My email address is...." (some people are leary about sending sensitive information via email. Which you could get a secured & encrypted email account through Tutanota, Hushmail, or several others).

Thanks Brandon! I was on the webinar tonight :). It was AMAZING!!! Thanks for sharing so much great content...it really was very helpful & inspiring! Also, Congratulations on your new bundle of joy, Rosie :) She's PRECIOUS!  You'll definitely be seeing me around :)

Sounds very interesting... I'd like to know more & talk further.

Thanks for clarifying...got it!

Hi everyone, I'm new here to Bigger Pockets. I've just launched my real estate investment company earlier this year and I'm looking to make some great connections & add even greater value here on BP.

Adilah

Hi Angie,

Sorry to hear about your predicament. Based off of what you've shared here & not knowing all of the details, I would look into a renovation loan. Particularly a Fannie Mae Homestyle Loan. This loan will cover renovation expenses on investment property. However, since you've already closed on the property and began renovations, there may be an alternative out there (if you have a Self-Directed IRA, maybe another loan option. etc.)...I'm not 100% sure. You may want to check with a mortgage broker regarding that.

If you guys paid cash for the property & want to avoid borrowing funds, but need money to pay the contractor & start producing income, then you could possibly do a lease option (aka rent to own) allowing the tenant/ buyer to choose design elements or have input on the design (so that they feel they're getting some kind of customization & added value), this would be of course AFTER collecting an NROC fee, (Non-Refundable Option Consideration - not a down payment but gives them the right to purchase at a future date - usually 3-5 yrs) typically anywhere between 5%- 10% of the market value of the property.

In regards to taking your partner out of the business,  you could have some type of agreement drafted to buy your partner out... proposing that  he be paid in full for his work & ownership interest in the company. Whatever the monetary consideration or offer is in this addendum or agreement, it would cover his labor & his ownership interest in the company.

This is my 2 cents. Sounds like you're gong to have to do a bit more research & possibly connect with other specialized professionals that can help you with this situation. Wishing you the best!

Adilah

I'm also looking for other investors & cash buyers that invest in Mississippi, particularly the coastal area - Biloxi, Gulfport, Ocean Springs, D'iberville, & surrounding areas.