All Forum Posts by: Akay O.

Does anyone know a reliable Surveyor in the Atlanta area that is responsive? It has not been easy finding one that is available.

Thank you Moises R Cosme for your suggestion. I take your point on evictions and the possible passing of the HEROES ACT, however, if the Tenant is not currently covered by the CARES Act, evictions cannot be impaired or am I missing something?? You can only be covered if the property falls under the CARES ACT

So, I have been researching on innovative ways to evict a tenant despite the ban on evictions. As a result, I reviewed the CARES ACT; Coronavirus Aid, Relief, and Economic Security (CARES) Act (P.L. 116-136) and discovered some very revealing information, at least for me.

Section 4024 of the CARES Act provides a temporary moratorium on eviction filings as well as other protections for tenants in rental properties. However, the following conditions must apply before a tenant can have such a benefit.

1. The property must be a rental property with federal assistance or federally related financing.

2. It must be a “covered dwellings”

3. It bars Landlords from issuing notice for 120 day period commencing from March 27. Therefore, as of today, there is nothing stopping a Landlord from issuing a 30 day notice to vacate, as the 120 days period has elapsed.

4. Valid 30 days Notices can be issued from about July 27.

In a nutshell, the CARES Act's eviction protections only apply to "covered dwellings," which are rental units in properties: (1) that participate in federal assistance programs, (2) are subject to a "federally backed mortgage loan," or (3) are subject to a "federally backed multifamily mortgage loan."

So, based on the above, I can only conclude that private landlords can serve notices and evict if they do not have a federally backed mortgage loan.

Backed with this information, if you want to be exempt of the CARES ACT as of this moment, is there anyone aware of innovative ways of doing this? Can there be further innovative solutions assuming one is currently backed by a federal assistance program?

How about a sitting foreclosed Landlord? From the above, a foreclosed owner cannot be classed as a tenant and therefore exempt from this protections.

Thank you

Previous owner is in the process of vacating. I had to give him an incentive to do so but he needs a week as he has lived in the home for over 10 years. Home is 3 floors so he has a lot of possessions. Only challenge is seller is not willing to wait a week. He has received money to leave and has actually started moving. Ideally, if I get another lender who could go in blind, I am happy to receive only 50% of cost and give collateral with a different property that is free of mortgage. Time is simply not my friend on this one.

Do you fund properties in Georgia?? If so, please reach out.

Thank you

Has anyone ever had a hard money lender pull out of a deal because the foreclosed owner is still in the property? I have just had this experience and unfortunately, it is jeopardizing my deal.

Another mistake I made was relying on one lender as opposed to pursuing several. If I had done so, with this one pulling out, I could have easily switched to another. Finding another lender will take a few weeks and seller is not willing to extend. Does anyone know a lender that can lend in a fe days with possibly a 30-50% down? I just need a lender that can go into this in a very short time frame. What other ways can funds be raised at such short notice??

@Kevin Charles, If I had a 150k today, I personally will focus on the south side of town and this is the strategy I will apply. I will look for homes in the 60-80k bracket, they are usually 3/1's and you will find them. If I find closer to the 60k range, I will invest another 60-80k adding square footage and making it into a large 3/2. You will usually hit values of around 180k after work is completed. You will have a brand new home that can rent for about 1200 monthly but most importantly, will not need any works for a long time. The further advantage is that when appraised 6 months down the road, you are likely to be able to cash out lets say 70% of 180k value which comes to 126k. You would almost have pulled all your cash out, still have 30% equity and a solid home that is likely to appreciate faster and build equity. Hapeville is decent and I have seen values rise steadily, it is still a good area to invest, there are still good deals in East point and the other areas mentioned, my strategy will always be to buy it run down, preferably solid brick homes and completely revamp the entire home. Another strategy is buy something decent foreground 90k, spend 10-15 sprucing it up and rent for around 1000-1100.

This would be my preferred method but I know there are lots of experienced investors that can shed more light.

Good luck

@Jingru. Lending home. Rate was 11.45%. Crazy but its my first diet deal. I will explore others as I am putting offers on two other properties. I may JV and just fund it with cash, I have a reasonable dashpot that will make more sense if I had another cash buyer. There are a few good deals out there as cash is now scare.

Investment Info:

Single-family residence hard money loan investment.

Purchase price: $116,000
Cash invested: $38,000

This is a SFR 3/2 of about 1025. Prices are in the 150-170k neighborhood.

What made you interested in investing in this type of deal?

The neighborhood is settled, the rents appear reasonable at between1000 and 1200, long term prospects appear reasonable especially post Covid.

How did you find this deal and how did you negotiate it?

Found it at auction and a property I had been keeping an eye on.

How did you finance this deal?

Hard Money, 20% down and refurb costs were borne by me.

How did you add value to the deal?

Value was in the purchase itself

Lessons learned? Challenges?

Finding a great interest rate, lack of US experience in my current Llc's name

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

No

@ Anthony Gayden,

I am interested in how you were able to secure that amount for an investment property. I will be grateful if you share some of the details.

Cheers