All Forum Posts by: Eric Walker

I purchased my home for 140k with a 40k grant and a VA Loan about 6 years ago - I now owe about 90k and the home is worth about 200k according to the zillows and redfins etc. I have poor credit (620). A friend recommended a local finance company that appraised my home at 185k and is in the process of refinancing for 140k. I will get approximately 26k from the deal (6 to pay off my student loan and 20 to invest in my first BRRRR). They are nearing closing on the deal but something just doesn't sit right about it to me and im not sure what it is - anyone care to comment? I can give more details if needed - I just want to know if this sounds legit to any of you who have gone the same route.

@David Dachtera -  Thank you for the break-down.  I wish I had met you when I got those first credit cards back in my military days.

Reading your post at first made me feel like its going to be impossible or at least take a very long while to get started doing anything in real estate.  I will keep trying and l will keep looking for deals.  The two brothers you mentioned in an earlier post had nothing when they started and they were able somehow make it happen.

I just found BP - I can't give up now even with my crappy credit. Not until I've bugged everyone on BP and asked every question I can ask. Working for the VA really sucks so I'm motivated.

And yes it helps - just in case you post something else and say what you always say at the end - LOL

@David Dachtera This is exactly why I want to stay away from loans for now.  A revolving line of credit would be so helpful especially for those unexpected deals that might pop up ie: fix and flips etc.  I doubt a bank will take me serious right now as i am only just now clearing up all my previous outstanding credit cards.  BTW - it all helps - so don't hold back any info you feel would benefit me or others reading this - I personally appreciate everything that has been said so far.  I keep reading stuff here over and over to reinforce what I already know and find gems I didn't. 

Thanks to all that are responding - I can never have too much information.  You all have been great!

@David Dachtera - wow Id just be happy with the mid 20's at this point but add in 76 doors and Id be euphoric.  Ill have to look into owner financing.  I have read about it but never thought anyone actually did it unless they were very well acquainted with the person.  The only people I actually know in real life that are into real estate are the people that have replied to this post so far.  With any luck, I'll run across someone like that.  Thanks for the information.

@Matthew Rayl - always great to hear a shipmate interested in something I'm interested in. Makes me feel like i might have actually stumbled upon something worthwhile. As for the credit thing - Last month, I just paid off my last 2 credit cards using the snowball method. Hoping to do the same with my car now and be debt free. Maybe that will get my credit score out of the red 600 zone. The example you gave using the HELOC is "spot on" my circumstance (provided we can trust zillow type estimates). I'm just a little shy about approaching any banks until I'm debt free (besides my mortgage) because I'm certain that the credit score with no money except a 401k is going to disqualify me. I will be checking the Chicago area for any good investment opportunities and hopefully I can put your two cents in to make it happen. Been on loopnet for like 2 days straight now - i might be a little addicted... I may check around here at the VA hospital where I work - there may be some guys that know a bit more.

@Jared Viernes - thanks for the information - unfortunately, I have never been a landlord in any official capacity unless you count roommates I've had from time to time before I had children.  Do roommates count? I was in charge of my barracks once when in the Navy but no rent was involved there so I suppose that won't count either.

@Jared Viernes Thanks for the information and the tip. I sometimes forget that the VA Loan is based off entitlement - I think I remember seeing a number around 400k - not exactly sure.

I would like to find a quad-multi family BRRR using a HELOC and hopefully use the cashflow to pay off the HELOC - rinse then repeat. The idea of having more than one mortgage with my measly pittance of a paycheck as the only means of covering everything terrifies me.

But, I'm guessing that to qualify for the HELOC, I would need great credit, collateral or some money put away. And I unfortunately don't have any of those which is why I think I may have to consider using VA again if possible.

I have to admit, I didn't think anyone would reply or even read this stuff.

Talk about motivation...

Thanks for the advice @Miguel Castillo and @Mateo Carrera. I haven't the slightest idea on how to get a HELOC - been watching youtubes and reading random stuff here and there - hoping to run across a step-by-step here in the forums of @BiggerPockets .com.  But I do think it may be the easiest option.   

I have confirmed on a few VA oriented sites that a Veteran can indeed have more than one VA loan up to a certain amount - its complicated but a lot of them are doing it as we speak.

I'd go into detail about what I've come across so far, but I'm assuming this isn't the place for it - maybe someone will come along and point me to the right forum about VA stuff.

@Aaron Mikottis Congrats on your marriage! Hope to be able to congratulate you in person one day at one of your meetings - please keep in touch.

Navy veteran trying to one day quit my job. I live in Crest Hill IL just outside Joliet or about 45 mins drive to Chicago. I've worked for the VA for about 10 years.

I used my VA loan about 7 years back to buy a single family 30 year fixed @ 4.0% for 140k. I also used a grant that paid 40k. I now owe 90 and it's showing up on zillow as possibly being appraised for about 200k.

I am very interested in buying 4 plexes on my dream path to FI.  I'm not so sure how to start so I came here to BP.

My main issue is should I be looking at a HELOC or try my VA benefits again?