All Forum Posts by: Andrea Lane

Bill

You can ask may different lenders and banks for information.  The concern is if they do a hard pull on your credit,  your credit score will be impacted.  Why don't you sit with the lenders and understand their terms.

Are they going to look at your credit (if this is your first time they probably will).

What experience do they require?

What DCSR are they looking for?

Make sure you have your property docs in order and you can speak to the numbers of the property.

Are you getting the apartment in your name or as an LLC?

After you meet with the lenders you may have a better fell of where you want to apply.

Stelljes

What a wonderful gift. If you are going to be renting it out you may want to consider creating an LLC and getting a mortgage instead of a HELOC. Rates are really good right now, you can get a 30 year fixed with a great. I recommend you go to a local bank in your area and see what they can do for you.

Jonathan

There are many regulations around what you can and can't do.  If your investors are not accredited there is a limit of 35 in a rolling 90 period.  You should contact a real estate lawyer who is familiar with the regulations.

Sam

I have a turnkey company where the units are not rehabbed, just rentable and rented, there is equity in them when purchased. That being said, I would not look to a turnkey company for units to use the BRRRR method. If you want to do a BRRRR then look for good wholesalers and/or realtors in your area, Facebook market place Facebook Groups for Real Estate or go to local REIA meetings.

If you ever want to have a chat let me know.

Latanya

You are in the right place to start.  BP offers many opportunities to learn about investing in real estate.  Knowledge is the first step to determine how you want to invest in real estate.  There are many avenues to make money, build a business, and build a long lasting legacy.

The first step is knowledge.  The next step is relationships.  BP offers the opportunity to interact with investors, but in my opinion, the best thing you can do is find local real estate groups in your area and start meeting other investors.

If you have any specific questions, feel free to reach out.

Glen

Will you please share why you want to use a HELOC instead of a mortgage for your primary home? A traditional mortgage usually offers the best long term rates? A line of credit offers the ability to not pay interest on the balance that is not used, the down side is the bank can decide to stop the line of credit at any time with no notice. At that point you need to repay the HELOC at the terms you agreed to, you have a higher interest rate, and you do not have access to the funds.

Santiago, Look forward to meeting you.

Ian & I are hosting our first Coast 2 Coast Essex County Real Estate Investor Meetup on Monday September 13 at 6:30 at  The Map Building, 515 Valley St, Annex Suite 8, Maplewood NJ.  You will have the opportunity to network with local investors.  Let us know if you can make it.

Natasha,

I no longer fix & flip in Baltimore city, but I still have rentals there.  When I was working in the city, we had people do drive-bys and find the owners, or looked for 'for sale by owner' signs.  I do have a friend who is still working in the city.  He walks the streets he is interested in and speaks to the neighbors as well as meeting with realtors and growing a relationship.  You are not likely to get off market deals from realtors who don't know you, but if you build some strong relationships the outcome could be different.

There are still areas in Baltimore where the price points have not sky rocketed, just be very aware of the areas in Baltimore you want to invest in.  You can get a cheap house, but the tenant base may not be what you are looking for.

Look into for sale by owner and see if they are open to owner financing with little or no money down. You do the BRRR method and refi and possibly pull money out.

Do you have any investor friends who are interested in the Baltimore area? Maybe you could do a JV with them.

If you are buying it as an investment property you probably won't get 10% down.

We only purchase properties within an LLC and also have an umbrella policy. BTW we have separate LLCs for active vs passive income properties.

The checking account will be in the name of the LLC and allows you to track all expenses and income for the property. If you can get a credit card in the business name that would be great but not necessary.