All Forum Posts by: Andrew Aladjadjian

 Thanks for the reply, Richard. Will do

Bringing this one back to light...

I'm in a similar situation. I want to wholesale a deal with seller financing, however the reason for seller financing is to avoid paying a large capital gains tax (original seller). Even if I close on the deal first, then sell it and pay off the loan, that would defeat the purpose of the seller financing, right? Otherwise the seller would not want to sell in the first place. 

Interested

I also live in a competitve market (Los Angeles) but you cannot think this way when starting out. There are always opportunities that arise and having limiting beliefs can crush your goals. Learn about your process, contact an experience realtor in you market and start making offers. Complete your due diligence regarding monthly PITIA+ and other factors to confirm you are ready to buy. House hacking is a great way for someone to start out (especially if you are single LOL). Speaking to realtors and loan officers will help you understand the process, but I also recommend the forums, podcasts and even youtube videos on the subject.

Got it, FHA is definitely more restrictive. If that doesnt work, a conventional loan is always available.

As long as you have 2 years of consistent earnings in the same field, any (or most) lender would approve you for a conventional loan. Make your loan file as clean as possible and explain as much as possible for an easier process. Proves "Letter of explanations" for any confusion. Everyone is alloted a primary residence and travel nurses are not exempt. Use an FHA loan with low down payment, and start house-hacking. Regarding the economy, a popular saying is "Can't time the market, but time in market." No one can guess what will come, but you have to track all the expenses involved with your endeavor and feel comfortable enough knowing that in a worst case scenario you wont be hurt to the point of no return. Know your costs, PITIA+ and all other fators before jumping in. Do your research.

Since the tenants are on a month-to-month lease there is no incentive for them to sign a more epensive lease, especially with AB1482 protecting them from un-warranted eviction. @Dan H. stated the two ways of evicting them. Only other solution would be to offer them cash to move willingly, and if you're lucky they may be needing that excuse.

Hi Jack. At such a young age house-hacking is a great, low cost entry into investing, as @Josh Edelman stated. This way you can get your first deal and start building appreciation and paying down your loan. If you are looking to flip a home you have to learn about the process. There is so much info on this sight and on BP podcasts + books about flipping. Youtube is also a great place to learn. I would recommend Ryan Pineda as he has many videos on basics of starting out. 

Correct, conventional lenders do not lend if the home is uninhabitable. This is the exact scenario where you need a hard money lender (or private money lender) to fund the deal, rennovate the home, and then refiannce to a conventional loan. In your scneario I would contact more contractors for bids so you have an idea of cost. You can also try to find experienced investors to partner on this deal as they would have lenders and contractors lined up, and you can learn from their process on your first deal. Don't forget to factor in your hard money loan costs (money cost) and monthly interest, length of time for rennovation, and other costs such as property tax, insurance and utilities. 

Condo associations also have many rules in place under the HOA. I would first find out if STR are allowed. However I agree with others and would avoid a condo for STR.