All Forum Posts by: Andrew Garcia

Hi @Nick Wehrley, renting by the room after you leave would likely be your best bet until the rent appreciation allows you to do an LTR.

I am not sure about the zoning in your specific area. I would check with local real estate attorneys.

Renting by the room is sustainable if you do it correctly. I would connect with some investors on here to get some ideas on how to do it long-term.

Hope this helps! Let me know if I can be of any assistance.

Hi @Donald DiBuono, there are always going to be people that flip out on you while doing this.

They are in a tough situation so they could take it out on you.

I would approach with empathy to build rapport and then provide an out. You really have to believe that you are helping them to make this strategy work.

If they believe that you are truly trying to help them, they will be far more receptive to your offer.

You can also give them an option to buy back the home within a year or two if you so choose.

Hope this helps! Let me know if I can be of any assistance.

Hi @Pasha Gorky, you have different options.

1. Do a cash-out refinance on your primary. You will get a fixed rate fully amortizing loan.

2. Do a HELOC on your primary. The initial rate will be lower but it is an adjustable rate so if you do not plan on paying it off within a year or two, you could be paying a much higher rate.

3. Get a second mortgage on your primary. The rate will be higher than both of the above options but you keep your current rate and get a fixed-rate.

4. Do one of the above on your rental property. The rates will be higher than on your primary but if you default, you will not lose your primary.

Hope this helps! Let me know if I can be of any assistance.

Hi @Olga Kostrova, 

I can give you a recommendation if you would like. I do not know anyone that works in both NC and VA but I can connect you to one from each.

I also work with a great real estate investment brokerage in Charlotte that works almost exclusively on fixer-uppers. I can get you connected with them as well.

Let me know if I can be of any assistance.

Hi @John DeLuca, I can refer you to a lender that can close in an LLC for first-timers if you would like. @Eric S Charles same goes for you.

If you were to buy then deed it to an LLC, you would trigger the due on sale clause so do not do that.

Always happy to help fellow investors! Let me know if I can be of any assistance.

Hi @Nate White, definitely talk to a CPA to learn if there are any tax advantages to this.

As far as I know, there is not but I am not a CPA.

Hope this helps! Let me know if I can be of any assistance.

Hi @James Thomas, one of the biggest issues with today's economy is inflation.

Therefore, even if the economy heals, home prices will still be higher. 

House hacking is a great strategy as others say. If you plan to stay in the home for 5+ years, it is almost always a good idea to buy rather than rent.

You can still live cheaply while owning a home. You simply have to do it in the right way.

Hi @William Hinsche, no. That is not normal. They will typically charge anywhere from $1,000-$1,500 in admin/underwriting fees.

Then, 2-3% in origination fees. The other closing costs should be pretty standard (title fees, recording fees, etc.)

8% is really high though. You should get a second opinion.

Let me know if I can be of any assistance.

Hi @Jane S., Dave had a great response above.

It is not up to the broker to decide which title company to use.

They often have a preferred title company but you are in no way obliged to use them.

I am sorry that you are in this situation. Let me know if I can be of any assistance.

 That's great! If you ever have questions about the financing side of real estate, feel free to ask.