All Forum Posts by: Andrew Garcia

Hi @Ronnie Galindo, I am assuming this is going to be a conventional buyer.

Working under that assumption, the biggest thing to get is the short sale approval letter. Ultimately, it does not matter if the liens are greater than the purchase price if the difference is forgiven by the loan servicer. 

Below is the guideline for purchasing short sales for conventional.

When processing a short sale transaction, the following documents are required:

1. A Purchase Agreement/Escrow Instruction signed by the buyer and seller that includes the final details of the transaction. This includes all additional fees or payments being made by the buyer in addition to any necessary funds needed to complete the transaction.

2. A written approval to participate in the short sale from the servicer with written details of the additional fees and payments and has the option of renegotiating the payoff amount to release its lien.

Hope this helps!

Hi @Britt Smith, as the others have said, there is a shortage of materials and labor. You would likely need to wait 12-18 months to actually get in the home. 

If you have a great builder that is building a subdivision, they can generally get done within 3 months and they are much cheaper than spec homes.

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

Hi @Rob Gaukel, the terms seem fair to me. Hopefully the owner will go for it!

Hi @Lee Graham, how much did you put down on the property?

If it was more than the minimum, there are options.

Hi @Eric Dietrich, taking out a loan against your 401k is certainly a savvy strategy that more sophisticated clients take on.

However, it does not have to be a binary choice. You can use some of your cash and pay the rest with the loan against the 401k.

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

Hi @Thomas Rodgers, I would do a 3.5% down small multi-family 1-4 units where you live in one of the units. The mortgage will likely be less than a single-family since someone is paying you rent. 

To estimate expenses, a good rule of thumb is taking 35% of the gross rent as expenses.

10% for maintenance. 10% for management. 10% for vacancy. 5% for cap ex.

As for offers, contact a local agent. Some areas are still tough to get offers $50k over asking accepted. Some areas are easy to get offers $20k under asking accepted.

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

Hi @Therese LeDonne, if you have the time and bandwidth to handle self-managing the property, it can be a great way to save some money.

Most of the software has demos so you can test out a few and decide which one is best for you.

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

Hi @Shane Farmer, if the numbers make sense at the asking price, I would go for it.

The relationship is worth more than saving a few thousand on the purchase price.

Hi @James Jordan, it depends on the type of lien. Could you tell me what type of lien it is?

If you would rather respond in private, feel free to message me.

Hi @Daniel Shepard, as long as you have a good PM or you are careful in your selection process of both the property and the tenant, you will be in a good position.