All Forum Posts by: Andrew Garcia

Hi @Edward Hernandez, welcome to the community! It is a great place for building out your team. 

Your strategy is certainly doable. Going from flips to BRRRRs is a great transition so you are on the right path.

I am sending you a colleague request. Looking forward to connecting! Let me know if I can be of any assistance.

Hi @Charles Schram, why are you looking to syndicate debt with investors? Why not get an STR DSCR loan from one lender and just raise the other 25%? It would be easier and have a lower rate.

Or, is the $100-$400k for the 25%?

Hey @Nick Miller welcome! I love the energy you are bringing to the forums. Let's connect!

Hi @Nicole Rogers, you could make more by purchasing a small multifamily unit on your own or you may not. It all depends on the deal. I would run numbers of deals in your area and see how they compare.

Hi @Thomas Zidron, I would say that now is not a bad time to start. There is still low inventory, there is still bidding wars. The market should start to open up in the summer so that will have more options for you to get in the game. Worst case scenario, the market has a correction.

Even if it drops 10%, because you are implementing a rehab strategy, you will still have equity in the property. 

Your biggest issue will likely be finding a good property. 

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

Hi @Zak Leonard it really depends on which market you are in. If you are in San Francisco, finding a house hack that you can live in for free is a steal. If you are in Cleveland, it would be hard to find a non-cash-flowing property. 

Your goals are also a huge factor. If your goal is income, finding a cashflowing property is likely more important. If your goal is wealth, a great location is likely more important.

Analysis paralysis is a huge issue. You should certainly analyze each deal thoroughly but today's market rewards decisive action. Make sure your team can work quickly and help you analyze each property.

You should start working with a lender and real estate agent as soon as possible. That way, everyone is aligned and you are prepared when the time for house hunting begins.

Hi @Allan Pilapil, it depends on which type of refinance you are looking to do.

For conventional, you would need to wait 6 months. For DSCR or other non-QM products, you may be able to refinance now. If you want the best rate, wait for conventional. If you want speed, ease, and convenience, go with a DSCR loan now.

Hi @Aj Malempati, yes I know a lender that can do a $500k HELOC. I am sending you a colleague request to discuss further.

Hi @Jake Johnson, it can definitely be a good strategy. As long as the AirBnB is sufficiently separated from the main tenants and they have their own amenities without needing to come into the main house, it should not be an issue. However, if you have the stranger of the night walking in and out of your main house, that could potentially cause some issues.

Hi @Steven Brown, it really comes down to a few different factors.

1. How long do you need the money for? Most HELOCs are ARMs so with the rising rates, if you plan to pay back the money within a year, it is likely the better option. However, if you are tying up the money for an extended period of time, I would go with a cash-out.

2. How much equity do you have in your home? You need more than 20% equity to do a cash-out but some HELOCs can go up to 90% LTV.

3. Predictability. If you value stable and predictable payments, a cash-out may be right for you. HELOCs are generally easier to get in over your head with so if you have issues with that, a cash-out may be better. If you are known to be financially responsible and can handle the risk of changing payments, the HELOC may be a better option.

I just realized that I used a lot of acronyms so if you have any questions please let me know. Hope this helps! Let me know if I can be of any assistance.