All Forum Posts by: Anthony Perry

Quote from @Travis Beck:

Nicholas,

Would be happy to lend an ear on the Fresno market if interested!

 Hi Travis,

I think this might have been meant towards me? I’d love your take on the Fresno market!

-Anthony 

Quote from @Alli Breighner:

Hi Anthony, 

I am also located in CA! I'd love to connect, and discuss real estate with you.

That sounds great, Alli! I’ll shoot you an email to connect directly. 

Quote from @Nicholas L.:

@Anthony Perry

I have to ask - is there a market within 1-4 hours of you that you can start in, rather than looking thousands of miles away? OOS BRRRR is just going to be really, really tough.

Of the many challenges of the BRRRR method, refinancing is actually really easy if you do everything else right. You just get a non-QM / DSCR loan based on the rental income of the property rather than your own DTI.

But there are a dozen tougher things to get right before that... starting with finding a deal way under market value.

 Hi Nicholas,

Thanks for the response; I appreciate the insight.  Yes and no; I’m in southern CA, so you could probably make the argument that there are places like Fresno, Sac, or Bakersfield that are doable. But the average home price even in those places is still pretty dang high. 

Much appreciated, Kevin! My initial impression of hard money lenders was that it’s short-term, high interest borrowing. Is that incorrect thinking? 

Quote from @Michael Dumler:

@Anthony Perry, to my understanding it's a bit difficult to obtain financing via a conventional lender when your DTI is maxed (~50%). A credit union or local bank could be a possibility, but more often than not, they're going to want you to open a checking account with them if they're going to lend to you. Moreover, you'll need to explore non-QM mortgage products, specifically, DSCR loans. DSCR loans are underwritten based on the property's income potential and performance. Many of these DSCR lenders require borrowers to create and establish an LLC but this seems like the most plausible space for you to start investing in deals.

Thank you for the response, Michael! I’ll look more into DSCR lenders. Just out of curiosity, how has the Atlanta market been lately? I had friends that invested in the area two years ago that have done very well, but I haven’t been doing much research on the area myself. 

Hey All!

New to BiggerPockets and my first post, so take it easy on me :) 

My wife and I are looking to start investing out of state. We'd love to invest in our own market(outside of our primary residence), but we live in California, so that's just not going to happen. We're interested in the BRRRR method, but I'm hoping to understand from all of you: what do you do when you max out on lending based on debt-to-income. Assuming these properties are single family homes and/or small multi-family, so we're not talking about commercial lending. Do banks, perhaps smaller local banks, offer more flexibility with debt-to-income requirements if they understand it's an investment property? Or is there something else I'm missing?

Thanks in advance for the answers! Would love to start building up connections as well; my wife and I are motivated to get going but are trying to nail down the markets we want to target and how to best go about building our teams. We both work full-time and have a newborn baby, so being on-location is going to be difficult for us. Building trustworthy teams is going to be imperative.

Thanks!

Anthony