All Forum Posts by: April Crossley

Interesting thread and replies.  I guess it depends how/what you are buying? We have never purchased putting 25% down.  I assume this is the traditional route you have been going. We have always purchased cash using private lenders, under market value, and then we use a small local community bank to do a cash out re-fi. While they look at debt to income ratio they definitely don't look at it as closely as they do the property itself.  But if you are paying market value and plopping 25% down.. this method will not work.  Maybe time to get more creative? 

@Chris Tracy not late to the party! Please feel free to message me. I will send you a request :) Thanks! 

Thank you everyone! I will send some PMs :) april 

Can anyone direct me to a commercial lender they have used? Property is in FL, I am an out of state investor (from PA), loan amount is under 1 million. It is a small multifamily in north central FL.  I already have all my info ready to go (PFS, Real estate lists, rent rolls, etc) and the property is under contract and in the due diligence phase.  Thanks! 

@Adrian Smude thank you so much! 

Seeking a referral to an property insurance company and inspection company for a 19 unit located in the Lakeland/Winterhaven MSA in FL.  Also not far from Orlando and Tampa (about 30-45 min). Thanks! 

If you have serious interest in the house, I would keep it simple since it is just one property you are mailing about.  Buy 6 small note cards and hand write a short, sweet note in them: Hi, I live in the neighborhood and drive past the property at 123 Main St every day.  I am interested in purchasing this home. Please contact me if you are looking to sell.    Sign name and phone number.  People love that your local and live nearby.  Hand write the note card envelope and send them off :) Use one of those little notecards that looks like a thank you card or baby shower invitation... basically something  you would see in your mail and want to open it

Any time I hold an older house as a rental I just REALLY pad my rehab costs and I factor in a higher maintenance cost.  I flipped an old farmhouse a year ago and once you start  tearing those old houses apart... replacing things isn't as easy as you think.  A lot of new investors also make the mistake of thinking their expenses are: taxes, insurance and utilities. If you are going to hold it as a rental and its a single family home- tenant should be paying all the utilities. But as the landlord, you will have vacancy and maintenance expense. And with an older house you should be factoring in a higher maintenance expense because the home is older (stuff cost more to replace and there are more problems). So, for example, in my area I use a 5% vacancy and 10% maintenance expense. (% of monthly rent). If I buy a really old rental that I'm going to hold (old plumbing, older heater, etc). I might factor in a 15% or higher maintenance expense depending on the age of the building.  So basically.. pad your numbers :) And you should be fine.  It is hard to say w/out seeing the house. My suggestion if it is vacant ... would be to take a contractor with you when you do a walk through. Even if you have to pay them something for their time. Get their thoughts on the age of everything, upkeep, maintenance, etc.  Even when I think I know... contractors have opened my eyes to many things I didn't catch myself... even with experience.    

I just went through this same discussion with myself when doing a re-fi on 2 properties. If your current goal is higher cash flow, then do the 30 year term. You can ALWAYS pay extra on the loan and pay it off faster if you don't need the excess cash flow.  

Ryan, if you are on Facebook, I organize a group on there called The Landlord Connection. Its a Group full of landlords that are local to Temple, PA. You can post in there to ask about inspectors and contractors and you will get tons of answers. I also have a local contractors list on there. Congrats on your 1st property!