All Forum Posts by: Arron Paulino

Is anyone else in the Memphis market experiencing delays with getting work orders completed by MLGW currently? I've asked a couple people in that market and they've said MLGW has been unreliable and unresponsive as of late. Currently, I am waiting for an electric meter to be installed in my property, but nothing has been done and I've put this over a month ago and repeatedly have tried to contact them to no avail. I appreciate any feedback on this issue.

@Shafi Noss

The lender I am using is Supreme Lending.

@Timothy Hero

Thanks for your response! For some reason, I thought that paying the points up front to lower the interest rate would be beneficial long term.

I’m in a similar situation where a lender I’m using is offering these rates for another property I’m refinancing:

- 5.75% w/ 1 point

- 5.5% w/ 1.625 points

- 5.25% w/ 2.25 points

Property Details for BRRRR:

- Purchase: $43k

- Rehab: $60k

- Expected ARV: $110k

- Rent: $1000/month

I know I’ll be keeping money in the deal since an unforeseen rehab expense increased the budget. I may need to find another lender, but I’m not sure since rates have been increasing.

I work in the hospitality/golf industry and find this to be a good place to potentially find private money lenders. I am wondering how I can utilize my field of work to share my love for investing in real estate to find people that want to partner in deals or invest with me to grow my rental portfolio. I teach golf lessons with some high-level clients (VPs at companies, business owners, and high-earning individuals to name a few areas of work) for an hour or two. I do want to make sure I stick with doing my job as in remembering what the client came in for and not have a conflict of interest or anything. I even play golf regularly and would be open to playing with other members that enjoy the game. Does anyone know of a way to talk about real estate investing specifically partnering up on deals so that I can use other people money to scale up my real estate investing? I see a round of golf (spending a few hours) with a person or a couple people (can play up to four players in a group) as a great opportunity to network with other people and exchange info to do deals. I hope this makes sense. I even see this as an opportunity for someone that loves golf at meetups and use my background as something I can bring to the table. Any advice would be greatly appreciated!

 Thank you for the reply! How do I proceed with having the seller do the credit check and review of my finances (Total noob question lol)? I saw the property on Zillow after the fact. He does include his wholesale fee into the down payment, but you're right I could just be direct with the seller. I also saw it as an opportunity to build a relationship with a local wholesaler for future deals.

Is pre-approval necessary when doing seller financing? I ask because I recently came upon a deal and the wholesaler is asking if I have been pre-approved. Seller financing is available in the deal rather than paying all cash for the property. I thought pre-approval is only if the property would be bought using leverage. Any advice on this topic and how to proceed is greatly appreciated!

 I'll lay it all out there and show them what I've been doing. I appreciate your time!

Thanks for the reply! I think I'll be in a similar line of work, but not in the same industry. I plan to either stay at my current job until the end of this year or the end of next. Once I figure out another job I am more interested in, I plan to make the jump. I am interested in real estate and would like to learn skills that could help with building my rental portfolio so this is a line of work I'm looking for at the moment.

The common program I've seen is 2 years of W2 income, but it is interested to see there are some that do one year. I do not plan to work part time at the moment as I scale up my portfolio, but will do so once I notice I can rely on my rental income instead of my earned income. I just do not want to mess up any thing pertaining to being unable to obtain conventional financing because I left my job all of a sudden. I will continue to work and am just in a time in my life where a new start in a new job is in order.

According to my numbers, I had the ARV set at $100k, so I bought it for $43k and rehab will run me another $42.5k. I anticipate leaving money in the deal of about $10-15k due to my current lender providing a cashout refinance of 75% of ARV. I do want to make the private lender comfortable with doing this deal with me so I can use them for future deals. How do you suggest I come up to a lender to have them see this all play out?

I am planning on cashout refinancing my fourth property using conventional financing (30-year, fixed rate) since I just finished rehabbing that one and plan on having it rented out. From there, the plan is to use those funds to rehab the fifth property if I am unable to find a lender to fund this rehab. The seasoning period for my current lender of my rental portfolio is six months, so in about three months I should be good to go. What do you think?