All Forum Posts by: Arthur Tolentino

Hey BP community,

I'm considering paying off the mortgage on a property jointly owned by my mother and me. It’s her primary residence, and she’s retired—so paying it off would ease her monthly expenses. I have enough stock I can liquidate to cover the remaining mortgage balance.

My goal is twofold:

1. Help her financially.

2. Unlock access to a larger HELOC that I can use to fund future BRRRR deals.

Here’s the plan I’m considering:

Pay off the mortgage in full.

Use the HELOC (secured against this property) to fund the full purchase price of another investment property.

Pay for the rehab with my own cash.

Refinance after rehab to force appreciation and repay the HELOC + some rehab costs.

I spoke with a loan officer who mentioned that since my mother is the primary resident, she must be the primary borrower on the HELOC. That makes sense, but here's where it gets more complex:

If I pay off the mortgage, I’d essentially be covering 95% of the property’s value. This could trigger gift tax issues unless I update the ownership percentage accordingly.

If I do adjust ownership to reflect my financial contribution, are there any implications for the HELOC (since my mother needs to remain the primary borrower as the resident)?

Would love to hear from anyone who’s navigated a similar scenario or has insight on:

Using HELOCs as 100% financing for BRRRR.

Legal/tax implications of adjusting ownership on a jointly-owned primary residence.

Structuring this to avoid unintended tax consequences while keeping financing options open.

Appreciate your input!

Thanks for @Joe Brady sharing your perspective—really appreciate it! I’m not currently looking in those specific areas, but I’d love to hear more about your experience with the neighborhoods and the types of properties you’ve come across. Where are you personally looking to invest next, and what kind of property or strategy are you focusing on? Also, congrats on your first flip—that’s a big step. Wishing you all the success with it! Let’s definitely connect.

Hi everyone,

I’m looking into the rental landscape for a single-family home in Bally, PA (19503) and wanted to get some insights from local property managers or experienced investors in the area.

A few key questions I have:

• What’s the current demand like for single-family rentals in this zip code?

• What type of tenants typically rent in the area? Are they long-term renters, family-oriented, young professionals, etc.?

• What’s the average rent range for a well-maintained 2 bedroom home?

• Are there any common maintenance or repair issues that landlords should be aware of in this region?

Any insights or experiences you can share would be greatly appreciated! Thanks in advance.

Quote from @Steven Goldman:

Quote from @Arthur Tolentino:

Steven, I wanted to get your thoughts on a few Philadelphia suburbs based on my buy box. I’m looking for small multi-family homes in the $150k-$250k range, focusing on property appreciation with minimal cash flow to build reserves.

I’ve been considering areas like Fishtown, Somerton, Roxborough, Haverford, Conshohocken, West Norriton, Upper Darby, Lansdale, and Abington. These neighborhoods seem to fit my goals, especially with their lower crime rates and potential for growth.

Do you think these are solid options, or would you recommend other neighborhoods in the Philadelphia area based on the price range and focus on appreciation?

 Hi Arthur, I did not see your reply. I like Upper Darby, Lansdale, and Conshocken. Upper Darby will have more inventory in your price range. I prefer to stay out of the city if possible. The suburbs are much more landlord-friendly should you need the Court's assistance with a non-compliant tenant. Reach out for more info. Steve

 Hi Steve. I appreciate your insights—thank you. Do you have any experience or investments in the area? Also, how would you describe the neighborhood in Upper Darby? I’d love to hear your perspective on key considerations

Great post @Alan Asriants. This has been an educational and helpful material. Please continue sharing your stories.

I'm curious what neighborhoods in Philly you have rental property in and what great neighborhoods/zip would you recommend for rental properties.

Hey BP community,

For those who used hard money on their first property—what led you to choose it over traditional financing? How was your experience, and what lessons did you learn? Any advice for someone considering it?

Would love to hear your stories—both wins and challenges!

Quote from @Alan Asriants:

Best Value adds are:

Updated kitchen, updated bathrooms, cosmetic remodels.

Additional bathrooms - finished basement spaces, in unit washer dryer, central air, additions/alterations.

All of those are useless though if your roof is 30 years old, your mechanicals are from pre 1950's, and your home is in dire need to be renovated "behind the walls"

Otherwise the above will increase your value but you will be left with Lipstick on a Pig

Thanks for the great advice, Alan! I'm curious what are some hidden problems (new) investors often miss and what are some key indicators that a property needs more than cosmetic fixes?

Quote from @Account Closed:

Thank you Arthur for posting this. I'm really eager to learn this stuff myself and you've asked some very good questions. I myself am looking to secure my first deal in northern Arizona and look forward to reading the responses from experienced investors here. 

What have you learned so far that you didn't know before? 

I'm wishing you great success Sir! 

Thanks, Chris! Likewise to you. Definitely message me – let's connect and share what we're learning. I've already picked up some great tips, like focusing on operating costs, using comps for ARV, and the unicorn-like nature of good contractors. What are your key takeaways so far?

Steven, I wanted to get your thoughts on a few Philadelphia suburbs based on my buy box. I’m looking for small multi-family homes in the $150k-$250k range, focusing on property appreciation with minimal cash flow to build reserves.

I’ve been considering areas like Fishtown, Somerton, Roxborough, Haverford, Conshohocken, West Norriton, Upper Darby, Lansdale, and Abington. These neighborhoods seem to fit my goals, especially with their lower crime rates and potential for growth.

Do you think these are solid options, or would you recommend other neighborhoods in the Philadelphia area based on the price range and focus on appreciation?

Thanks for all the great insights thus far! I have a follow-up question—what's your advice on maximizing ARV while keeping rehab costs efficient?

Do you have any go-to value-adds that consistently bring the best return? And are there certain rehab projects you avoid unless absolutely necessary?

Also, I've read that aiming for an ARV of around 70-80% is ideal for BRRRR—does that align with your experience? Would love to hear your thoughts!