All Forum Posts by: Austin Moore

@Joey Allison this is the clearest reasoning for using this method and I really needed to hear it. I am a newbie with not a while lot to invest at this point so this seems to be the quickest way to scale (if done right of course). Thanks for the insight!

@Matthew Porcaro always looking for some insights on what successful investors think of as good market areas right now!

@Jaysen Medhurst good to know the 75% “rule of thumb” I definitely understand a lot more now

@Matthew Porcaro this is exactly the insight I was looking for on the subject. Thank you very much

@Jaysen Medhurst thank you for the answer, that was exactly what i was looking for!  I guess the reality is that with the 203k loan, obviously the bank is lending you more money, so you will need to use a greater amount of your refinance to payback that loan, which is the only downside here then?

I have a question regarding 203K loans and the refinancing process: the idea of financing a property like this is extremely appealing to avoid having to shoulder the entire cost of a remodel. My question for anybody who has used this process before is how does this affect your appraisal following a remodel? If the bank has more "skin in the game" and has taken on more risk for repair costs, which add equity to the home, do they ultimately provide less than the typical 70-80% LTV ratio on the new appraised value on the home when you are looking to refinance? I'm still an extreme rookie here so apologies if this is a simple question or if it doesnt quite make sense, but I think using this type of financing is really beneficial barring any extreme changes it can make to the refinancing process. Thank you all in advance!

@James Wise thank you for the response sir! Definitely makes sense to me

@Ali Boone makes a lot more sense to me now. Thank you for the insight! Would it be advisable to "wait" for a change in the market, or is it more about getting in as soon as possible

@Ali Boone @Tom Ott Again, thank you guys for the feedback i really appreciate it!  I guess my last question is, with a turnkey property, does that take the option to make improvements to raise the value of the home to then refinance and get some equity back out to lower your initial investment off the table since these improvements will have already been made by the TK provider? (long winded sentence sorry).  Thats where my thought process is leading me.

@Ali Boone I really appreciate the response! I've read about and looked into a couple turnkey property providers, it definitely seems like the path of least resistance in a lot of respects.  I imagine you trade the (relative) ease of the process for a smaller cash flow correct?