All Forum Posts by: Brandon Fischer

 It looks like I need a dscr loan or a bridge loan. Seeing I wouldn’t have a substantial down payment, I think a bridge loan for mixed use property is what I’m looking for. 

Hi everyone, I'm reaching out to see what loan options there are for a commercial unit with single family residence on it. My plan is to buy, rehab and refi to pay back the loan with interest and sell my current house to move into this property.  My current house sale would cover half of the initial loan of $325k (about $150-$160k which is pretty below appraised value) and the refi would cover the remaining 50% plus interest.  The LTC would be around 35% considering the property doesn't need any major repairs.  for a little background on myself, I own 3 income properties in an llc as well as my current house, they're all paid for except a heloc for 50k on one of them.  I completed an extensive rehab my primary house last year, as well as rehabbing all 7 units on my other properties, so I have the experience it takes for this flip, just not the timeline for a traditional mortgage if I'd like to put in an offer.  So I'm wondering if anyone thinks a private hard money loan is a logical way ( or even possible) to get funding for this project.  Is this an attractive option for any investor? it seems pretty low risk with selling my primary house with the ability to borrow against another one of my properties if necessary, but I am relatively new to any lending outside of a bank.  Any tips would be greately appreciated!

Brandon Fischer

I think I understand, I wasn't aware you can gift portions of equity over a period of time. unfortunately with the 5 year look back plan, I think her time is pretty limited with her age/shape. this is probably something we should have done years ago.  

Hi everyone, I hope this is the right place for this question, I found a few posts somewhat similar but I'm still a little unsure. I recently started a RE holding LLC with my brother because my grandmother is giving us two duplexes in upstate NY. My question is, should she gift these properties to us? Or should she sell them to us at a low price? Long story short, we are working to get the deed transferred from her name to the LLC's and keeping them under her name until she passes is out of the question unfortunately. I'm just trying to avoid any unexpected taxes that we may encounter with this transfer. I did some research and found gifting the properties will involve a gift tax, so I think my best bet is a "sale" ($1) to keep it out of the gift category? If so, will I only pay capital gains taxes once if the LLC decides to sell the properties down the road? Or will be have to pay taxes on the difference of the market value? (example:LLC bought properties for $1, the market value is 200k, will we be taxed on the remaining $199,999) Sorry if this is a confusing question, my attorney pointed me to our taxguy, who he didn't give me a 100% answer and pointed me back to the attorney =/.

Any information would be greatly appreciated,

Hey Andrew, depending on the amount you have available for a purchase, I'd save up enough for a property so you can afford a complete turn key multi unit.  No work needed because thats a whole different game trying to be a project manager at the same time (while living out of state).  Find out the cap rate on your properties before hand to make sure you can pocket some cash after you pay for management and taxes etc.  I'd wait until you live local to try finding the steals through foreclosures, short sales etc. to reduce risk of a bad purchase.   Do some research on upcoming areas where values may increase, large businesses going up, schools, new firms, anything where workers or students are plenty to fill your units.   These are some basics that I'm sure your aware of.

Im new to the site as well, cheers!

Brandon

Hi everyone, I finally got around to getting onto this site.  I am a 24 year old college student in Buffalo NY who began real estate investing in my senior year of high school.  I purchased my first 3 unit in 2010 using a family member to give me a loan and now own a great property with cash flow every month and happy tenants.  I graduated with my 75 hour salespersons course this year between semesters and am on the search for more multi properties.  Being a college student and not the best full time job history and income history I've got denied multiple times for a refinance on my property, wondering what your thoughts are for using a private loan and possible finding one through BP is? I know theres tons of scams out there so how do I go upon finding a legitimate lender?

Thanks everyone

Brandon Fischer