All Forum Posts by: Brandi T

I'm getting ready to set up the LLC that will hold the rental properties that we fix up and keep. I recently read an article that advised against using the words investment, property, real estate, etc in the LLC's name - is there an opinion out there about that?

Also, is there any reason to have an LLC that holds the properties and one that manages the properties (collects rent, etc)?

When you QC the deed into the LLC's name what happens on the mortgage - does it stay in our name?

Ah, the voice of reason! My husband would 2nd your advice! And I appreciate it also - maybe I will just keep an eye on the second deal.

Unfortunately our pot of money is not large enough to do both deals - actually we could but we would have to use loans from our 401K and the payback period is only 5 years so the monthly payment eats into the cash flow from the property. I think it would be better to use the hard money - paying more for the property in the long run. I guess it's a sacrifice we have to make to get started! It is very overwhelming!

Strategy on the second property is fix, refi, hold.

Second property is bank owned so no owner financing, etc.

So, how do I find these HML?

Thanks for the reply - I'm in the Denver area.

How quickly can you usually get a HML - we have great credit scores so that isn't an issue. So is the 60-70% LTV of current value or after repair value? Also, what are the interest rates/loan terms typically?

I have found two properties that I am interested in trying to buy - the problem is they will be my first two investment properties. I can get conventional financing for one, but not the second because I have no history of rental income.

It seems an option is a "hard money" loan for the second property - can someone explain how those loans work? Also, I was going to post on the "Need Money" forum but I don't have authorization so how do I find someone that works with these types of loans?

Thanks (I'm in Colorado, FYI)

Thanks for the reply - so what is your advice for getting into the Denver market?

I'm new to the forum (which seems to be a wealth of information!) and to real estate investing.

I am searching for my first property and have come up with two that I am comparing. Any opinions would be great (even better if you are in the Denver market)

Property #1 - Home with a carriage house out back in an up & coming area - can be rented as two separate properties and has already been remodeled so it is rent-ready. Also, zoned R-3 in an area that will likely have future development.

Property #2 - Duplex in another up & coming area that needs significant work. We don't have a clear estimate on how much yet.

So my first question is which seems to have more potential assuming the numbers work on both.

Second, are there such things as rehab "grants"? If so, where can I find information?

Third, is there a quick formula that you use for determining purchase price on a rehab?

I found this one: (ARV * 65%) - estimated repairs = purchase price

Thanks so much in advance