All Forum Posts by: Boris Alayev

No one has any ideas? If the house is priced correctly the one unit can generate enough revenue to cover the overhead and still have positive cash flow. Would any lenders work with those circumstances? 

Sorry can't seem to edit the subject, *unfinished* unit......

Hey Guys,

I have a great deal that I want to take advantage of in an A- area. House is duplex with one unit rent ready. The seller has POS violations that need to be taken care of but the price is right. The second unit just needs kitchen cabinets/sink/toilets to be ready and all material is nearly stored in the unit.

I want to finance this deal instead of going cash or 203k (I won't be living there). Few bankers I talked to said the POS violations if minor is not a big deal but the unit that's not finished would not fly.

How do I get this financed without hard money loans?

Btw I have access to my HELOC but rather try to get a mortgage if possible as I would need the cash for the rehab on the two deals I'm working on.

Thanks in advance.

 @Jessica G, Thanks for sharing your experience. I will ask the funding bank if they have any extra concerns, especially since they will use the total credit line in their calculations. 

@Perry Farella, yes I am aware, the total line of credit you have available to you is considered as part of the qualification process for future loans. Regardless a HELOC is still one of the best ways to leverage a way to finance future deals.

I am in the final stages of a HELOC closing. All is approved just need to get the papers signed and sent back. I am also in the middle of my first investment properly closing (waiting on appraisal completion and closing date schedule).

For those who have used the HELOC to buy properties, rehab and refinance them with either a commercial loan or conventional, do you draw the HELOC money and keep it in the accounts for 3 months before use? I ask because it is common for lenders to ask for 3 months or so of banking checking/savings statements. And when they see 100k deposited into the account they start to ask questions. My understanding is banks are not happy when you use a HELOC with a variable rate to put a down payment on an investment property.

What is the correct approach here? 

Thanks in advance.

Glad Josh's daughter is doing better. 

This was an amazing episode I have already told everyone if they are going to listen to any episode this should be the one. I also just bought "Long-Distance Real Estate Investing: How to Buy, Rehab, and Manage Out-of-State Rental Properties" by David Greene, can't wait to read it. 

Keep it up BP Team. 

@Jerry Quintiliano, I will be at a local REI group meetup event tomorrow in midtown, I sent you a message on it. Let me know if you can meet up.

@Kristopher Hanks

What is your rent increase strategy? Do you just try to compensate for the potential % increase per year? 

For those who have fought the reassessment what is the process like? Any documentation/links appreciated, assume it may be different depending on the area of Cleveland. 

@Mike Abramov

I did not start a new thread on this yet. So far have just been reading anything I can find. From what I understand, if you have an LLC, you lose the flexibility of using conventional funding as most banks will not give out a loan under an LLC.