All Forum Posts by: Brad Z.

Does anybody purchase properties over the winter but hold off to rehab until feb/march? I'm interested in thoughts on rehabbing in winter and listing vs holding off and rehabbing and selling during the spring market.

I know holding costs will be higher but not significantly in our local market, ex. purchase for 30 to 40k.

part time....will be full time in next 3 years (+/-)

I am in a very similar situation and am doing a cash out refi up to 70% ltv with a local bank on a free and clear house. They do require under 5 conventional loans (I have a few seller financed and private equity loans they don't count). I would recommend talking to some of the smaller banks in your area that treat it more like a business relationship vs. "show me your tax returns and paystubs to see if you qualify".

Rates are great right now and its a great time to secure cheap/long term money. I was quoted 4.5% on a cash out refi up to 70% ltv. (must own property for over year to use appraisal vs your acquisition basis)

Good Luck!

At what point from an income perspective did those of you that are full time make the jump? did you match your take home and roll out or well exceed it? did you have private investors lined up to fund flips to keep you going? I have purchased 2 seller financed propeties this year so thats always an option regardless of your W2 income. What was your thought process once you realized you were getting close? I have a good job but hate it and am doing well with the buy/holds. I am very conservative when its comes to this but do think about it all the time. A few more acquisitions and its going to get pretty tempting....

disclaimer: I know every bodies situation is way different(ex. spouse income, health insurance, etc.., but looking for some common themes)

I am currently trying to acquire buy and holds, ive got the $ in the bank but dont want to overpay, its been frustrating. There are properties out there going for more than they should because investors are getting anxious. Ive lost my last two properties and been over asking price on my offers. I am hoping to grab at least one more by this fall.

Any thoughts on when the reo markets will pick up again and start pushing more volume through? Are banks really holdings that much inventory?

Seems like the same story here...Ive talked to a few REO realtors this week and there listings are down significantly. Ive noticed sheriff sale volumes are down as well. I could only imagine there is a big wave of properties coming, just dont know when......

Thanks for the replies. I always tell applicants they are the second to apply so I have an out. I will probably screen them all and pick the strongest and make a quick call to other applicants saying we went with another applicant. If they do start asking hard questions, i can see we screen them all and the first was accepted, and its a done deal

I do communicate my requirements as "minimum". Not surprisingly, I still get people that don't meet them that apply.

Thanks Mitch. I agree with your thoughts. If i screen all 4, and pick the strongest, do I have grounds to turn down the others? If a tenant meets my documented criteria, but was beat out by a stronger applicant, does order they were received matter or can I just turn them down? I need to give a reason or reason(s) and thats where I struggle.

I like to advertise and have open houses for some of my rentals that are a bit of a drive to get to. I had one last night and walked away with 4 applicants (each of which paid a $25 app fee). I tell them what order they were received or where they stand. My question is how do you deal with this? I have documented requirements and share them with each applicant. If they decide to apply, then its there decision. I think 3 of 4 would be solid tenants. Do you run background/criminal in order they are received and once you have an approved applicant, stop? At that point, do you return the app fee to the remaining applicants or keep it?

Id really like to hear about success stories of continuing to grow a buy/hold portfolio after you leave your W2 income. Did you do it through non-conventional financing and/or good banking relationships? Was it in the last 3 to 4 years (deals are great but financing is not readily available)?