All Forum Posts by: Account Closed

I forwarded them an email with the documentation from the original signing. As I was reading your reply I recieved a voice mail from them saying they'd be happy to remove it at the 80% (after speaking to a supervisor). Just a good reminder to save the paperwork!

I am/ was in the process of refinancing a duplex which was done by a local credit union and held as a portfolio loan. The mortgage officer told me I would need to pay the LTV to remove PMI and put me in touch with mortgage servicing. I spoke with them and they told me I would need to pay down to 80% LTV. I tranferred the funds and gave them a call to move forward. They then told me since it was a NOO I would need to pay down to 70% LTV. I reviewed my original paperwork and say it mentioned at 80% I would need to send a letter to have it removed and at 78% the PMI would automatically be removed. So I posed the question to the mortgage servicing dept and loan officer; if I hadn't contacted them I would have only needed to pay to 78% but since speaking with them this morning I will now need to pay to 70%? I have not heard back. Any one have any other ideas on how to handle this?

I'm a big fan of CPA's(mine got me started in REI). I think a good tax person will save help you take all the deductions you earned, a great one will help direct you to new avenues of tax savings.

Also right now(tax time) many CPA's are swamped until filing time. You might want to file an extension so you can interview them when they are able to give you there full undivided attention. If you're looking to build a long term relation.

Hi everyone, I've done a few deals but never one involving an owner contract. I'm currently looking at a property where the present owner is offer an owner contract for financing.
I was wondering if anyone has some good things to watch for/ beware of to protect my own interests in a deal such as this.
Thanks in advance!

I'd point out that the 40 years of heavy goverment involvement in banking(1940-1980) there where no major crisis. Once goverment loosened the reins on banks in 1980-present there have been 3 banking related crisis (SandL, tech bubble, and the housing crisis).... Just say'n

Thank you to everyone who replied. It's a great help to get some more heads in on this!
A big thanks to Rich Weese and Nick Myerhoff. You guys helped me re-examine where I'm at and make a bit of a change of course.
Thanks James and Rob for the offers but for the time being I'm going to stay close to home with RE.
Rich, the current loan on the duplex will reset to 4.5% according to the bank so this will help from my current 6.5%. I'm going to use this to take advantage and save up some money which I will probably use to pay down the current balance to be able to re-finance if thats still an attractive option at the time. I do have a stable job which pays a reasonable amount which should help me through any bumps in the road I'm 30 now so I have some time until I need to realize profits from the properties.
I'm presently focusing my interests to Washington state as it's the area I know and also I like to be able to view a property in a couple of hours notice and also I like to know the areas so I can find properties which should hold a reasonable value for the future.
Nick, I do like your idea of placing the money I would be paying down the mortgage with into a separate account to build a reserve fund; as no one knows the future and if a property comes along that might be worth extending myself some more for the option would be there.

Unfortunately I'm out on the westcoast so I'm not seeing those rust belt type returns. The duplex brings in about 1800/month now. I basically break even when the tax breaks are figured in. In the current market it should be worth some where between 325-340

I feel that the investment property will have good long term prospects as it is in a fantastic location near a future waterfront development with potential to develop into 6 units. Unfortunately there isn't much in the way of options of re-financing at the moment as I still need to pay down aprox $20,000 to reach the magic 80%.
If I do invest in another property with the partner I will live in my present house for 2-3years. If not I will live in it for another year then purchase a place to re-hab and rent out my current residence

I've been debating with myself on where to invest my money. I presently have a duplex which was purchased on '06 as a primary residence/rental. I purchased this for $325,000 and presently owe aprox $280,000 at 6.5% it is on an ARM and should reset this December. Work brought me to a town where I purchased a REO property for $140,000 last December and owe aprox $106,000. I also have aprox $40,000 saved up to go in on another deal with a partner. I'm presently adding an additional $600 to the monthly on the duplex and $250 to the single family home. So my question is would you continue to do the same strategy or would you put the money towards one of the presently owned homes. Would you continue the early payment of both homes or pool the money towards one of them?
Thanks in advance