All Forum Posts by: Brant Schumaker

@Jim Meloche I'm getting quoted 3.875%, no point, 30-year fixed on an investment duplex; 3.75% for an SFH. PM if you need an introduction.

Jeff this is a fantastic answer. Thank you so much!

I am researching private lending options for my business and the thought dawned on me that these types of transactions are typically individual to individual. What sort of due diligence can/should I do on the lender to ensure that my private information (SS#, financials, etc) will he kept secure and that I won’t have an identity thief posing as a lender?

@Alex Olson Thank you!

Recently finished David Greene's BRRRR book. In his couple of hypothetical examples he estimates property tax on the sale price (lower than ARV for BRRRR). I understand this is somewhat market dependent but what do you all do for your deal analysis on a potential BRRRR property? I'm specifically looking into the KC market if anyone has experience in that area.

@Tony Robinson Thanks so much for sharing all of the information in this thread. I'm still learning the underwriting process and, until I get better estimates of costs, am being pretty conservative. Struggling a bit to see cash flows similar to what Brandon Turner quotes for a SFH in a nicer area but I think I may be being too conservative. I appreciate seeing someone be successful. Best of luck on the next deal!

Yes, I firmly believe that the modeling is way off, and I say this as a disease modeler. Most models at their fundamental level assume some level of random mixing. We obviously don't have that with shelter in place orders, however, it's amazing how closely we can start looking like a randomly mixing population the more contacts people have with the community (thinking the non-essential trips to stores just to walk around, frequent grocery shopping trips, short visits with friends, etc.). One thing to realize with our rural states is that our healthcare capacity is much lower than other areas of the country. My town's hospital already was full of ICU patients before we even diagnosed our first case because we've mainly pinned our number of beds to the needs of the seasonal flu which peaked around early March here. 

I think our limited data on young people suggest that the majority of cases are asymptomatic or mild, however, they can serve as a powerful reservoir for transmitting the virus to others, especially because "don't come to work if you feel sick" doesn't really work for that. The connectivity of the population is what is driving the disease, however the catastrophic estimates of hospitalizations and bed use assumes that we have a certain percentage of severe cases which is probably much higher in the model than in reality. The first fundamental thing we can do in a local area is get more people tested and drive opening the economy to that data. Without adequate testing we are just throwing a dart with a blindfold on. Stay at home recommendations in Wyoming are helping but probably not doing super great because there are a lot of our citizens that aren't taking this seriously. I agree with other comments that this is a real hardship and that people are not going to put up with it indefinitely. However, if we can just slow things down we are going to be in much better shape than the alternative.

@Matt M. Thanks for pinging me. Brave new world trying to work from home, home school, etc. but I think I have everyone answered now. Do you have any questions?