All Forum Posts by: Brian Tootle

Any concern that the long term tenants could become annoyed living next to Airbnb tenants?

I have not done this myself but I know that the key to this (and most financial goals) is spending much less than you earn.  If your heloc acts as your checking account with this strategy then basically every penny that you don't spend each month will ultimately go towards your mortgage.  I'm not sure that's the best idea for most people with rates around 3%.

San Diego has appreciated an incredible amount over the last several years (like most places) but even over the last year the numbers are insane.  My plan is to target neighborhoods like La Mesa, Rolondo, Spring Valley, and lemon Grove.  They're older and are mostly C class but their location is just so much better than places like Temecula, where everyone seems to be going.  I think in the years ahead these neighborhoods will do very well.  If schools are a factor for you though then you may want to avoid these areas. 

Yes, you guessed it!

I have 1 tenant in California and 8 in Ohio.  Guess which one hasn't paid.

For me personally, paying off my primary residence is a major financial goal so I've chosen to do that quickly. However, for rental properties I take the opposite approach by paying the minimum on 30-year fixed mortgages, especially while rates are so low. I really like the strategy of using a HELOC on my primary residence to pay cash for rentals before the repairs and refinance. If I have a balance on my HELOC but no mortgage on my primary residence, I can justify making additional payments on that balance from my personal account (W-2 job) as well from my real estate cash flow.

Right now it’s hurting my ability to refinance because lenders are not returning my calls. I think they’re either too busy because of low rates or are taking time off work due to the virus. I have a feeling it’s because they’re just overwhelmed with business, but it’s frustrating!

I use Travelers Insurance through Geico and have had a good experience so far.

Thank you everyone for your advice! 

I purchased my first investment property a couple of months ago. It's a duplex in Columbus (43204). Both units are vacant and the rehab is almost complete. I am beginning to advertise for renters and am also starting to think about refinancing with a 30-yr mortgage (I used my HELOC to make a cash purchase on the property). My question is: Does anyone have any recommendations as to what local banks or credit unions I should start with? Do any Columbus area investors here on BP have a specific institution they always go to for mortgages?

I've already spoken with Heartland Bank but was not impressed with their terms. They do a 20 year loan with a 7-year fixed rate, then ARM for investment properties. They could also broker my loan (70% LTV) to Quicken for a 30-yr mortgage but my name must be on the title for 6 months first. My goal is to find an institution that will refinance my property ASAP after I purchase it so I can pay off my HELOC and move on to another deal. Thank you for any advice you can give!

Brian