All Forum Posts by: Account Closed

@Camile Case I do not have bad credit nor am I need of a lender, but thank you

OK, as I prepare my credit, DTI, and savings for a multifamily purchase, I would like advice on my current car loan situation. This would obviously significantly lower my DTI ratio, however would temporarily lower my credit score as I used cash/credit to cover negative equity. However, it would also "free" up nearly $800 per month to pay down cards and replenish spent cash. I've overthought this so much that perhaps common sense has left me so ANY financial advice from those with more experience is greatly appreciated.

Here are the details:

Balance = $23k @ 5.9%, 2.5 years remaining
Payment w/ Insurance = $765
Negative Equity = $7k (increased from 3k to 7k after new year)

Paying the negative equity would max out 2 cards; 1 is 0% APR and the other is 15%. Not having this mode of transportation is not an issue. Again, thank you for any advice.

@Moses Brach I’m not sure the laws in your state, but in Florida this is felony fraud.. by a criminal or ignorant “wholesaler.” Id go by your police department and file a report. It will take months to possibly get resolution, but restitution a year from now is better than nothing.

It took me a few days to get back online, but thank you all so much for your invaluable input. As a newbie, I have been failing to think long-term and only analyzing immediate "return." I've also been over generalizing certain numbers like CapEx, closing costs and cash needed etc. Thank you all again!

@Account Closed You’re right about that! I’ve noticed these places are private owners and the same for many years. Also the buildings appear unkempt and no real lawn care or maintenance to speak of... that’s a great point when I analyze my own numbers

@Chase Louderback Hi Chase, thanks for the reply. I'm using pen and paper to run numbers. I've used some apps and REI calculators but I really like seeing it on paper until I'm more experienced.

Thanks @Michael T.! I'll keep practicing and networking. 

@Brian Burke It's actually comforting to know there's an art to this and is gained with experience. Otherwise, it's easy to get discouraged and never take the risk. I really appreciate your input!

@Brian Burke Thank you so much for your reply, you are absolutely right.. my numbers must be incorrect. My opportunity for improvement, I believe, lies in CapEx. I have yet to grasp how to calculate impending high ticket expenses and how it relates to current asking price when 1 item may be needed in a year and others in 3, 5 years etc.

Would 10% CapEx in reserves as well as 10% deducted each year be a good rule?

@Kurt Jones Thanks Kurt! I'm right down the street from you, in Casselberry. My budget and return desire seems to fit in line with Class C properties, at best.. I could see where inflated numbers, missing history etc. would be a common play for sellers.

I've been practicing analyzing deals found on Loopnet, and curious why certain properties are listed for months and some close to a year. Especially when the numbers APPEAR to work? The areas of interest are very populated and active, like Orlando and Jacksonville, Florida.

My question is for the multifamily investors that have gone after these deals, and soon discovered why they are too good to be true.. what are some reasons you found? I understand this can be a very broad answer especially ones like major structural damage or total rehabs, but some of these listings with numbers and photos etc. just appear to work. Thanks!