All Forum Posts by: Chandler Smith

Forgot to mention this property is newly renovated.

Im looking at a condo in winter haven fl

It's a 2bd/2ba 1056sq. ft. priced at $69500

Maintenance Includes: Building Exterior, Escrow Reserves Fund, Ground Maintenance, Insurance Building, Maintenance/Repairs, Manager, Pest Control, Roof, Trash Removal, Water/Sewer

Monthly Condo Fee Amount: $175

Monthly HOA Amount: $1

Other Fees : No

Utility Information
• Cable Available, City Water, Electric, Public Sewer, Sprinkler Recycled

2016 taxes = 685

Rent comps in area range from 900-1200

Property has been on the market since Jun 22,2017

Lowest I can offer is $63,000 due to loan minimums of $50,000

@Cole A. I appreciate it.

That makes sense. Well there's a seasoning period on an fha loan before you can rent out.

I read an article awhile back about refinancing an FHA loan to a conventional loan. If I remember correctly in order to refinance you must have 20% equity in the house. So my question is: If I bought a house on an FHA loan/203k and did a rehab, then got a new house appraisal showing a 20% or more increase could I then refinance to a conventional loan? If I did get it refinanced to a conventional loan would I be eligible to rent or sell the house? Does this violate any FHA regulations? Sorry newbie here

@Austin Fruechting I love your comedic reply. I will have to listen to your podcast now. 

@Robert Lorenz @Jeff Onofrio

Are you both saying it would be wise of me to do the 203k loan for my first deal if the numbers are right?

What if I have the money for the "lipstick renovations" would you still recommend a 203k loan or could I do that with an FHA loan?

Also Jeff do you agree with Robert on the whole renovation to refi and sell? Or is that considered fraud. 

Side note: I plan on occupying the property while renovations are taking place. Or up to the requirements.

Thank you for all of your advice everyone. I promise you're not wasting your time writing these replies to me. I am soaking it all in and in the near future you will see another post from me telling all of you about closing my first deal.

I'm working more and more towards that first property. Today I sold my truck and added another 16k to my RE fund.

@Robert Lorenz So if I find a property that's not that distressed but still needs work FHA won't finance me?

Also you said you can sell a home with FHA without moving into it. You're still not allowed to rent the house out though within that first year correct?

Thanks Robert your post was very informative.

@Redgy Saint-Germain Thanks Redgy I will look into a lawyer. I've asked my agent to send me some listings today and so far I think she's came through for me. I used the calculator to see if some of these were good deals. So far 2 deals that I calculated and looked at rental comps are showing some promising numbers. I even over compensated for some of the expenses.

Going to run it by my mentor and probably put in an offer.