All Forum Posts by: Chris Bluem

@Julee Felsman thanks for the response. I am not sure I could cover both properties at the new value, regarding my Debt to Income. Would they apply 75% of market rates if not rented? If that were the case, then I would be ok.

I could also keep living in one as my personal residence and rent just one. I am not sure if that would help anything but a thought.

Thanks!

Hi,

I am currently under a lease option contract and would like to execute the option here shortly. During my time I have fixed up the property and believe that it may appraise for more than I would be paying.

My first thought was to purchase with private money, and then cashout refi (or just refi if it does not appraise well over) as soon as I am able to, assuming 6 months.

But I want to better understand if there is a way to skip the the private money step and go right into a traditional product, and get cash out or just leave in as equity? This would be an investment property, but could be my personal residence if needed. This would be much easier and cost effective I just dont know if it is possible.

THanks!

I have a mortgage question on my personal residence. It is currently a duplex that I am almost done renovating both units. I have been living at the property for 6 months. My plan is to split the deed into 2 separate townhomes.

I would like to cash out refi both units as investments with 20% equity (or less if possible). Do I need the units to be rented before I can refinance? Or can I refinance and then rent / AirBNB them? Thanks

@Neil Henderson

Thanks for the input!

I don’t plan on short term renting this one as it’ll be my primary residence but looking to try and get going on getting other units while I have momentum.

Thanks again all for the input! Will post about the house and my strategy once it is fine tuned shortly. Thanks!

There is a house in my neighborhood where the lady was old and recently passed. The house as been sitting and I’m interested I purchasing it.

On records it shows her as the owner and her mailing address as the address. I found a local land line number but nothing there.

I was curious how I might be able to get a hold of someone or the estate of the property?

Thanks!

@Andrew Postell

So I mean if ARV hits 700 then I'll probably be able to get my total investment back out with the refi.

The problem is, if they look only at MF home I don’t think I’ll hit 700. If the comps are SF then I think I can get there pretty easy. So my question is, does the appraiser look at all homes or just MF? If only MF then I could probably split the deed into two townhomes hopefully.

The other question is not related to this house but to the burr method in general. Part of the brrrr is rent, but I am curious if you could Air BNB and get the same result or do you need lease in place?

Thanks!

@Andrew Postell

Thank you. Would those sales comps be only MF homes or all homes? I'm guessing MF, which is why I'm wondering if splitting the deed to two SFR would increase the comps drastically.

Also, on a non-primary residence, would airbnb revenue work to refinance or do you need lease in place?

For your questions: PP 500, investing 60, hopeful ARV 700. Appraised at 560 as is, and neighborhood supports crazy ARVs that's why I'm looking to unlock comps by converting to SFR or understand if there is a better way.

Thanks!

Just purchased my first duplex fha house hack - super proud! Post and plans coming soon!

But I had some refinance questions, as I look to value add and drop my Mtg insurance.

How long do I have to wait before refi the FHA loan?

Is the appraised value based on cap rate or property value?

The property is more like a townhouse and it’s a very VERY nice neighborhood. Could it be beneficial to split the deed into two properties to try and get a higher appraised value?

Lastly, with any BRRRR, can I AirBNB the property to show as my rental income or does it actually have to be leased to get a refinance?

Thanks!

@Theresa Harris thank you! I think they have 60 days but I was thinking to offer $500 if they get out in 30.

@Kenny Dahill thanks for the input. Regarding the Reno, I really want to take a try and ABNB the property as it’s a great fit and something I want exposure to.