All Forum Posts by: Colten Thiel

I would so absolutely appreciate this! I listen during work and sometimes episodes just roll through, so it’s tough to remember titles and when they were mentioned! 

“If you currently own real estate, you can use borrowed funds secured by that other real estate for down payment / cash to close / etc, but the payment will still be included in your DTI. So if it's a HML @ 9% or 12% or whatever, that can solve a capital problem, but not a DTI problem.” Definitely! Im in the process of remodeling my first duplex in a BRRR style fashion and will plan to refi when I’ve had tenants for 2-3 months, use the cash out for a second property. This thread was for me to learn. I still am considering trying to find a partner or a private (family/friends) that will write a note and defer payments until the 2nd property gets rented, if that is.. the cash out doesn’t cover it all. It’s all new and exciting to me!

 This is something I'm considering, the property is in my town and could be a big win if I can land it! Currently I have a duplex in the reno phase that once it rents I'm hoping to cashout refi and use the money for a downpayment. IF that works as hoped, a 5% downpayment  is definitely feasible! Thank you for the input Andrew.

@Jon Holdman @Dave Rav I see I see. Well I do appreciate the feedback! I don't mind having skin in the game, but a property I'm evaluating is a 4plex that is just out of reach for my current income to get a conventional loan. Looks like I'll be moving toward finding partners. Thanks!

Originally posted by @Wayne Brooks:

No. Both would require a 1st mtg.

 So in this instance, if you didn't use hard money but instead got a note from a family member with terms to pay back after refinancing/selling, or make payments after the property became rented.. where does that fall? Just curious and trying to find creative ways to acquire more expensive properties.

Hi everyone! First post to BP forums after learning from the sidelines the last few months. Ok right to it. I haven’t seen or heard really of anyone mixing two types of financing on one deal. Is this common/ethical/practical? Example, I want to buy a $300k house but cannot get approved for conventional financing at that amount. Instead, I decide to borrow $150k from a HML and finance the other half with a bank. Do people do this? I understand the terms with the HML have a big impact, also having the money in your account for 2 months for the banks before applying could be important. Financial wizards of BP please help me on this! -Colten