All Forum Posts by: Corbin Wafford

Hello!

Does anyone in the Louisville, KY area know of a bank/institution that offers Lines of Credit (secured/unsecured)? I am looking to shop around but need some names to start calling. Places I have tried thus far have not given me any luck. Feel free to PM me!

Also, has anyone in the Louisville, KY area utilized crowd funding (RealtyShares)? I would love to hear your experience if so. Feel free to PM me and we can set up a time to meet for coffee/lunch/drink.

Appreciate any help I can get.

I haven't had a chance to read all the other responses so sorry if any advice/suggestions I provide are redundant.

I was (still am) in similar shoes as you are currently. I studied my butt off, listened to any podcast that was relevant to what I believe my niche was and read any book related to it as well. After 4-5 months of self-induced education and underwriting/analyzing multiple deals, I finally jumped on my first apartment (duplex). How'd I know it was a good deal? Well after underwriting so many deals you are really able to differentiate a good deal from the numerous bad ones. Once you see one that makes any logical sense, you pounce on it (after further review of course; Also, I heavily utilized friends/acquaintances that were also investors to get their take on the said property I was interested in. Always best to have multiple eyes looking at it).

I'd be happy to share more details on this if you like, however, I do not want to self-indulge. 

Anyways, to your questions, I would suggest doing your first one on your own. Why? You are clearly well rehearsed in self-education, so consider this "first deal" as your first exam. If you do well on it, then you know all the months of studying you did were beneficial and worth it. Now if you do poorly, then you take it as a learning lesson and persevere through, sure it will suck to do poorly, but nearly every good investor, business person, etc have failed once or twice. Look at Michael Jordan, considered one of the worlds best basketball players in the world, here is his quote on failure: "I've missed more than 9000 shots in my career. I've lost almost 300 games. 26 times, I've been trusted to take the game-winning shot and missed. I've failed over and over and over again in my life. And that is why I succeed."

As far as your capital goes, I personally would leverage it out between several different properties. That is why I believe real estate is so great, you cant really do that too much anywhere (I think, hah). Buying one nice property will surely cash flow, but then you're just stuck sitting around, waiting for your capital to generate. That is sort of where I am at, however, my intention was to house-hack, so I bought a bit over my means to move into a place that "was move in" ready to eliminate my living expense.

Hope this helped!

Network on BiggerPockets (add investors in your area). Go to your local REIA (Real Estate Investor Association). Go to Biggerpockets.com/events and find one in your area.

Your best bet is to first find people with a mutual interest in investing in RE. Then your next step would be to have a solid business plan thought out before even bringing up a partnership. Have your homework done beforehand could be the difference in finding a business partner and not finding one at all.

Hello BP,

I finally was able to get my first deal done a couple of weeks ago! An awesome duplex (that I intend on house hacking) that actually appraised for $10k more than I purchased it for (15% down conventional loan). Hurray for instant-equity. Purchased it vacant but had a tenant screened, vetted and a lease signed within two days of owning the place!

That being said, this is only the beginning. So in hopes to continue scaling up, I wanted to pose this question and hopefully generate some discussion/dialog. 

For those of you that have house-hacked (or even purchased your first rental property), you hopefully understand what its like from going from a lot of capital ($) to little after the first deal is complete. So, that being said, what did you do after your first deal to continue growing and purchase your next deal? 

I used nearly all my savings + a gift from family to get this first property, so was hoping to hear some successful ways the BP community has gone on to acquire their next deal after the first. I understand a lot of the methodology in doing so, as I have read @Brandon Turner 's book on Investing in RE with Low to No Money down, but I would love to hear your own story.

I appreciate any feedback provided!

I am sure the LTV had to match a certain % in order to refi, correct?

Hello BP,

Other than "scoring a good deal" or having "instant equity" in my pocket, what are the benefits of a property appraising for more than it was listed? 

I am in a scenario similar to the one explained above, so I was curious if there was anything I can do with this "instant equity" other than just knowing I made a smart purchase under market value?

Let me know.

 Not quite sure, hah. Hence my reason for this post. Was hoping I could get some success stories or theories from some successful investors. I personally feel like finding the deal is almost half the battle, especially in the hot market we have today.

So maybe a 30/70 split? 

@Mindy Jensen Hey Mindy,

I appreciate the reply! I knew I could bank on getting some feedback from you.

I really am just trying to do my best to understand how a partnership works best. I understand that it is completely up to the individuals involved in the deal and typically the standard partnership theoretically looks like: Splitting the cost 50/50. I was curious what other alternatives could be applicable when approaching a partnership.

Reasoning behind my question: I am in the process of closing my first (duplex) home now, so I have exhausted my funds for now. Looking to do my next deal, I know where to find it, and have partners that want to do a deal together, I just do not have funds to do so right now. So looking for ways to hop back into the game, just strapped for $$. 

(I have read @Brandon Turner book on investing with little to no money down. Just trying my best to articulate the context and put it into action).

@Mindy Jensen

Do you or any of your colleagues have any input?

(Not sure if this was posted in the incorrect section as there have been no replies)