All Forum Posts by: Curt Riffel

If you are using a VA loan in Texas make sure your lender knows how to do a Mortgage Credit Certificate. I had 2 lenders that were recommended to me not know what that was or how to fill out the paperwork to receive one. I then searched specifically for a lender that knew how to obtain one. I get 35% of the interest I pay each year as a credit on my federal taxes. It comes out to around $2k in savings each year for the years that you owner occupy.

HOA costs a bit high, I would expect the rent to be closer to $900 as well in that area. The major contention for me would be taking money out of a 401K for this purchase. Taxes and penalties (dependent upon age) would be triggered.

Make sure they look into getting a Mortgage Credit Certificate if they use a VA loan. I had a few lenders not know what it was or how to apply for it. It has saved me at least $1,200 a year in federal taxes for the last 5 years. I know a lender that I can refer if you want that did mine 5 years ago.

@Tony Karns make sure you get a VA lender that is familiar with Mortgage Credit Certificates. This has saved me thousands in taxes over the last 5 years for my VA loan. Not sure if you would qualify, but I imagine that you would.

Not an experienced investor, but I live close by this area.

I would speak positively of the area and believe this area is slightly improving. The nearby college is Richland community college. A mile south is a little dodgier and a mile north is suburbia. I would think rent for a 2 bedroom condo would be close to $900 depending on size, parking, and pet policy. Definitely check the CCRs to see if you are allowed to rent the unit or not.

The order I think with #1 being most likely

1. Denver

2. Chicago

3. Austin

4. Plano/Frisco

5. Philadelphia

My thoughts, no valuable conclusions or anything, just rambling mostly.

If you recently had a mortgage, then your house became ruined from flooding, and then you end up walking away. What do you think the odds are that they would qualify to purchase another house using a loan? Not very good. I anticipate that the bank would be paid off in the case of a default from any FHA loans. Even if those folks had 50K of equity, it is now effectively wiped out. There will be great demand for housing and unless you were renting, it is likely you will take a hit. It is also likely if people do not qualify for a loan they will be added to the renting pool. However, many of them will be able to afford higher rents.

The housing stock used as rentals and that did not have flood insurance would be where you can pick up a deal. This may be after foreclosure, or now, if the current owner cannot afford repairs. These houses would be unlikely to have any govt protection for the lender.

My understanding is they have the financial backing of Berkshire Hathaway, so basically billions. 

They operate in 3 markets, Phoenix, Dallas, and ??

The offer I received on my house from Opendoor was over the Zestimate if that means anything. I was just curious, not looking to sell right now, but thought the offer was fair or high. My wife and I have enjoyed looking at the open houses they have throughout the Dallas area. They are open from 6am - 9pm with an access code sent to your phone. Really easy process to view homes with no expectation from a realtor.

The fees to sell to them are around 9-11% if I recall correctly. They are very upfront about the fees and can close on a certain date if that is helpful to you. I think it is a game changer in the real estate industry. 

I am personally looking forward to all selling fees dropping because of technological advances and flat MLS listing fees. The days of 6% commissions are numbered.

Luke you are in Chicago now?

If everyone tries to sell at the same time, then yes, classic bubble. In the long run (millions of years) isn't everything a bubble?

However, job market still strong, people are still moving to the area, and home prices are holding steady.