All Forum Posts by: Daniel Chang

@Gloria Mirza Thanks for giving more clarity and knowing that is somehow true. I think @Mark Vejnar did a great job in the last paragraph about that misconception of an appraiser protecting the bank's interest (I think that is the part that threw me off the most). Thanks for your responses!!

Taxes.. interesting, will let him know to check on that!

Oh no! I realized I will be in Dallas on the 19th, arriving to Portland at 9:30PM!!

Hi guys,

So I have a quick question. Something that is happening to a friend of mine lol.

He bought a house last year as primary home and right now he is refinancing as an investment property. His house just got appraised at 242k. Talking with a new neighbor, who just got a similar home 1 block away a few weeks ago, his appraisal came at 260k.

They went and talk with the bank with both appraisals and the bank told them that the appraisers usually give a low ball when a refinance happens to protect the bank's interest, but when is a new purchase they look at the value market.  

Is that usually true? legal? I thought an appraiser should always be unbiased and give a fair representation of what the market value of a home is.

Thanks a lot! 

Update: Portland, OR :)

@Curt Davis @Charlie Fitzgerald thanks!!

@Russell Brazil I haven't heard about RSCRp before. Well I am just starting! This community is so great! Thanks!

@Account Closed thanks for you input and reading my other post :)

You are right! Sometimes I just spin my wheels trying to over think on deals. I think is time to take action when it makes sense. Thanks!

Hi everyone!

My dilemma is, buy an old house (BRRRR) or buy a brand new home and rent it.

I know, it will broadly depends on my goals. So, here are some cons and pros I can think of:

PROS:

- Old house can be cheaper, specially if the owner is distressed and we are able to get a good deal.

- We can fix it and refinance it (getting back the initial investment)

- New home will need very very very low maintenance (specially Cap Ex.)

- The new home can be rented a bit higher than the old house

CONS:

- Additional time I need to spend in the old house to repair. In this case, for me, fill be very hard (my job demands me 60+ hours/week and I will have only weekends to work on it), unless I have a partner to work on the deal, will be too hard for me.

- Old house will have constant maintenance issues and Cap Ex will need to be a special consideration.

- New home we cannot refinance and get our investment back. Maybe after a year if appreciation goes up like crazy (but I prefer not to count on that).

- New home will be more expensive vs. the higher rent. At 20% down, the ROI will be close to 8-10%, which for the old house will be higher (infinite if we got our investment back).

- In Portland, OR, where I am from, I realized many new homes come with HOA ($100+ in many cases)

Comments? Ideas? Anything I may have missed?

I would like to see other people ideas and approaches. As I mentioned early, it may have to do with each person's goals. For myself, my goal is to buy and hold for very long term.

Thanks a lot!

Daniel

Hi everyone,

I have been researching about this topic, but I am looking for more details (i am a numbers person). Having the following scenario: 

- My wife has an 'owner occupy' loan for a townhouse we just bought (we are planning to move and live there)

- I had an 'owner occupy' loan for the current home we are living now (we have been over a year in this home)

- I would like to buy a third home, but I realized our debt-to-ratio will be too high for both my wife and I because of the two mortgages.

- I heard next year, after I rent one of the houses and report the rental income in my schedule E, will be good enough to pursue an investment loan.

Question:

- Can I go ahead and try to pursue an investment loan this year (without having the rental income, yet)? 

- I have the 20% needed

Thanks a lot!

Daniel

@Evan Bellingar my primary right now is in Wilsonville. I just got a TW in Happy Valley and I'm also looking in other cities around Oregon. I also have a very demanding job so I usually look for newer buildings (less maintenance and time repairing/fixing them) although I would like to get some learning experience through some fixer uppers (BRRRR).

@Steve Smith Thanks! I have been listening to several podcasts now and reading a few forums and discussions. Great content!