All Forum Posts by: Darren Nardo

@Jacob Sampson nice

@Jacob Sampson ???

@Jacob Sampson so do I walk away from This house? Are there any suggestions you may Have I should take into consideration to make this property possibly work?

@Jacob Sampson. What makes you say it won’t? Sorry. If my mortgage is 1400 a month and it rents for 17-1800. Is that not cash flowing until the property becomes profitable?

Hello! This may sound confusing, I’ll word it as best as I can. I would like advice, also the advice on if this is a good decision or not.

My grandparents are selling their last rental property. It is the house I grew up in, it has been empty for a while. They have been slowly fixing it up to get it to the point that they can sell their last asset for a nice piece of change. They are both retired so this is really it. My grandfather is tired of putting money in and they are getting very close to selling it.

The house is in an absolute great area to own a home. A great school district etc. I would like to buy it because I know no matter what I will always be able to find a tenant if the current tenant doesn’t want to stay forever. My problem

Is, is that I do not want to get it for cheap as my grandparents could use the money. But, at the same time I want to know if it would be a good idea to buy for a rental. For a while I've always wanted to buy beaters, fix up, rent. (BRRRR). So basically I'm wondering if this would be a good idea as it is already in good shape if it would be worth it.

Also, I’ve been working hard to save money in my account so that I can have enough to cover 15-20% costs if I were to do flips with a lender. So this question is, if I use the money in my account as a down payment for this great rental, what should I do to be able to move forward and invest in real estate without having to wait a while?

1. Is this a good idea to buy a rental property at a high cost, knowing it would always rent?

2. If I spend the money in my account to obtain this rental property, what would my next steps be to take so that I can get into more deals at a more rapid speed?

The house is $230k. I would already have a tenant who will pay $1700-1800.

With about $15-20k of work I know the house could get up to $285-305k.

My parents own our residential property on the same street and it just appraised for $310k.

So I guess there is some room to build equity.

THANK YOU ALL!

@Cory Iannacone that is awesome - I’m in PA as well. Where are the cash out refinances coming from? I thought hard money loans aren’t considered cash offers. Also, are you doing all the work? Do you have multiple different crews doing all at once?

@Sean Blomquist

So if they cover 90% of purchase price do you cover the other 10%?

If it is not a cash offer are you still able to do a cash-out refinance strategy?

I am looking for answers on hard money. Not so much answers but just clearer steps.

I want to better understand the exact path taken while using hard money. Whether it’s hard money for flips or hard money to accumulate rentals.

Should you get the hard money lender in line so you are ready when you find a property?

Should you have a property under contract before finding hard money?

If it’s being bought in cash do you need pre approval to even get your offer accepted?

If so, what are the steps in the right direction for a successful hard money deal?

Thank you all!

@Greg Dickerson does this all stand even if the house is bought in full and doesn’t have a mortgage?

awesome thank you. I was in a conversation earlier and we were unsure. So using private money, knowing that they will be purchasing the house (full) with their cash, what would you have to qualify for having the house under your name? Do you still have to be up to par although the house is being bought with OPM?

I am still lost on a few little things when it comes to the BRRRR strategy while using other people's money.

For example:

you’re using private money (85% of deal) and your money (15%) .

If they cover the purchase price and part rehab and you plan to refinance out.. after the investor gets paid back and you want the house in your name to rent out; what steps are taken at that part in order to get the property in your name? When you refinance the property do you have to qualify for anything to get it switched over since they covered the purchase price?

I confuse myself