All Forum Posts by: David Bermudez

@Joshua Villafranco

Would you mind sharing rough numbers?

@Joshua Villafranco

He started at 12% because he expects to negotiate. Go to 6 and settle under 10 and your likely golden.

Honestly, if the numbers work out I’d just keep the interest until fixed and cash out refi and reinvest, that’s what I’d do as a first timer.

@Joshua Villafranco

I’m considering a similar deal now, although admittedly interest isn’t as high.

Run your numbers first, be conservative at it.

If there isn’t a penalty for prepayment and it will cash flow acceptably at your rate definitely go for it and refinance when ready.

Main thing that would keep me from doing it would be very high down payment.

@Mary Mitchell

What a fantastic explanation, I was in between terms here and you illustrated it for me very clearly.

Thanks for your reply.

@Bryan Stovall

I am in the Polk County area daily. I’m not a contractor but have some experience in the field. If you are after pictures and a layout and need pointed in the right direction I can help. Shoot me a PM if I can help.

P.S. I cover most of the metro areas in Central Florida for my 9 to 5.

@Corey Block

How did you determine the current value prior to purchase?

There is a park local to me with 5 spots, 4 park owned and one empty lot. Only 2 are currently rented. They are asking north of 150k for it in Central Florida. Thinking it may be a bit high.

@Tristan Cottarel

I am new to investing and also considering raising money from friends and family possibly. I was under the impression that I would create a LLC. At that point, I'd go to a real state attorney and draft a contract with the specifics as far as investment amount and terms. Once I had the contract, I'd "close" at the title company making investors lien holders for respective amounts and money from investors would be wired in and disbursed after closing to a shared bank account for the LLC that would have money drawn through the attorney's office.

To summarize my current thought process on this:

1. Form LLC and bank acct.

2. Have lawyer draw contract

3. Title company holds funds until close

4. Moneys get disbursed and left over to bank account.

5. Draw money from bank through lawyer.

6. At sale or refi, investors get their portion of the investment.

7. Repeat 1000 times!

Maybe I’m way off now that I read this thread. I didn’t see where any one person specifically said how it’s normally done. I will keep researching this as well.

@Jasmine Hu

I have no experience investing in the area, however, I am familiar with the area. It’s definitely a C area that’s business heavy. Definitely lower than normal Orlando rent rates, but it is also densely populated so tenant pool should be above average. Hope this helps, next time I’m in the area I can take a video for you so you get an idea if you’d like.

@Christopher Headd

Welcome, I’m also new to investing in the area. Have lived in Tampa Bay Area a long time and travel to Orlando on a weekly basis.

I contacted a person claiming to be a private lender off a local real estate Facebook page and asked for references after I asked some questions and he replied back with a standard “canned” email response.

I asked for current references from investors.

This was the reply:

“I am sorry to say that it is against my company's modus operandi to disclose my clients' information. Most of my clients have complained that they receive calls from unfamiliar people thereby putting them to unwanted risk. I wish I could do that to prove how committed I am to do business with you. Kindly bear with me.

Thanks for your understanding,”

I’m thinking no bueno