All Forum Posts by: Danielle Hammond

I just closed on a 203k loan- it was a lot of work and took 100 days to close (I'm sure some banks are faster.. but it isn't a quick process). Go get pre-approved- you can't have any collections or anything that will redflag on your credit report. I have a low score (640)- with high debt(student loans and hospital) but everythingis in good standing. I needed 2 years of steady income from the same job, and I had to show accoubtability for any deposits in my bank account (paystubs). 

Expect to lose half of your profit paying your contractor. 203k requires a certified contractor. Contractors generally charge coat of material for labor. So it it takes $3,000 to remodel the bathroom- he is probably going to charge you $3,000 in labor. BUT your contractor only has to do the work to get the home up to code (HUD) my contractor is replacing outlets, fixing chipped paint, adding hand rails, etc. Whatever they require... that money is coming out of my loan. I am refinishing my own floors- painting rooms, carpetting, replacing windows- that money vomes out of my pocket. I purchased for $42,700 - they gave me $10,000 for contractor repairs -so loan totals about $53,000 and the house appraised for $78,000 after his repairs... (notincluding the repairs I doing myself- additional $5,000 for kitchen).. it is my first time- and took me a long time to get here... but couldn't of done it without 203k. P.s. I paid under $2,000 at closing.

@Joel Florek Hey! I'm in Gwinn/Marquette. Money is the only problem I'm having. I have fixed my credit enough for a loan, now I just need the down payments. Once I get one I will be all set, wont be long now. I start working under a broker as an agent next month as a second job to hopefully bring in the extra money to get started. Banks are such a hassle! I almost got a nice deal on a duplex but was cut short because of my income/debt ratio. Since it is a duplex you can claim the income from the rental unit with an FHA loan which would have got me there! BUT.. the other unit must have a year lease already signed to claim that income, and since it was a foreclosure I couldn't put a tenant into it before buying. :( Broke my heart. I'll get the next deal tho.

Just noticed all the recent comments here!!! Little update... I didnt get the triplex. But thats ok! I am earning my Realtors certificate this mont. I have a job lined up with a broker who is well known in the area and will help me learn and grow.. a mentor type. I have came up with a business plan and it is all in place (even the funds!) Will be ready to present by spring!!! :) I appreciate all the advise and encouragement! 

@Gustavo Perez I will use BRRR in the future for sure!!! @Jesse Land! Welcome to BP! Love findin yoopers on here! @Mike

@Mike Carino I have choseto stick with the rentals! We should connect after I launch!!! @Brandon

@Brandon Krieg you were right about Marquette, thats where I am heading

Thanks again! And I will give out more info once things are in place

thanks you!! I appreciate the feedback. Have found a local to help me with a few ideas!

Danielle

I know when I was looking at Rural Development loans the bank requirements varied. One bank required a 620, while one down the street required a 640; thought maybe FHA loans were the same type of thing.

I totally forgot about the bank statement thing. So say I get a refund check for $5,500 - will I still have to wait for that to sit in my account for 2 months, even though it's obvious where it came from? When I talked to the bank they made it sound like that wouldn't be an issue. 

I need some help here guys! I found an investment property/opportunity to get me started. I've got the business part of everything down, but I struggle with the financial side of things. After reading Brandon Turner's "Book On Investing in Real Estate with No (and low) Money Down" I decided to look into FHA - owner occupied, multi family home loans. I met with a banker (yesterday) and we determined that the asking price was just a little out of my price range (due to student loan debt). Today they dropped the price by $15,000 after only showing for 30 days. I spoke with the listing agent and she told me if I act fast I could offer about $10,000 less, putting it in the $130,000 price range! Which for the market and area is a GREAT deal. The home is in great condition and only needs a nice clean up and paint job, possibly carpet in the rental unit, and 2 refrigerators. The location is perfect, and finding a good renter wont be an issue. The rental unit would cover 100% of the mortgage payment.

Here's where my problem comes in. My credit score is 11 points shy of the requirement, (with my bank) and my income tax / down payment money wont be here until March or April. 

Here are my questions! Do different banks ask for different credit scores for FHA loans? Should I try shopping around to see what other banks offer, or is it the same for all banks? Do I have to have the down payment the day of my offer, or can I hope for slow processing times to get all the money together? How else can I find $5,500.00 a few months in advance? There must be a few options for me to make this happen, before I lose the deal. My plan was to wait until Spring to start my search, so I wouldn't have these problems, but I really don't think I will find a deal like this in Spring.

Any suggestions or advice?!! :) Thanks. -Danielle

Very Awesome! Great design work, came out beautiful. You are an inspiration for this woman right here!!! :) Only I am definitely putting my man to work with the hammer and controlling the contractors! I give you a lot of props!!!

Hey guys! So I'm hoping to start a Property Management company for vacation rentals come spring, with no experience. I've been reading a lot and talking with locals, and came across a few people who know of a few Condos who lack a good property manager. So the more I look around on here I see that people say, "pick a niche and stick to it!" Would I be spreading myself too thin if I was to look into the condos and the vacation rentals, and a few residential rentals, or is it common for PMs to spread out a little bit? I should mention, where I live vacation homes are mostly used in summer months (Lake front), condos are all year, and residential housing is busier in Winter months with a large University nearby. I want to learn as much as possible, while making a little cash flow. Would someone recommend one aspect over another? Or a good place to start? Or other forums/blogs to look at. 

Let me mention that PM is NOT my future goal, this is just a small business I hope to develop while saving money and learning my way around through other people. As soon as I get to know the area and business aspect a little better I will move on to my own investments, in a year or two. (See my profile for more details ;) )

Much appreciated.

I am not a professional by any means, but I am currently working on my real estate license. I found an online training class, only paid $200.00, and it's only 40 hours of study to qualify for the exam. If your husband wont be moving for a few more years I would say go ahead and get it, and get some practice in. Then when you move, you may just have to re-test, since you will know most information. But, like the others said, depends on where you are and where you go. If he's moving in the next couple of months I would put it off. McKissock.com is a good site, or go to your local REALTOR association and talk to them. Good Luck!

thanks for the links and suggestions! Appreciate the feedback... I think I'm getting somewhere!! Will keep you posted!