All Forum Posts by: Daniel Harnsberger

@Sasha Mohammed- message sent. Let's do this! 

If anyone else thinks they have the product, solution, please comment or message me.

@Wei Huang, how's it going with this (possible) transaction now?

Although I can think a great realtor to list it for you (me!), I highly recommend the previously referenced strategy, use your equity and purchase some investment properties using the BRRRR method!

Hello BP Community. I pride myself in being self-sufficient, creative and resourceful when it comes to figuring out "how" when trying to overcome a challenge. Right now though, I'm running into a bit of a wall. In 2016, I put together a deal for two smaller 2-bedroom properties in the east end of Richmond, VA (technically, east Henrico). The transaction was a lease purchase where I am paying the seller slightly more than he is paying the bank at a slightly higher (0.25%) interest rate. The agreement is a two-year term with an option for a third (at a $750 extension fee).

Now I am trying to cash out the seller and get my own title and I've been actively talking to lenders/brokers and it seems like every product has some aspect where they can't lend to me. Keep in mind I have also have two other rentals- both with great equity as well- that I'm willing to lump into the loan or refinance individually. I've hit the following snags when trying to get the deal done:

1.) The lender with a lease-based, no doc product won't lend to me because the properties will only appraise at $80,000 and their product requires a minimum of $88,000

2.) Another lender won't loan to me because their product requires the properties be 750 sq. ft. or more. One is 696 and the other is 624 (my other two are much larger).

3.) Most lenders simply look at my tax returns and because I'm a 10-99 and have changed my income source in the last year + write off a lot, they won't lend to me because my schedule C shows a loss or close to a net zero.

Does anyone know another route I can take to refinance these two- or maybe all four- properties? Please keep in mind I make decent money and have a good credit score. Thank you in advance for any referrals, advice...

@Andria Kobylinski, you can find more on them at meetup.com.

I have clients and associates who have. Never heard any complaints.

@Andria Kobylinski, I really recommend RING. They do a great job at their meetings of getting into the meat and potatoes of investing. Lots of good people to learn from.

I have a client who is looking to buy a property zoned as a hotel with approved usage as an extended stay. Are there leases specific to an extended stay? I have not had luck finding one online. Or can a standard rental lease be used with a change in the time frame section?  Please advise.

I am a licensed agent and property manager in the Richmond, Virginia market. We choose to manage our clients' entire portfolio (as long as it's in our service area), regardless of any of their properties being in less-desirable areas.  

Consequently, we have a harder time finding renters in those areas as we apply our same pre-qualifications standards to those units (Income 3x or more the rent; no previous evictions; avg. credit score of 600 or better). We have found people who meet those standards do not want to live in these areas. 

My question is should we adjust the qualifications for units that are in those areas? We still want to find a paying tenant for the sake of our client, but are trying to think creatively of ways we can decrease the time the property sits vacant. Please note that we already market these properties prior to a move-out taking place as one way to accomplish this.  

Any suggestions are appreciated.

Hi @Jairus King, if that's what you're looking for, then keep pursuing subject-to deals. When contacting wholesalers, I would try a different approach. Tell them that if they get leads where they find there is "not enough meat on the bones" for a wholesale deal, that you like them to forward you the lead so you can analyze and that you will pay them for any referred lead that turns into a deal.

I have seen some wholesalers in RVA who offer subject-to "deals". But the first question I ask myself is why would they sell it for just a $2,000 - $5,000 fee if it's that great of a deal to begin with.  That's why I would recommend the aforementioned approach OR you can start marketing for your own deals of that kind.