All Forum Posts by: Danny P.

Hey ya’ll, we just closed on our second flip today and I have a question about the construction. The house is a 1990 Habitat for Humanity build and when I poked my head up in the attic, I was surprised to see that the whole structure above the ceiling is steel construction. It looks really solid and the roof sheathing and everything else looks very clean and dry. It has a typical plywood sheathing and architectural shingle roof. Ceiling joists looked to be maybe 2x6 square tubing and then steel cross members going up to the roof rafters that looked like they were just unistrut. Just wondering if anyone else has run into this type of construction before, Habitat house or not. 

Hey y'all, I'm starting out on my first investment property, a fix and flip. I've done some of the demo myself and after deciding not to go with a GC because of the added cost, I've gathered together a good license electrician and plumber that I'm happy with and I'm close to being ready to get to work. When I went to look into obtaining a building permit, I found out that I can't pull the permit myself if the property is owned by my LLC and if I'm not going to live there. Now I don't know what to do. I've already signed a contract with my electrician and I don't want to just go back to the idea of hiring a GC to do the whole thing. I was planning to manage the job myself and hire the subs on my own. Any help is greatly, greatly appreciated. Thanks!

These answers are great and very much appreciated. What makes me nervous about going with the LLC for my first deal is that I understand this will require me to use a DSCR loan for the refi and then I need to be sure that my rental income will cover the DSCR rate that the bank requires (I understand this will be like 1.2-1.4?) If it wasn't for this requirement, I would be willing to have a lower cash flow at the start and just count on the long term benefits of the investment. Hopefully this makes sense…like I said, I'm new, but I'm studying hard and asking all the questions I can think of now instead of when I'm in the middle of it lol

I'm a new investor trying to get all my ducks in a row in order to purchase my first property. I'm aiming for a BRRRR strategy, so I'll be starting with a hard money loan and then doing a cash out refinance with a local community bank. The first hard money lender I talked to told me that they only lend to LLCs and not just me as a person. Is this typical? If so, does that mean I'll have no choice but to use a DSCR loan for my refinance? Is this my best course of action or is there a method that I may not be aware of? Thanks in advance friends!