All Forum Posts by: David S.

I'm looking at a property that is in the redemption period for foreclosure. They need to close on or before the 22nd. I have a lender I usually use, but they can't close that fast. 

This would be for a personal residence - we'd be moving into the place. 

so I'm looking for a lender that can either do a bridge loan until my normal lender can close, or a lender that can do both a bridge and conventional at a good rate.

I have a duplex in St. Paul that is owned by my LLC with a mortgage and a second tied to it both at 5.5%. They're coming due in September, and I am trying to figure out the best options. My current lender quoted me 8.25% with a 5 year term and 30 year amortization.

The payment increase isn't too bad with the refi, but I hate paying $5k+ in closing costs every 5 years. 

I'm thinking I should look at just putting it in my name and doing a conventional 30 year in my own name. I'm not hitting the 10 properties limit any time soon, so I don't see a good reason not to. Am I missing anything?

@Eddie Sorrell Thanks for the input. I am going to pass on the deal - just doesn't make sense to me. I can get 75% financing for purchase and rehab at only 1 point, but the numbers still don't work. $175k purchase, $15k rehab, plus closing costs puts me at $195k. If the ARV is $240k, I have $15k into it, and my cash on cash after all expenses would be more than 20%.

If the ARV is only $200k, I have to put $45k into it and that drops the cash on cash under 10%. I can probably find a better deal.

The next door comp threw me off. Thought it was perfect until I learned it was an SFR. Very few multis in the area, but they look to be going in the $85-90k a unit range which means the ARV won't be close to $240k - unless you do super high end finishes, but the market doesn't support that.

Plan would be brrr it as a rental. $2300 a month for rent after rehab. But if the ARV comes in at $200k, that's a minimum $50k out of pocket with 75% financing. Kills the cash on cash

I'm looking at an off market duplex in Lexington, MN. Thought I had ARV nailed - place next door sold recently for $237k. I just found out that it was turned from a duplex into an SFR for owner occupancy. Two other duplexes sold nearby for $140 and $160, but I'm pretty sure those were REOs. Owner won't budge from $175k, and the place needs $15k in repairs. With that ARV of $240, could do a BRRR pretty easily. If not, probably should pass on it.

Another investor I know only does m2m on his large portfolio of class A properties. He said with a year lease, there's a deadline to make a decision - stay or go? For m2m, they just keep paying, and something has to happen to cause tenants to leave. 

I need a better way to project income and expenses. I have a great spreadsheet to track expenses and rent coming in. I'm looking for something similar to project future numbers. For example, if I have $5k in a bank account today. How much will be in that account in 15, 30, 45, or 90 days, based on $x per month in water, electric, etc. as well as $100 a month for capex. And be able to say, oh, after 180 days I'll have $600 in Capex, but it's in the general account total.

That way I can better plan. For example - I need a new fridge in the unit, turnover happens in 3 months. What will be in the capex account? 

Does anyone have a spreadsheet they can share? I tried google, but did not find what I was looking for. 

@Daniel Rutledge My comment wasn't aimed at you, but at the four posters just on this page that all have a single post to their name, with glowing reviews of the company. That is shady. And in no way did I disparage people trying to grow their business. I am saying F&G seems to be causing fake reviews to be posted. 

@Maurice Colbert Hating on what process? I'm saying posting reviews either via sockpuppets or by telling their customer to post here looks shady. So you had a good experience. So did some people with Trump University. 

Seems like lots of astroturfing going on in this thread. This implies either F&G is telling their customers(who might have zero real estate experience) to post here, or they're making sockpuppet profiles. Both make me think they are shady. 

@Chris Mason No, you're right. Quote I got on Friday was for 30 YF that they'd send to Fannie or Freddie. Guy must have misquoted it. Dang. So I need to figure out if the $27k I lose out on is worth changing calculations. 

Another idea I had - LOC short term from commercial broker to do the new deals, then conventional cash out and pay off the LOC. And if I read your links correctly, I could do the 'limited cash out' re-fi with Fannie, and get to 75%.