All Forum Posts by: Dustin Lauer

 Did you end up finding a contractor you liked working with for this deal.  Mind sharing who?  Thanks Rahim.

I sent you a PM @Melissa Nash. - I know this is a 2 year old reply, but I am looking for a contractor in Huntsville for a property we might be rehabbing there.

@Todd Knudson

40% cash on cash or it’s a pass for our group. We’d rather take low double digits passive with lower risk over 25-35% active with the risk of principal loss. We only had 1 deal miss the target return in 6 years and have not yet leveraged any. If you are financing this is a good benchmark in my opinion as a lender for my whole career.

@Todd Knudson

High yield savings?

@Mateo Monsalve

Our company opened a subsidiary in Puerto Rico to finance investment properties back in 2019 approximately. Now yields are high enough in the US for us so after our last loans payoff there we are planning to dissolve. If rates drop in the US we may revisit lending in PR again. My suggestion is to partner with / hire the best local tax and legal professionals you can if you are going to invest abroad.

@Robert Whitelaw

QuickBooks has a loan module if you are just going to do a few. We use FCI and Mortgage Automator at our company.

@Joseph Sheahan

I can speak to the refinance portion: As long as a guarantor with good credit has at least 25% ownership refinancing should be an issue. Short term rentals usually price best 65-70% loan to value but if the cash flow is very strong to support a higher rate up to 80% is still possible these days (not common though).

Best of luck.

Its likely worth shopping depending on who your first lender was.  There are several direct blanket lenders.  We've actually done a few this size as all single asset loans for clients who wanted a full 30 year term.  These days with rates being higher though, it might be better just continuing with blanket financing with 5-10 year balloons and interest only / 30 year amortization.  

I would say first to wait our your pre-payment penalties if applicable.  One of the best advantages of refinancing is taking cash out, so waiting longer will hopefully help you equity position.  Good responses on this thread.  Probably not "worth the squeeze" to refinance this early into the 2 deals.

@Bressia Borja

Likely the seller has a reason. I would just ask them through their agent. Perhaps it’s a scenario where the Sellers are getting some tax benefits to provide affordable new housing for homeowners so they have to restrict the deeds to homeowners for some time.