All Forum Posts by: Daniel Ryu

@Account Closed 

As always, thanks for your insights. I'm so glad I'm one of your students!

Looks like I have some more research to do! 

If anyone else has more insights, I'd love to hear them. Thanks as always to everyone on BP.

@John Van Uytven 

Thanks John! Ben's mom's sister hooked us up with a realtor who hooked us up with a lender. 

We'll still need to work out details if we end up doing a JV. But good question! Hope I get a chance to see you sometime. I wanna hear about how that deal you made is progressing.

@Account Closed 

Thanks for your input. I'm wondering about this statement: "He could execute a 2nd mortgage on the property in favor of the partnership to secure his obligations."

"execute a 2nd mortgage" = getting a 2nd mortgage on the home - basically refinancing, right? 

"in favor of the partnership" = not sure what this means?

Sounds interesting.. could you provide a few more details?

About 5 months ago, I began my journey into Real Estate and I came across Bigger Pockets. It’s help to completely transform my life and goals. Reading the forums, the recommended books, and talking to other BP members has convinced me that Real Estate investing will be a big part of my future.

I've been working with a partner and we're getting closer to doing our first deal, and I was hoping to get some help from BP members.

My REI partner has applied and been preapproved for a loan. Terms:

• 30 year 
• 4.875%
• 20% LTV for a SFR
• 25% LTV for a Multifamily
• $60,000 Loan (could be more but this is what we asked for)
• Closing costs about 6%
• Property taxes must be prepaid (as part of the monthly payment) for the first year

This is a loan he applied for in his name only. The mortgage broker knows that he plans to invest in an out-of-state investment property with partners.

My question:

If we invested together with others using his loan, how would the process work? 

We were thinking:

• My friend would get the loan in his name
• The four of us would split the down payment / repair costs, if any
• We'd put the deed of the house into an LLC that's shared equally among the 4 partners

I know that transferring title runs the risk of the Due on Sales Clause. 

- Is there a way around this by using "estate planning"?

I've been reading through other forum posts but most of what I have read are about more complicated deal structures.

Anyways, if anyone has any input, I'd appreciate it.

A couple of additional notes:

- We'll be investing from abroad (though we're both US citizens, we work abroad). Our partners would include people on the ground where we want to invest.

- It was difficult getting the loan as overseas investors! It probably took over two months. We were able to impress our Loan Officer, however, by using knowledge from BP to put together a good loan binder. @Ben Leyvovich 's CFFU course, @Jesse Gonzalez in CA's guidance on Fannie Mae, and @Bill Gulley 's post on Loan Binders were all great sources of information re: the Loan Binder.

Jesse Gonzalez's info on Fannie Mae:  

http://beta.biggerpockets.com/forums/49/topics/125...

Bill Gulley's Post:

http://www.biggerpockets.com/forums/311/topics/105012-what-to-include-in-binder-for-lender

(If anyone has thoughts on the Loan Terms, too, I'd love to hear them.)

Thanks BP!

@Jesse Gonzalez

Thanks so much! That's a great help. I downloaded the guide and I'm reading through the sections. I'm going to definitely add parts to the loan binder.

I looked at your bio - you're in Sonoma County? Near Wine Country?

I'm from So Cal myself. Never been up that way - just got as far SF. But hope to sometime in the future.

I do miss the CA weather!

Thanks again and good luck in all your dealings.

Hi all,

I'm a US citizen but planning to buy rental properties in the US while living abroad. Since I work for a foreign company, I file Form 2555 (Foreign Income Tax Exclusion) along with my 1040. Basically, if you work abroad and earn under a certain amount and are paying taxes in the country you live, then for all intents and purposes, you don't have any 'taxable' US Income.

When talking to lenders who are not familiar with this form, they sometimes wonder why Line 37 on my 1040 essentially says "0."

Anyways, I'm wondering if anyone out there has put together a loan 'binder' that helps explain form 2555 to potential loan officers and what you included in it?

Or if anyone who works abroad has put together an e-binder to send to loan officers and what that looks like? (I've seen the post that @Bill Gulley wrote and it's been very helpful: http://www.biggerpockets.com/forums/311/topics/105012-what-to-include-in-binder-for-lender

Thanks!

@Jeff Riber

Thanks! That site looks really good. I'll look into them.

Just out of curiosity: Do you currently use them? Are you doing any investing in the Jax area?

@Jeremy L

Thanks for the response!

I'll contact you if I need to do follow up.

Hi..

I'm thinking about investing in SFRs in Jacksonville and I'm looking to start my search for a PM.

I was about to send @Mehran Kamari awesome property management questionnaire

http://www.biggerpockets.com/files/user/MehranK/file/property-manager-questionnaire

enhanced with a few questions from @Chris Clothier

http://www.biggerpockets.com/renewsblog/2014/03/12/questions-for-hiring-property-management/#comment-153462

to property managers in Jacksonville, Florida, specifically in Murray Hills. I'm gathering potential PM contacts from http://www.narpm.org/ (as suggested by @Lisa Phillips)

Quick Question to the BP community:

* Anyone know a Property Manager in that area they can recommend?

* Does emailing each one individually and just waiting to see who responds seem like the best way to go about it?

Alright .. if anyone has insights, especially PMs, I'd love to hear it. Thanks!

@Ned Carey

That's great advice! I guess I'll have to dive deeper into BP forums / county websites. I'll check out your posts as well.

Right now, I'm working on trying to figure out the area to invest in - deciding if a Philly turnkey is the way to go (through Hipster Investments), or to look in other areas.

But I also want to make REI my career as I wait for the passive income to build, so things like tax liens, wholesaling, flipping, are all areas I'm trying to learn more about as well.

Thanks for reaching out. I wish you lots of success and I hope you don't mind the occasional question from me ^^

@Kyle Webb

Welcome! Great intro. I, too, am in the same boat as you are. Working overseas and learning about Real Estate Investing. I'm working with a partner, who also lives abroad. I'm in the process of reading J Scott's book on Flipping. It's been great as has Frank G's book on REI Calculations, which really opened my eyes as to how to value properties as investments.

While I'm thinking about investing while I'm abroad, I'm also thinking about bringing a small nest egg back to the states and rehabbing and flipping as a 'job' while I try to build up my rental passive income. (Although I plan to do very little of the actual repair work.. not my skillset!)

@Kerry Baird

Your story really excites me because those seem to be the biggest obstacles I'm currently facing - how to actually complete a transaction while abroad.

Was the realtor you're working with the same person who helped you buy properties before you left? If not, do you have any tips on how to find a great RE agent in a particular area? Sounds like you hit the jackpot with yours!