All Forum Posts by: Eric Espindola

Good Morning Bigger Pockets

I'm screening and researching a deal that I want to take advantage on. There's a house up for sale but the owner currently has an outstanding mortgage loan. Although it has some equity but, it's very low. I want to ask if any of you have done deals on these types of situations. What would be your recommendation to take over the mortgage payments? What is the process to conclude and close a deal like this? Will the bank need to look over my financials to see if i can do it or can i have the owner finance it until i flip the house? Thanks for taking the time to look over my questions. 

@Jose C Franco I'm focusing on working around the Middlesex area which is where I know some towns that have good potential. How did you acquire your first rentals did you have investors, little to no money down, or was it all you? I'm targeting single family residences to rent out. 

@David Semer  Thanks, David I think I might attend one of these events to network soon. 

@Lori Guliano  sounds like a great idea!

@Eric Dea  thanks, maybe I'll see you there.

@Dan Vleck  That sounds like another alternative, although it would be beneficial to have a mentor at the end it all depends on myself to go forth and take action. 

Good Evening Bigger Pockets,

I'm really anxious to get started on my journey. I've researched potential properties and about to make offers as soon as I can.  I've done a lot of reading to prepare myself to be an effective person in this field.  But, I still think that having a mentor can be of great help. I'm just curious as to how you found your mentors that helped you on your journey to becoming successful real estate investors. I would appreciate any potential advice so I can start to work right away. 

-Thank you 

Good Evening Bigger Pockets.

In my research, I've read many fascinating opinions about forming a Forgein Entinty LLC in my state. Such as a Wyoming LLC doing business in New Jersey. Although, I do have to pay the filing fees and the Wyoming LLC setup costs. What are the potential benefits of using a Wyoming LLC over a New Jersey LLC? Is it worth paying the fees? Or would i rather just set up a New Jersey LLC?

On a side note, I've heard that you can flow profits from one LLC to the other( if it's foreign) and use that money for investments and also save on taxes. I could be wrong but I would appreciate the clarity on this.

-Thank you 

@Jerry Padilla Thank you for answering my question, But, I'm wondering if there is any type of mortgage loan that doesn't look at net income.  Or do all mortgage lenders look at only income? If so, I would have to do creative financing such as owner financing with low money down on future investing opportunities. 

Since I am new to the world of real estate investing. There is a property that I'm researching into buying and holding. I have the investors in place but I have one obstacle.  Having a mortgage loan that will be enough to cover the cost of the house. I'm willing to put close to 10-15% down. But, I think it won't be enough to cover the whole cost of the house. Are there any creative financing without the use hard money lenders? I know many mortgage lenders look at income to see how much you can borrow. But I was wondering if anybody knows any good mortgage brokers that is able to give good loans. 

@Bryan Blankenship @Otis Duffy @Jerry W.  

Thank you guys so much for your input and for the priceless advice that you have given me. I suppose in terms of having an LLC is just for asset protection when it comes to just having rental properties ( duplexes, apartments etc..) Because I don't want the risk that somebody were to sue me when it came to any type of incidents near the property. Would it be wise if I put a clause in the contract that states that the tenant must be responsible for any incidents that happen to them? Or just have great insurance when it comes to the property itself?

Further note I've read that the having a Forgein LLC is a great way to flow through income from one business to the other. Which helps to avoid paying high taxation rates in New Jersey.

@Jerry W. Thank you so much for answering my question I now know how to fill in the gaps. I heard that setting up a Wyoming LLC gives better asset protection, as well as a lower tax rate in federal. But, I understand since I'll be conducting business in New Jersey I will be still be paying state taxes in New Jersey.

With the buying factor I have investors lined up for me to conduct deals but, since I am new to this they want a solid plan on how it will be done. I'm looking for single family residences that can be rented out to. Since my main goal is to have passive income and build enough to acquire more rentals that are SFR. The thing that I need most help with is whether or not it will be wise to take over an existing loan of a house that requires little to no repairs, Or a house that is being sold by the owner with no outstanding mortgage. I understand when it comes to taking over a loan I will have to be subject to it so at least I will have an escape if anything goes wrong. But, the thing that I have most trouble is determining the value of a house and how to make an offer that will benefit me. I really appreciate you helping me in this endeavor. 

Thanks guys @Dave Visaya , @Michael S.  it's great to be part of the community. 

Good Morning Everyone 

Since I am new to the world of real estate investing I need guidance on what is the step by step process you seasoned investors have taken to buy a property. I have read plenty of books on real estate investing, especially in buying and holding topics. 

My main goals are to 1st to seek a mentor that can show me the ropes of real estate investing. Buy and hold my first property. Create my Wyoming LLC to have asset protection. Rent out the property to my first buyer and maybe have an option for them to buy the property.

I would greatly appreciate if seasoned investors can share their knowledge on what it takes to make their first deal.