All Forum Posts by: Eric Swint

Hello BP,

I'm in the process of purchasing my second duplex with seller financing. Purchase price 150K (. We've settled on a 7 year balloon with a 6% interest payment (based on 30 yr amortization). Down payment of 3.5%. Property is in an A class neighborhood, needs minimal rehab (under 5K), and currently vacant. 

This being my first seller financing deal, I'm looking for some advice on the process/deal. We had the inspection, and all is good there. Property is in very good shape. What process do I need to make sure I follow with a seller financing deal? Do we sit down with an attorney and draw up the contract? Do I talk to a lender and make sure that I don't have any issues down the road with the balloon payment? What parts am I missing here? Any guidance would be much appreciated.

Thank you,

Eric

Hey David, can you send me more info on the duplex and multifamily properties? Thanks!

Hi @Parker Foard! I'm currently house hacking a duplex in Toledo, Ohio. As Brandon said, you can get an FHA loan through just about any lender. Pick your location, find those properties within your budget (make sure the numbers work as a potential investment opportunity), and shop around for a lender with the best value during your search (ask local investors you know who they use). You'll need a pre-approval letter from the lender you choose before you can put in an offer. Typical FHA loans are 3.5% down, but you can increase that number if you want. The inspection process for an FHA loan is more strict, but the loan process in general is pretty similar to a conventional. There may be a few extra forms to fill out and documents to provide. Closing on an FHA loan can sometimes, not always, take longer than a conventional loan. Keep in mind that you need to live in the property so make sure that is feasible with regard to current leases. I personally have had a good experience with the FHA process. It was important to me to be able to put less money down on the duplex so that I could use my cash for the renovations. Good Luck to you! Hope everything goes smoothly!

@Joseph Tuccito

Keep your credit usage as low as possible as that will be roughly 30% of your credit score. Maybe pick up another part time job during your last year of college to add to your savings quicker. Really get to know the different neighborhoods/suburbs of Tampa. Knowing your market area will really help you when the time is right to buy. Start building your Tampa network of mentors and contractors. Having these in place ahead of time will definitely speed up the process once you begin a house hack. Start learning how to screen tenants/what websites and services to use for attracting renters. Go to local REI meet ups and network. This should get you started in the next 8 months. Good luck!

I have a situation where my offer on a property has been accepted, and my intention is to move into the property within 60 days to satisfy the FHA loan requirements. It is a duplex with both units currently rented. I just found out that the owner didn't have lease agreements in place, and once my offer was accepted they immediately put the tenants under new leases through next year. What are my options here? I offered cash for keys, but haven't heard anything back yet.

I recently had an offer accepted on a duplex. Both units are leased until March 31st, 2018. I intend to make this my primary residence come April 2018. My problem is I don't have 15-20% for the down payment, and I'm not sure I will be able to get the 5% down conventional loan because I won't be moving into the property within 60 days. What are my best options here? My lender had suggested I receive a gift for the down payment. This is possible for me, but it would have to be multiple gifts by separate family members to stay under the tax amount. I would prefer to stay away from FHA loans/fees if possible, but am open to scenarios where I can still make the numbers work with all fees/insurance.

Hello BP,

I recently had an offer accepted on a duplex. Both units are leased until March 31st, 2018. I intend to make this my primary residence come April 2018. My problem is I don't have 15-20% for the down payment, and I'm not sure I will be able to get the 5% down conventional loan because I won't be moving into the property within 60 days. What are my best options here? My lender had suggested I receive a gift for the down payment. This is possible for me, but it would have to be multiple gifts by separate family members to stay under the tax amount. I would prefer to stay away from FHA loans/fees if possible, but am open to scenarios where I can still make the numbers work with all fees/insurance.

Thanks for the help,

-Eric

@Micah Mcarthur

Hello Micah,

I'm located in the Butchertown area, and I'm looking for deals mainly east of I65 and in Old Louisville. I have also found a few groups and meet ups in Louisville, but my schedule hasn't aligned yet with any of the dates. Where are you located in Louisville/where are you searching for deals?

Thanks for reaching out!

-Eric

Hello BP! 

I am 27 from Louisville, Ky. I am currently renting and looking for my first multi-family property to "house hack". I have been an avid listener of the podcast, and am now just getting into the forums.  I have been analyzing deals using the BP rental property calculator for a few weeks now, and I have been building my network locally. I want to surround myself with as many real estate savvy people locally and across the country as I possibly can.  I am looking to close my first deal in the next 4-6 months.  I have my sight set on a duplex/triplex. I am working full time, and I will be starting my MBA beginning of 2018. I have begun speaking to real estate agents and wholesalers, and have visited a few properties so far. I understand I have only scratched the surface, and I welcome any and all advice. 

I'm really looking forward to connecting with everyone on BP and achieving financial freedom through real estate! 

-Eric