All Forum Posts by: Eugene Rogachevsky

Dave Foster in your experience do you know if there are any lenders (that will lend in CA) that will lend on an owner-occupied triplex or fourplex where a portion of the downpayment comes from a 1031 exchange? I spoke to a lender at Wells Fargo and a mortgage broker and both said they've never heard of this being an option as far as getting approved for a loan. So I figured I'd ask a 1031 accommodator. Thanks!

@Chris Seveney it's going to be a rental property. What we settled on was 200k purchase with 5k down at 5% interest only (amortized over 30 years) with a 7 year balloon. 

@Toussaint Hill  please add me to your list if you have value-add multi-family properties. [email protected].

Thanks!

Matthew Enos the current comps are between 208-220k. He hasn't raised rents in a few years so that's what leads me to believe I can get market rent for it. However, I want to use this property for travel nurse housing. I can get 2200-2400 per month for it because I'm getting that from another condo I own in the same city under the same business model. Vacancy period between tenants is 1-2 weeks and they typically stay 2-3 months. In your experience what option is best from investor stand point... interest only payments? Principal and interest? I don't mind coming to the table with more than 5k. I was just throwing out that hypothetical example to see if someone had any thoughts on it. He said to let him know what works from my standpoint to make the deal work and he'll roll with it. Also, when the balloon is due in 7 years, how does it work from his standpoint when it comes to capital gains taxes? Does he still pay capital gains on the full purchase price of 205k? On a different amount? Thanks

Hello All,

This is a question regarding seller financing. The property is located in California. 

My uncle would like to sell his property and do seller-financing. I would like to purchase this property from him. I have never purchased a property utilizing a seller-financing strategy. 

Details:

1. He owns the property free and clear

2. He wants to avoid paying capital gains

3. He would like to sell for $205k with a 5-7 year term 

4. According to him, I can "make the numbers work for me (investor)" and then we will decide whether it makes sense to move forward 

     a. This implies we can do X% down, Y% interest; as long as it makes sense from my standpoint I can pretty much dictate terms.

My questions are....

1. Given the aforementioned information, what would constitute good terms so it's a "win-win" for both of us. 

2. Do I include the Taxes and Insurance (that he's currently paying?) in the total payments and he just makes the payments for those items when they're due? 

    a. Or do I get insurance in my name? 

    b. Will the taxes be sent to me from now on? 

c. There is an HOA. Who is responsible for making those payments?

3. What is best from my perspective and why?

    a. Interest only payments?

    b. Principal only payments?

    c. Principal and Interest payments? 

4. Let's say as an example I propose $205,000 purchase with 5k down and 5% interest with a 7 year balloon. P&I is around $1075 (Taxes and Insurance = $225). At the end of 7 years I would have a Principal reduction of around 21k (as en estimate). When the balloon payment is due to him, do I only have to pay him 179k? 

(Current rent is 950--market rent is 1400; I will do a renovation (20-25k) and rent to corporate tenants (e.g. travel nurses) for 2200-2500).     

Thank you in advance. 

Eugene

@John Lenhart thank you 

@John Lenhart thanks John. Both have done a number of inspections for you specifically?

Can anyone recommend a tax appeal lawyer in OH (Dayton, Cleveland) for an investment property.  Thank you in advance!

Eugene 

@Melissa Kirchhoff thanks!

I just picked up a property in Dayton, OH and would like a recommendation for a home inspector. Any recommendations of people you've worked with multiple times would be much appreciated!

Thank you!

Eugene