All Forum Posts by: Eugene Rogachevsky

@Zach Lemaster  please email details of seller financing and rehab scope of work from two years ago. Thanks 

@Antoine Martel are your out of state investments turnkey properties through provider? BRRR? Something else?

I've been doing TK purchases recently but would love to get into a BRRRR type strategy out of state.

Let's connect. Maybe there is an opportunity for us to collaborate on something. 

@Brent Coombs

I don't think the kid is trying to trick anyone. I think he is just looking for some advice and guidance. And a seller might be comfortable with simply taking the 1200 per month for the 'life of the loan' instead of 'forever' because maybe she doesn't have 'forever' to live. Or maybe she's old and forever to her may mean another 10-15 years. Or maybe she doesn't want to deal with the potential headache of replacing the roof soon. If she's owned it for 20 years, the roof will need to be replaced soon, if not already. Maybe there are plumbing or electrical issues that will need to be addressed in the next few years that she simply doesn't want to deal with and is more than happy to take her 1200 and pass off the upkeep to someone else. 

I personally have not had any experience with creative financing so I can't help him much but those of you who have should give him some practical examples instead of ripping him a new one and accusing him of getting over on the seller. He's trying to learn. Like most of us. 

@Peter K. You are right around the 1% rule for gross rent to purchase price. If this is an SFR, you'd be cash flowing. Unfortunately, the HOA will kill any cashflow if you're near 1%.

Also, how did you come up with your insurance figure? Did you get that as a quote from an insurance broker? Seems low. 

@Andrew Johnson is correct. While it is possible to get a 15% down non-owner occupied loan, more than likely you'll be putting down 20-25%. This will lower the PI slightly. However, if you do find a lender that will do 15%, there will be monthly mortgage insurance until you reach 20% equity. You didn't account for that in your analysis. 

Condos can cashflow, even with the HOA fee, if you buy in a market where rents are in the 1.25% and up range. Yours is right around 1%, it will more than likely never cashflow unless you can force some equity and raise rents $200-300. I would say pass on this one.

@Eric S. if this property is still available, please email more info (rent roll, lease agreement, pictures of interior, necessary needed repairs, scope of work on any previous rehab performed). Thank you! 

@Gunnar Teltow please email me more info (rent rolls, pictures of rehab, scope of work performed in 2016). Thank you! 

@Jeff Burdick which areas are you referring to that are gentrifying? 

@Eric M. We said man. 

Any insights on Dolton or South Holland? 

@Account Closed since it's almost paid off, why not consider a seller carry? The bank will lend up to 80k purchase but you can make your own terms if you carry the note yourself. Sell to Them at market value....X down, Y interest, Z years.  You'll still get your monthly check from them but they'll be the ones responsible for the repairs (and you wont have to worry about the windows!). It doesn't seem to be a good cash flowing property but doesn't mean it won't be a good property to lend on. 

@Chris Conroy still available? 

It's not a past due/proration issue. I knew going in that 2015 taxes were in the 13k range. 2016 came in at 14k. They pay taxes in arrears in IL. So the amount wasn't surprised. My original question had to do with the appeals process in IL. I was able to get a couple good lawyer contacts that I'll be reaching out to.