All Forum Posts by: Kyle Pettit

I was curious if anybody has a letter they wouldn't mind sharing with me that hey have used to mail private lender leads. I know some you you don't like the idea, and I'm fully aware of the sec rules and regs. Anything I have will be reviewed by my attorney prior to mailing.

With that said, I know a lot of folks have had success with mailing letters to possible private lender prospects. I'm just looking for something you all might have in your toolbox you wouldn't mind sharing.

Thanks!

Need advice on owner carry deal. I'm trying to structure a deal using an owner carry. The property is new construction and unfinished. The current owner states she cannot do an owner carry because she is on fixed income. She states any structured payments would interfere with the amount she currently receives. Has anybody else come accross this and found a resolution?

Thanks!

Looking for some guidance on where I can find information for buying properties at auction. Specifically, what liens do and don't survive the auction. Obviously I know you want to be sure you are bidding on a senior lien foreclosure, do secondary liens survive the process?

I understand that doing a title search with a title company is key, but what do you do once I have that info? Just looking for someone to point me in the right direction. I've searched here on BP and found some do's and don'ts and the always do your homework articles, just looking for more detailed info regarding this topic.

Thanks!

Sounds to me like you are doing the right things. In my opinion, buying a new car would be a horrible decision and counter productive to your goals. It depreciares daily, costs money to maintain, and doesn't help you short term to build credit. It would take months if not years before the car loan would help "build" your credit. And thats only if you didnt miss any payments. My advice, stay the course, keep saving, and use that money toward your first property. There are other ways to help build your credit. Simply search the BP blogs, or do a quick google search. I'm willing to bet "buy a new car" is nowhere in the blueprints!

Just curious what you experienced folks use to stay updated on housing market statistics. For example, home sales, avg median pricing, trends, ect. I know there are many and I've looked at a few. Just wondering what you all like the best.

Thank you!

I'm currently working on my business plan. I will be primarily buy and hold sfr and mutifamily units. I also plan on doing some flips (I have a team in place for these). I'm looking for suggestions or recommendations on software or resources you folks would suggest to help me put my plan together. I don't want to simply copy somebody else's plan and change the numbers.

Thank you!

Jon, thank you for the clarification. I was assuming that was typically the case, but couldn't quite find the answer. I learn a lot from your posts. Greatly appreciated!

Today, I have been educating myself on private money. A few posts came very close to answering my question (or maybe they did and I can't quite wrap my head around it).

On a typical Private money loan, what is typically used for an amortization schedule? For example. A typical Private lender is only interested in lending 3,5,10 years.

I have a property I'm picking up for $100k. My private money lender agrees to terms of %10 but is only willing to do a 3 year term. Obviously if this is a property I may want to hold, there is no way it will cash flow while making payments to my private lender amortized @ 3 years.

In an instance such as this, would this be a deal in which you would make interest only payments, and have another lender lined up near the end of the loan terms?

Now I understand in this exact example, the best case scenario would be to simply finance the property with an institution on a 30yr fixed loan. I'm just trying to understand how people make these types of scenarios work using private money lenders who are only interested in lending shorter terms.

Again above numbers are strictly examples.

Respectfully,

-Kyle

Great insight guys thanks!

Hi Folks, I'm fairly new to RE investing and wanted some input on using interest only mortgages/loans. I currently have 3 properties under contract. Two of the properties I plan to sell within 1-3 years. The third is a duplex unit that will cash flow nicely so I will likely hold that property longer. I'm contemplating doing interest only mortgages on the other two properties to maximize cash flow and stock pile some capital for my next purchase. Are there any downsides to this strategy that I may not be aware of?

Thanks!