All Forum Posts by: Fouad Hayek

Hi Jessie,

Don't bang that head just yet! What I would do is call local credit unions instead of larger banks. These big banks do not typically like investment real estate, so the smaller ones tend to be less picky. You would be surprised at the different loans and products these credit unions have. They also tend to have more favorable LTV (loan to value) terms.

Give your local credit union a call and ask if they do HELOCs on investment property. I am sure you will get some that don't but it will not take you long to find someone. I used the BRRRR method on some of my properties with a local credit union and am going to do another here soon as well. They are much much easier to work with than those big banks.

I hope this helps! Good Luck!!

Hi Reagan,

This is quite a strange predicament. Unless it is a privacy issue, I have never been faced with a landlord who is holding back the leases until after closing. There is no rule that you cannot contact the tenants unless you signed something that said so. So that can be one way to see what is going on. 

I am assuming you are not using a realtor here, because if so, the realtor can make sure you have all the info you need prior to taking on the property and the leases. I personally not a fan of anyone withholding what could be valuable information.

I would communicate to the seller that you are buying the leases and deserve to see what is going on. I would also make sure you are protected from any clauses that can inhibit you from trying to execute your plan with the duplex.  I would hate to see you having to file an eviction right after you purchase should something arise (worst case scenario).

I hope this helps! Good Luck!

Hi Josh,

First, thank you for your service to our country. Regarding #1: you do not get taxed on any loan you take out. Equity is a beautiful thing. I would get a better understanding on all the costs involved with taking out a VA loan for REFI. Get a good idea on all closing costs, appraisals, etc.

#2: You can refi for a better rate, but again, take into consideration the cost of the loan. Granted 2.9% is not a bad rate, and if it is fixed I would hold on. HELOC idea is very good, it allows you to pull some equity, but this is treated like a credit card, you get a higher rate, but have access to it whenever you need it should a rainy day come.

Hope this helps!!

I have used Turbo tenant and have had people who are moving apply with similar circumstances. As long as the person who applies meets all your requirements from a household income standpoint I see no issue with at least learning more about the applicant. I strongly recommend that the husband apply through turbo tenant and submit some work references to you. I would also ask as to why they are moving and get any and all information on where they were renting from before, and references too. Just make sure to cover all your bases.  

I would do a general Google search for a lease relevant to your state, either download it and modify it and use it (you may want an attorney to take a glance at it as well). 

What I have also done (and worked quite well) is get the lease already in place (assuming the property you purchased is not vacant) and modified it to what my requirements are. The modifications I made to it specifically were in regards to the animals and the appliances. I still use this lease across my entire portfolio.

Good Morning all, I am looking for someone to help with funding on a multiplex in Akron, OH. Local lenders and out of state lenders, lend me your proposals. What is being discussed, is a large future cash flowing opportunity in a great area. Fellow BP members, your referrals are appreciated. 

Thank you,

@Chris Seveney Thank you so much for explaining that. The process is clear to me, I greatly appreciate it.

@Ron S. I understand what you are saying, but in all the lots and parcels that are sold at a Sheriff's auction in this county. The starting bid is always 2/3 of the Appraisal value, my question is, if a bank submits the minimum bid, does it pay that amount to the county?

I was interested in a house that was foreclosed on in March of 2020 in Stark County, Ohio. It went to a Sheriff's sale and the Bank ended up buying the property at the starting bid which was 2/3 of the appraised value, $120,000. If this home was placed on the market, I do not think anyone would have paid that much for it. I do not even think that the bank was owed that amount from the homeowner. Why was the bank so interested in buying it back? I know for a fact that the bank will throw this back on the market, but after all costs and fees added to the price they paid at the sale, would it be worthwhile for the bank? 

Thank you!