All Forum Posts by: Frank Boet

Hi Lazaro, I live in Miami and we got a HELOC for $200,000 in 2016. We bought our first rental condo "cash" for $110k with our HELOC. Instead of tying up all of our HELOC in one property, we are working with a mortgage broker to see how much we qualify for so we can use the HELOC for the down payment and finance the rest. This way we can leverage our HELOC and buy multiple properties with our remaining $100k. Miami is still a hot market. I don't see the Corona virus has slowed it down. But, I'm waiting in the sidelines for a pullback.

Hello everyone, I need fill out a new lease agreement. My real estate agent wrote the original and now it's time to renew the lease with my tenant. Do you use software to fill it out? Can I e-mail it and have it filled out electronically? Thank you in advance, Frank

Hello friends. I bought a rental condo in Miami three years ago, under my name, with our HELOC. The rent is paid and deposited to a second personal bank account strictly for the rental. So the condo is paid in full, but we now have a second mortgage on our home for $94k. How can I protect my assets against lawsuits? Is it as simple as opening an LLC or Corporation and doing a Quit Claim to the entity? I can't afford liability insurance because my cash flow is razor thin. However, when the lease renews in February I'm going to require the tenant to get renter's insurance. Thank you in advance.

Excellent area. Hot, hot, hot.

According to Yahoo Finance, "the Yield Curve flashes "RED" today for the first time since 2005.... The U.S could be headed for a recession." The DOW is down over 350 this morning. Recessions are just part of the economic cycle and will create great buying opportunities in real estate and the stock market in the next 1-3 years. 

Hello Michael, that is exactly what we did three years ago. We got a HELOC for $196,000. We used $113k to buy a 1/1 condo in the up and coming Allapatah area near Marlins Park. We spend $17k to update it using our credit cards and Home Depot and Lowes 0% interest for 12 months. We chose an Interest Only option variable rate. It started at 4.5%, but it has gradually climbed to 6.61%. It cash flows about $400 every month. We rent the unit for $1,385. The HOA fee is $258/ month, property taxes are about $180/ month and the HELOC interest only is $525, but slowly decreases every month since I apply $400 towards the principal. The HELOC balance has dropped to $95k AND the condo has appreciated to about $150k. I thought of doing the BRRRR, but the refi was going to eat about $7k of the equity. Instead, I will probably sell it in 2-3 years after the HOA updates the building which will increase the condo values and as you may now, the City of Miami is spending $208 million for the I-95/ 595/ 836 project which I believe is going to create a boom for that entire area.

Caleb, my family and I plan to use the vacation property. I would love a beachfront property, but after adding the HOA's, wind mitigation insurance, taxes and the regulations, it may get difficult to cash flow especially since the Winter months are very slow along the coast. I have been considering buying a fourplex a few blocks behind the beachfront. Perhaps rent it short term or annually.

Which town is more regulation friendly and how are the taxes? Would a condo on the beach, with high HOA's, cash flow better then a fourplex a few rows back?

Destin, Fl or Myrtle Beach, SC for STR?