All Forum Posts by: Jay J.

Welcome to BP @Marcus Napier !! You have already set yourself up for success by joining BiggerPockets!! This is really the premier place to start learning about RE and what it can do for you!

1. First things first, learn the basics (incase you don't already know it) --> http://www.biggerpockets.com/starthere

2. Then, download the BiggerPockets Ultimate Beginner's Guide and start reading some more!!
The UBG will will walk through many of the key topics of real estate investing. Ask anyone here, its an invaluable resource. --> https://www.biggerpockets.com/real-estate-investin....
3. Once that's done, get to listening to the free BiggerPockets Podcast - A really great podcast with interviews and a ton of great advice. --> https://www.biggerpockets.com/renewsblog/category/....

and most importantly, POST YOUR QUESTIONS!!
..after all, that's what BP is for. Good Luck!
:-)

Hello fellow Investors!!

I would like to know (and possibly hear about) anyone's personal experience with the following companies;

http://glassridge.com

https://www.lendinghome.com

http://daytoncapitalpartners.com

http://www.velocitymortgage.com

http://mortgagemanfunding.com

I know the rates aren't the best, same with points, but I'm a noob trying to get in the door. I'll gladly pay 'more' than typical, if I can get the ball rolling. I'm in Ohio, so I'm looking at lenders in this area. I've found (what I consider) a pretty good deal and I'm trying to line funding up..

Any help is appreciated!!

I believe at closing, although, I'd check with a loan expert to be sure.  

BTW, @Chris Olewinski, how was the process for the FHA/203k loan? Difficult?

Damn..  you must have some crazy hills..

:-)

Welcome to BP @Noah Povis !!You have already set yourself up for success by joining BiggerPockets!!  This is really the premier place to start learning about RE and what it can do for you!

1. First things first, learn the basics --> http://www.biggerpockets.com/starthere

2. Then, download the BiggerPockets Ultimate Beginner's Guide and start reading some more!!
The UBG will will walk through many of the key topics of real estate investing. Ask anyone here, its an invaluable resource. --> https://www.biggerpockets.com/real-estate-investin...
3. Once that's done, get to listening to the free BiggerPockets Podcast - A really great podcast with interviews and a ton of great advice. --> https://www.biggerpockets.com/renewsblog/category/...

4. Now you're ready to face the RE world !! Good Luck

@Tiana O.

I've read 6 month also, but I think as a general rule 1 year is 'safe'..

I'm sure there are other situations that can decrease that time frame, but generally speaking 1 year is a good number to use. 

The rub in the BRRRR concept is that you need to be able to 'build in' the equity for the property. (ie, the little bit of money you leave in the deal)

Meaning, if you buy the $80k house and put another $20k rehab into it, you better get the appraisal you need (ie $160k) otherwise ;

1. You don't get 'all your money back'

2. You can get stuck paying PMI

3. It can make the numbers for a rental not as good, if not a deal breaker.

Also, for the new guy (girl) investor, not being able to 'cash out' fully could prevent you from closing on the next deal.. 

..as with anything, don't trust what you read on the internet. Do your own math!

@Scott L. look at the example @JD Martin gave..

"Buy house for $100k with $20k down, $80k mortgage. Put $25k into fixing it. Get it appraised for $160k. Refinance mortgage to $125k. Pay off $80k mortgage and take back your $20k cash plus your $25k fixing it. The only equity left behind was the increase in value."

1. You paid (for the example) $20k out of pocket for the down payment.

2. You carry a mortgage of $80k.

2a. You then fix up the house, using $20k (of your cash)

3. You then get it re-appraised at (hopefully) $150k, so you can get a $125k, mortgage.

4. The refi pays off mortgage #1 ($80k) and pays you back the $20k (rehab $), and you still walk with the difference (in this case $80k+$20k=$100k, leaving $25k)

I hope the clears it up!!

Welcome to BP @Natalie Bullock !! You have already set yourself up for success by joining BiggerPockets!! This is really the premier place to start learning about RE and what it can do for you! 

Its awesome to see more and more Cincinnati Investors!  I'm local to the area (east side), so hit me up if you have any questions!!

1. First things first, learn the basics --> http://www.biggerpockets.com/starthere

2. Then, download the BiggerPockets Ultimate Beginner's Guide and start reading some more!!
The UBG will will walk through many of the key topics of real estate investing. Ask anyone here, its an invaluable resource. --> https://www.biggerpockets.com/real-estate-investin....
3. Once that's done, get to listening to the free BiggerPockets Podcast - A really great podcast with interviews and a ton of great advice. --> https://www.biggerpockets.com/renewsblog/category/....

and most importantly, POST YOUR QUESTIONS!!
..after all, that's what BP is for. Good Luck!

:-)

@Cuong Nguyen , I believe what @Mark Gallagher is referring to is using leverage (meaning, getting a loan) to cover the rest of the purchase price..  simple, yet not.

So, for example --> Property cost $100k. You put down $10k (of your $30k), and finance the remaining $90k. You do this three times and you've got 3 properties.. 

The reality of this is that unless you put down enough, the property won't cash-flow for you. (do the math) Plus, unless you're a seasoned RE investor, banks (most, not all) will want 20/25% down, unless you're living in it. So, the simple idea of using $30k to buy 3 houses might work for some, but not all.. and probably not a noob.

But, to answer, or at least give a response to @Ryne V.. 

With $30k today, I would use a portion to buy a 'live-in-flip', and hold the rest as reserves. Once the live-in-flip was completed, I'd refinance the house (hopefully getting a good appraisal-> CF & PMI and all of that) that would allow a decent amount of cashflow. Then take the remainder of the reserves and go do it again. I'd aim to buy a house every 8-10 months.