All Forum Posts by: Brandon Henderson

Private Mortgage/Hard Money Lenders are under attack in Florida!!

Pending legislation may hurt hundreds of Private Lenders in Florida and across the country. SB1730 is currently seeking to redefine what a “mortgage loan” is. Currently, Private Money and Hard Money lenders that make “Business Purpose” loans to real estate investors and flippers do not need to be licensed in 40 states across the country, this includes FL. This will change if Senate Bill 1730 makes its way through the Senate and gets signed into law by the State Governor.

This law will be devastating to both lenders and borrowers in that it will significantly increase the compliance expenses for lenders (audited financials, licensing fees & other compliance costs) and is also expected to increase rates and fees for borrowers.

Let your voice be heard – Ask the bill’s sponsor, Senator Tom Lee to remove section (7) “Mortgage Lending” of SB1730 and allow free competition for lenders.

Call Senator Lee’s office at (850) four eight seven- five zero two zero and ask to speak with Senator Lee or one of his Legislative Assistants, Natalie Brown or Robbie Heere – don’t just leave a message with the receptionist – ask to speak with one of his Legislative Assistants -let them know you OPPOSE SB1730 IF section 7 is not removed. We need to keep capital flowing to businesses and real estate investors that rely on Hard Money and Private Loans in Florida.

Additional Information can be found on the American Association of Private Lenders website at https://aaplonline.com/aaplopposesfloridasb1730?inf_contact_key=5292e45c8253ae637529237f67d500f4680f8914173f9191b1c0223e68310bb1

Hey guy, I am looking for a real estate agent in the Saint Petersburg Florida area that has delt with investors. Any recommendations?

@Joe Villeneuve That’s pretty interesting, I haven’t thought about the correlation between DOM and Price. What information would you need to come up with this DOM? Also once you find the DOM how do you determine a price for the property?

@Joe Villeneuve thanks for the input. If I interpreted your description of DOM correctly, you could find the 2nd definition of DOM by taking any given property; find the comps; then take the average DOM of the comps?

Hey guys, I am trying to narrow down a target market to invest in and I am running into issues finding the data I am looking for. I am isolating markets by counties and I am looking for DOM, average/median sale price, and the average percent of appreciation. The sale price and % appreciation have been easy enough to find, however DOM has been a struggle. Is there a single website you use to pool data from? 

@Nick C. Thanks Nick!

@Nick C. This investment didn’t meet all the criteria as a flip as appreciation was a huge factor. I certainly don’t expect to make this kind of ROI, 20% is more realistic. 4 years ago the MLS still had some deals even in the Denver area, however that has since dried up and I have a plan on obtaining off market deals. I appreciate the concern, I can see how I could have misconstrued my intentions going forward. This anomaly described above will give me the power to do traditional flips, it won’t be easy but it will be worth it.

Whats going on guys my name is Brandon Henderson and I completed my first flip in the norther Denver metro area for a 150K profit... and I purchased the house when I was at the ripe age of nineteen. I hesitated before writing this post, however I wanted to get my story out in the hope that at least one person would find it interesting. 

I moved out of my parents safety blanket when I was 18 and started my freshman year of college living in an apartment with my best friend from high school. Time flew by and before I knew it our lease was about to end. I knew I wanted to purchase a house, however my job waiting tables at a local Cracker Barrel wasn't exactly enough to impress underwriters. Through some trial and error I was able to persuade an agent into showing me properties for sale. My efforts did not go unnoticed and to my surprise I was able to find a private party lender to back my investment. 

I closed on my property and quickly realized I was in way over my head... The property needed a complete basement gut, egress windows, electrical rewire, new A/C & furnace along with a kitchen remodel. No big deal I thought (while working a full time job and attending college),  I can do this on my own and have this done in three months max. Thankfully I have an amazing family an awesome group of friends that jumped right in helped me without hesitation. I worked day and night going without sleep while maintaining an unhealthy consumption of energy drinks. Still, with all the efforts of my close circle, we were only able to get the basement remodel done in a four week timespan and the free labor I was soaking up dried out. 

Once I realized how much money and time it was going to take to completed the lengthy list of to-do's that piled up, I decided it was time to switch strategies and turn this into a house hack. I was able obtain a traditional loan with a $1,200 mortgage payment, while I rented out the three rooms I had available for a total of $1,450. I used the extra money I had to complete the renovations and this quick flip turned into a 4 year learning experience. 

Once renovated the property was turned into a 4 bed 2 bath ranch property with 1,800 sq. ft., on .42 of an acre. The property was purchased for $162,000, there was $30,000 in renovations, and sold for $345,000 grossing over $150,000. I am now weeks away from committing to real estate full time, and taking my knowledge to the Tampa Florida area. 

Thank you for all the posts, podcasts and blogs. It has tremendously helped my progress. 

Hey guys, I am currently behind the ball, and need to get a structural analysis done on my property in the north Denver metro area. Any engineering firm recommendations would be appreciated, and if you have any input on the cost that would be helpful. Thank!

Jeff Twigg thanks! Are there any surrounding areas with bigger margins and high growth rates?