All Forum Posts by: John T.

I am currently going through the pain of getting a 5th mortgage on my 5th property. While Freddie won't do above 4 mortgages Fannie will do up to 10 but there are restrictions. A commercial lender has become the best option for me for the BRRRR method as loans 5 through 10 for Fannie (I may be mixing up Freddie / fannie) basically need to be turnkey. You cannot cash-out refinance after a rehab.

One concern I had was about housing.  I had thought I had read somewhere a situation similar where the landlord was forced to put them up in a hotel til other housing was obtained.

Two nights ago the only house I manage that I don't own (favor to my GF) had a large fire causing large amounts of damage.  It was from old wiring in the house that caused it and I'm glad nobody got hurt.

I have never had an insurance claim quite like this.  The contractor I spoke to wants to walk and speak with the insurance adjustor.  This seems unwise to me in that I'm sure his bid will end up exactly what the insurance company will pay.  I get there could be items that actually cost more which an adjustor undervalues but those issues can be worked and a slight delay isn't a huge issue.  I also don't understand how insurance company typically hands the money out.  I know it goes to the mortgage company typically so is it up to them how they distribute it?  How are fixtures and furnishings selected?  I want to make sure I'm not getting builder grade quality items in this higher-end home. 

The renters were students at a private university.  In the lease I mention renters insurance and that they are responsible for there own belongs in the event of a fire/flood/break in etc.  They decided it wasn't worth it and they got burned (pardon the pun) so they lost a lot.  While I feel very bad for them I'm very nervous they might try to come after me for something.  Is there cause for concern here?  There lease was up Dec 31 so I told them it's basically done and they should start finding a new place to live.  The university has provided them with temporary housing due to the situation.

http://www.biggerpockets.com/forums/50/topics/187552-anybody-use-b2r-finance

from what I have read there interest rates can be higher like 7+% than you may find elsewhere which is a deal killer for me.  I haven't tried reaching out to them once I read this so call it heresy

I don't disagree from a time / cost perspective to get rid of the headache.  Call it an ego thing /  moral thing or whatever but this has become somewhat personal to me.  In the long run I wouldn't make a stink about things like this everytime, but I find it a good exercise to understand options for when a bigger dispute may surface.

The bill is small potatoes, was expecting under $100 and it was for over $200.  I feel more a moral obligation in this spot of not being taken advantage of.  I was never informed of this increase in price.  I filed a complaint against them with the BBB and will have my lawyer send them a letter.  I grew up with my lawyer so I can get a lot of these type of services free of charge and hopefully it'll slow them down. 

Did some research on my own and found according to the fair credit reporting act unless they can show a charge as accurate, complete and verified the disputed charge has to be removed. 

Additionally, "You may seek damages from violators. If a consumer reporting agency, or, in some cases, a user of consumer reports or a furnisher of information to a consumer reporting agency violates the FCRA, you may be able to sue in state or federal court."

I have not gone there.  I assume if I do I'll end up talking to the secretary and not the person who will do anything (similar to on the phone).  The letter makes sense.

Perhaps I have been lucky to avoid this on the first handful of properties but I recently had my first dispute with a contractor.  I received a bill for much more than we agreed to.  I called several times to try to straighten it out but was never called back.  I recently received a notice from them saying pay the bill or it'll go to collections.  I contacted them via there website to dispute this.  I have know received a letter from the collection agency saying they'll report it to a credit bureau unless I get in touch with them in 10 days.  I called the contractor again but again just speak with the secretary and probably will not receive a call back.

A couple of points.  I never signed anything period with them.  As a buy and hold investor my credit score has a big impact on my business.  I want to know what leverage I have here to prevent any impact to a credit score.  I don't see how they have a leg to stand on if they don't have any type of contract for the work done but I'm not sure how to use that to prevent this action from being taken on me.  Only thing I can think of is possibly filing a complaint with the BBB or having my lawyer send them a letter to make them realize if they do this unjustly they may have to pay for the financial damages it causes.  I've never done either of these actions and have worked with great contractors in the past but this one to me is the definition of slimy contractor so I want to know what options I have to combat this.

Appreciate any/all input

last handful of properties I've put bids on the same has happened.  I normally assume its from the price reduction.  If it is a vast price reduction it makes sense.  If its just a small one and suddenly everyone jumps on I'd be cautious