All Forum Posts by: Ian Kisbert

If I'm understanding this right, the new ordinance going into place July of 2022 will be reducing the amount of STR in San Diego from almost 15,000 down to 5,400 and an individual is only allowed one permit per tier each… it seems like there hasn't been much pushback from investors. Is there a way around this that people are seeing, or is this a huge roadblock that will wipe out a lot of the STR investors in San Diego?

@Joshua Mitchell check out ajmadison.com I saved about $500 going there vs Home Depot and Lowe’s

When using private money to make an all cash offer, with the intention to use delayed financing and pull the money back out, what kind of terms do you normally offer the private party? Since this is a relatively short transaction (few months) is the lump sum paid back with interest once the conventional loan closes, or how have others gone about this?

@Kathie Riedel thanks Kathie. That makes sense. Since they are only borrowing from you for a short time, what kind of return do they offer? Is it a monthly payment, or a lump sum after they get the conventional loan since it sounds like it wouldn’t be more than a few months?

When using delayed financing, is it possible to do so using other people's money? Looking into lending guidelines it seems like the bank may not like being in second lien position, but it also sounds like others use this method along with other peoples money. My plan would be to put some of my own money into the deal, along with private money to purchase and rehab a property (putting purchase and rehab on HUD), then using delayed financing, pull out cash to pay back the private money, and if I leave a little of my own in the deal, that's ok with me. If I go this route, how do I structure the private money to satisfy the lender in terms of how I got the money, and how they will keep first lien position?

@Michelle Barlow I haven't pulled the trigger on buying anything quite yet, but after hearing other's recommendations and talking to a few prop managers, I spoke with PMI Knoxville and felt comfortable with them. Planning to go to them as soon as I pick up my first property in the area.

How accurate have others found realtor.com's neighborhood feature when looking at the crime date near a particular house?  I am looking for a property out of state and have been using this feature as a quick box to check off before looking further into that property.  Have others found this feature to be relatively accurate or do others use this in a similar way?

@Jay Hinrichs I am planning to put in a good amount of my own money into the deal and am fully prepared to leave money in the deal after all debts are paid if the cash out comes up short. The idea of having no money into the deal scared me because of that very situation. I’m figuring if I have the cushion (for lack of a better term) of my own money, I can still pay everyone back without carrying any borrowed money. How have you seen others deal with a refi coming up short?

@Shiloh Lundahl thanks for the response. I was planning on using a promissory note to fund this, with the intention of paying everyone back after the cash out refi. Would that bank account opened in the LLCs name be the same account used to operate the rental moving forward, or just to fund the deal?