All Forum Posts by: Scott Titus

@Matthew Peterson did you ever find more info on these?

Originally posted by @Keith C.:

@Caleb Heimsoth how can it be a great buying opportunity?

Has anyone lowered there asking prices yet ?

have banks started foreclosures on default loans ?

Are borrowers 90 days plus overdue yet and likely not able to catchup to payments as occurred in 2008?

We are in middle of the first inning of a 9 inning game - let’s see what happens in next 6- 9 months - what programs and money actually were delivered!

Are borrowers making timely payments !

Are sellers holding firm !

Are hard money lenders liquidating assets from borrowers who are months behind!

I wouldn’t start buying just yet - there too much uncertainty,, why do you think most Non QM lenders pulled the plug,

If your credit score is under 650 today it will be very hard getting a mortgage . What do you think that pressures places on sellers who just lost 45% of the their buying pool?

I’m on the sidelines cheering for All of US but betting on no one ,, Yet

@Keith C I think this is spot on. I think it’s still to early to say for sure. It’s caused me to put two deals on hold due to the uncertainty. Both are multi-family deals and if the market actually takes 15-20% correction, it will be significant cut in value. I’m starting to see some fear and anxiety in my market, but it’s WAY to early to say it’s 2008, or even close. No one knows what will come of this, it is unlike anything we’ve ever been through. 

Originally posted by @Larkin Adey:

@Sean McCluskey 

UHM United Wholesale Mortgage, and no the closing today was 85% 5.375 with no points - SFR.

Larkin Do they have a minimum loan amount and a seasoning period? Seems like a good option to refi into after BRRR'ing.

@Phil B.

I’m unfamiliar with it all, I have a lot of reading to do it appears. I would love to know if there’s a way to change the profit restriction piece or if that’s there for the duration of the HAP contract. Thanks for taking time to respond.

@Phil B.

I haven't even gotten to the financial portion yet, buying a property with a HUD HAP contract in place would be a first for me. The current property manager told me the owner couldn't take a profit out of the income. Meaning, he could write himself a check at the end of every year like most do with any property.

The PM stated the owner would cash out refi, take all of the money themselves and then use the income to pay off the mortgage every 5-7 years. Then they'd refi it out again. I'm just trying to wrap my head around this if this correct and I can't take a profit from the property. If what the PM said is right, by paying that mortgage down fast I would think you'd lose the tax deductibility as your taxable amount would shrink fast. If this is correct, why would people want to own a HUD HAP facility? I know I'm missing a LOT of information.

Thanks in advanced.

@Phil B.

Did you ever get any info on this? I’m

Looking at something similar and have a LOT of questions...one being that I was told I couldn’t take a profit as the owner. If that’s the case I’m shocked.

Thanks in advanced

Originally posted by @Salvatore Lentini:

I have found better financing options than Visio in building my portfolio.  Since I'm a full time investor I don't have a W2 and my tax returns, due to depreciation and other deductions, are not ideal in the eyes of a traditional lender.  Sub $100K properties are tougher to find financing on.  Oddly enough, the bigger deals are easier to finance.

 Would you share who’ve you’ve found that’s better?  I’m beginning to shop portfolio lenders as I’m getting closer to my max number of loans. I have been looking at Visio but haven’t found many people with a lot of experience with them. 

Thanks in advance. 

@Andrew Postell

That was an amazing response! Detailed, helpful, and exceptionally insightful.

@Joel Florek

I would love to talk more with you, this is definitely something I’ve been looking at as the market around KC is incredibly hot and filled with buyers. I’ve got a few apartments I’ve had sent to me in rural areas that I’ve been kicking around moving forward on, I’m just so green to the areas I haven’t been sure how the numbers would line up. Thanks for posting this...I’m going to start digging in and see what I can come up with.

@Paige Roberts I dealt with this recently. I did not charge them for breaking it early, but I did have a conversation about how nice I needed the property to be upon their leaving. They went out of their way to have the carpets shampooed and the residence professionally cleaned after they moved their stuff. If they would’ve left it dirty or left junk in it, I would’ve charged them. I do not think punishing someone for being successful is good mojo so I couldn’t do it. Look at it like this, if they leave it clean and well-kept, you’re good. If not, charge them.