All Forum Posts by: Igor Avratiner

I would talk to a title company and maybe a lawyer. The 4% transfer tax isn't based on the tax assessed value, it's based on the purchase price. A dollar deed transfer might be the way to go. 

@Steve BabiakThanks for clarifying 

Do you need to be a DIG member to attend? 

@Fiora P.

I am also actively looking in the same areas you are. I am making about 1 offer a week but it's a competitive market and I have certain criteria I stick to so if the price/terms don't line up with my criteria I don't buy. Eventually if I keep making offers I will find an acceptable deal. But to answer your question I have not invested in the better areas so I don't have any experience there yet.

I have had more experience in the lower price areas. They are competitive in the current market as well but I have had more success there. Feel free to PM me if have questions.

Hey Fiora I am very familiar with lower bucks and northeast philly. If you and your husband don't mind differing the home repairs, investing in an income producing property is probably the way to go. In the long run you should still be able to have your cake and eat it too. 

There are probably 2 strategies you can research.

1. Buy in an area where the total cost including rehab is 50k or less. This is what I currently do. One of my criteria is that I must feel comfortable enough with the street that I can visit the property day or night. 

2. Use your 50k as a down payment in a better area. Calculate your project net cash flow after all expenses are paid set a minimum amount for what the net cash flow should be to determine what purchase price you can look at.

Both are pretty competitive right now so you'll need to research.

There are banks that also offer conventional renovation loans. The way the program works and terms offered are very similar to the FHA 203k. In some cases these conventional programs also allow for rental property with 20% down. I spoke with one bank that did rentals but they had a restriction of allowing 2 loans per borrower when the property is a rental.

You won't be able to qualify for any type of conventional/fha/va mortgage without verifiable income. The bank will ask you to provide a w2 and recent pay stubs or tax returns if you are self employed. 

There are other financing options like hard money, commercial loans, lenders that do no doc loans, borrow money from friends and family, and other creative financing options. 

Can you share info about where and when the event will be?

Thanks! 

@Terrell Kennedy feel free to pm me and we can connect. I would be happy share things I have learned while investing in Philadelphia real estate and point out the resources I use when I need help. Welcome to BP!

Germantown is a good stable rental area. It depends where in Germantown but I would say it's somewhere between C and B area.