All Forum Posts by: Ikenna Okoye

@Ron Brady Thanks! I guess the next step is finding a lender that allows HML in my personal name and attorneys that do Quit claims.

@Eliott Elias Thanks for that info, that's not a bad alternative if I can execute the above.

Sounds great. The only hangup I have, is do you have to then purchase and hold the property in your personal name in order to receive the loan from the LLC? I doubt my LLC can loan itself money.

@Andrew Postell Hey thanks for this great info firstly! Questions I have:

1. This would require you to purchase the investment property in your personal name correct? Which means you would get the HML in your LLC name?

2. When you go to refi with a conventional lender, will they allow you to start the process before the 6 month period? 

@Ron Brady New to this thread. Did the strategy work, do you have any insight on this? 

@Bruce Lynn This makes sense, lower down payments to make the deal more enticing probably for an aged property with little updates and deferred maintenance. I'll keep having reserves in mind, I know that's important, so thanks for that reminder. Sometimes it's easy to look at the front end of the deal and get into the wishful thinking mindset on the backend/management. 

@Alecia Bolton This makes and is very helpful. I am definitely looking to bring a partner or two in if possible, I just wanted to reduce the cash I would have to put into the deal either way, thank you. 

Hi all,

I'm looking at a lead in the Ft. Worth area in Texas for a few seller-finance properties. I've offered the owner his price, a decent interest rate, and a 5+ year ballon on the note. Since I'm newer, I don't have the 20% down that the seller wants for the properties. His main concern with having no "skin in the game" is if I fail to perform and don't pay him for up to 6 months before a hypothetical foreclosure or him taking the property back. 

One option I know of that could help alleviate some of his concerns would be a servicing company that collects payments, but I'm unsure if this is usually used for seller finance transactions at all or if it's only Subject-to deals. My question is, what are some benefits that I can present to him, if any, that can ensure his confidence in me as a buyer as far as making payments? Can servicing companies provide a kind of insurance, can they enforce payments somehow? Any insight would be helpful, thanks!

Ikenna

@J Scott Hi. I know this is an old post, but I bought your book on flipping houses as well and was wondering if you still had access to the independent contractor agreement as well as the scope of work document. I'll be starting on my first flip soon and really want to do it right. 

@Bill B. I appreciate you response. The issue was I was going to be listing the property on airbnb. I put myself in the shoes of the guests when they could potentially see roaches in the food cupboards or a rat running around. Is the argument of unsanitary or unlivable conditions reasonable to get out of the lease since this would have affected my business with her knowing there was a rat issue in the house and not telling me before hand?

Even if I would loose, is she allowed to keep first months rent AND my deposit?

@Wayne Brooks What do you think, does what you said still stand?

Hi all,

I recently started a short term rental business. I rented a house under a corporate leasing structure and signed a lease and paid a deposit. The house was furnished mostly so I bought some items to complete furnishings and list on airbnb. Upon moving in i realized that there was a roach and rat issue and knew this would not be acceptable for guests, so I opted to move back out and not continue. I paid a deposit and first months rent but the catch is the lease was never signed by the owner. I will ask a law professional about this, but shouldn't I technically be able to simply get my money back after moving out since the lease was never in effect in the first place? The owner is refusing to return the deposit and rent. Any insight on actions to take would be very helpful, thanks.