All Forum Posts by: Ishviyan D.

@Erin AndereggThe general rule of thumb is if the property is not owned 100% F&C, it would need to be a subject to deal (ie. You become responsible for mortgage payments on the remaining balance). On the question of traditional financing, I highly doubt traditional financing lenders would approve the seller financing the 20-30%. Think about it from the lenders perspective. If you default, the lender has no recourse / protection (the lender takes back a property with zero equity in it). Also the lender’s security is subject to you paying the seller each month because if you defaulted on the seller, the seller can foreclose and jeopardize the lender. That is not something a lender would accept. 

Hello all. Doing my first deal in Columbus and I'm in need of an attorney to draft a lease, and a few subs (electrical, plumbing, HVAC). Would anyone be able to provide any recommendations? Thank you. 

Built a portfolio of 16 properties out of state. Never saw a single one in person, and still haven’t. All were rehab deals. Key is to have someone trustworthy to provide you accurate information about the properties before pulling the trigger. For me, those were the wholesalers I bought from and my property managers . For others it may be an independent party (e.g., inspector, photographer) who can detail the condition of the properties. 

@Vik P.This is a really informative threat, thank you Vik for the information. I am in the process of setting up a CoreVest LOC. It'll be my first time using HM-type funding. Do they charge interest on the amount drawn at the time, or is interest charged the total amount that would be tapped from the LOC, regardless of whether it's been drawn or not? For example, if acquisition requires $70k to be drawn from the LOC and rehab requires $30k, and I tap in to the 70k for acquisition but haven't yet tapped into the $30k, do I get charged interest on the $30k? 

I’m curious to know what the approximate cost of replacing a drop ceiling would be. Has anyone had any experience? Area is about 12x12 feet. Thanks. 

@Matt Lefebvrethank you very much for the clarification

@Wilson Lee@Brian AdzadiThank you, and that makes sense. So in the bank's eyes, is the point of the appraisal simply to make sure that the buyer is not drastically overpaying for the property, beyond it's general market value?. E.g., if the sale price is $80k and the appraisal comes in at $60k, I'm guessing the bank would only be willing to lend at the $60k value?

If an appraisal comes in at a higher amount than the sale price, does the lender fund based on the appraised value or the sale price? E.g, sale price is $80000. Appraisal comes in at $100000. If the bank lends at 80% LTV, would it provide funding in the amount of $64000 or $80000? If the latter, is the buyer essentially getting 100% financing for the purchase? I'm not tracking the mechanics. Any clarification would be appreciated. Thanks.

@Victoria Gambardellai would highly advise against Trenton. NJ property taxes are a killer, and Trenton is generally a terrible city known for its high crime. 

@Richard Olshove voepel property mgmt has been a good experience for me