All Forum Posts by: Jack K.

Good to know. I've made initial contact with a small community bank and explained my strategy at a high level (no detail on property price). They've asked for my financials which I am in process of putting together. I'd like to go the commercial route if at all possible to avoid the Fanny/Freddy limit on the number of mortgages allowed. I feel that I have a good strategy mapped out (in theory at least) but I guess it's just a matter of getting out and talking to lenders to find out whether its feasible. Thanks for the feedback!

I'm considering a strategy that would utilize a line of credit (say $75k) to purchase properties in the $30k-$75k range. Once purchased, I would utilize the LOC to update the property and then advertise for rental. Once rented, I would get a commercial mortgage on the property and pay off the LOC. And then repeat the process over again. And again:-). My question is what discount I can (generally) expect to get by making a cash purchase? I've heard 15-20% off list but I would like to validate those figures with the BP community. Thoughts?