All Forum Posts by: Jacob Trogan

If you see yourself trying to scale quickly I see a lot of advantages to starting from the get go in an LLC if you want to take your time more than stick with a loan in your personal name

I am a little frustrated here but I wanted to get advice on how any of you may overcome DTI limitations when applying for loans or HELOC/LOC?

I applied for a HELOC and the equity is there and my credit is 750+ but the banks look at DTI also - I should have known this since I saw it with many investors I spoke to as a traditional lender. This is why I moved into hard money but basically I have a small base salary that I specifically negotiated to qualify for stuff like this but the bank qualifies you based on if you max out the LOC which if I did it would put me at 50% DTI or so with just my mortgage and HELOC. I can afford this easily since my mortgage is well below my means taking into account commission and other incomes that also do not have 2 years of history but my problem is just that I do not have two years of history. I understand due to working in Hard Money I can put debts into an LLC but my primary residence is in my personal name. Also something to note I have more liquid assets I can show than the LOC I am asking for... kind of frustrating...

Anyways would I be able to move this primary into an LLC? So the mortgage would not be looked at as my personal debt, I am guessing not... Or do any of you know of banks who would look at this situation more comprehensively... I applied with 5 banks/credit unions or so just to compare my options and have gotten denied by 3. Since it is due to DTI problems I believe the same fate will happen with the other 2.

As for the title. I love w2 income and it is a tool to qualify for the best loans from Fannie/Freddie but being limited to it and sticking to that method seems to put people in a very narrow mindset of following what lenders tell them. They think there is no way to overcome qualifying for loans without 2 years of work history, high DTI, blah blah blah I have already seen most of my preconceived notions of who can qualify for loans blown out of the water. Don't ask if you can qualify ask who will qualify me. People are competing for your business to lend you money is the great realization I have had as a lender. So with that in mind I am open to some insight. I am still learning many much things.

 Sorry did not see this, shoot me over a message - all I can say is if it cash flows very conservatively now it will do better in the future and help you learn, if you want to talk numbers which is what I do I need more details

@Terek Henley Looks like you got 3 realtors offering to help, I personally know @Cody Petersen and he is great - feel free to reach out to me I am a lender so now you got 2/4 - for the contractors the area you plan on buying in will effect who you want to use

A strategy I heard worked was making a post with various prices and vetting the response rate, only if advertising something you don't have seems ethical to you, if not those methods mentioned above are more than enough

From most OOS investors I am speaking to this is where most of the attention is, so be prepared for competition - seems that this forum was revived from the dead but to answer the original question with a few practices you can manage the air-bnb yourself to get higher occupancy, I would recommend educating yourself on tricks for the platform those will make the biggest difference - definitely helps having someone take care of your air-bnb account and for completely hands off investing do that but just previewing/welcoming who comes in can be done remotely in a professional manner I have seen it done in multiple states. From who I have spoken to you can just have a property management company similar to a long term rental do the job. You will want a good relationship with a cleaner

Go for it you will figure out the details you need along the way. You can never prepare fully and you will always be able to do it better, I would recommend buying your primary as a live in flip or house hack first, it is hard to mess up if you approach the purchase with just a few calculators and make sure you have some equity starting off by buying it at a discount. YOU CAN DO IT

On a traditional loans your credits cannot go towards your down payment to a degree usually just count on putting the minimum down on a loan as a down payment and negotiating other costs as a credit. This should not differ between states since it is a federal regulation put in place by fannie and freddie. I did not cover all of the details so forgive my lack of depth in this response.

I'm all ears to this one, all I can recommend his have a page separate from your personal profile

So which is it? I would guess #1