All Forum Posts by: Jonathan Alexander

@Christopher Brainard @Rob Beland

Putting 25 percent down.  My end goal is to hold these and have them paid off and use the monthly income as means of living so I'm trying to avoid partners.  But whats the difference if the equity ownership?  If I had a co owner and we sold the house and split the profits based on ownership percentage we'd be paying off the debt first and then be left with the equity to split by ownership percentage. The houses I'm looking at would be considered A neighborhoods so the quality of tenants and upkeep isn't as risky.  I don't really see that much of a risk especially since they have no "skin" in it - only their name on the note - when you add to that they're only having their name on the note for 2 years or less and theyre getting 7k for it I thought it sounded like a good deal - but maybe not thus why I posted.

As for my getting an additional mortgage my DTI isn't good enough with my current job. I've got 780 credit.

You guys have any other suggestions to try and get an additional house?

Thanks for all the feedback.

the ownership would be on the equity. So if for some reason it took longer than 2 years to refinance and we paid down down the note so we owed 125k and the house was appraised at 200k then we'd have 75k in equity and they'd get $3750 for ownership purposes plus whatever the monthly 10 percent of rent came out to. Make sense? @Rob Beland

I have my own house and one rental property.  I can't qualify to get another mortgage on my own so I need a cosigner.  Problem is none of my family is in a position to help.  Here's what I was thinking as an incentive to get someone else to cosign:

Cosigner puts nothing down but signs the note.  They get 10 percent of monthly rental income until we refi and get their name off the note.  Additionally they'll get 3 - 5 % ownership based on their credit with the understanding that when we refinance and get them off the note we will also buy them out at that time.  

So basically on a 200k house that rents for $2000 at 5% ownership taking 24 months to refi they'd make $7300 or more:

$4800 (10% of 24 months at $200/mo) PLUS 

$2500 and some change (ownership buyout with a 25% down payment on 200k house assuming no appreciation leaves roughly 50k equity $50k at 5% = $2500).

Thoughts? or any other suggestions

Yes 2 years would be the plan. I think after having the income from the property on my tax return for two years id be able to refi without the co-signer on the loan. 

I've got a cash investor willing to put up money for a down payment of 20-25 percent or more but doesn't want to put his name on a note. My debt to income ratio isn't good enough to to get me qualified for an additional rental property (I already have one property).  

From what I've been told my only recourse to get an additional mortgage is to get a co-signer. If I were to get one and all they'd do is sign the note with me, what would be fair compensation for them. My ide would be to refinance them off the note asap. Any feedback would be great. Thanks. 

@Mike Henkel - how did you get your real estate license in only 8 days?  Does anyone have a recommended way to go about getting their license in a timely and cost efficient way?