All Forum Posts by: James Dugan

Hey BP folks,

I am looking for a hard money lender that can work with somebody with an H-1B and can do 15% deposit and 100% funding of rehab? I own a number of properties, and have experience working with hard money.

Please DM me if this is something that anybody can help with or refer?

Thanks,

James

Hey Matt and Denver,

Thanks for this - the risk / reward perhaps isn’t there in Fort Worth for me to convert to PadSplit just yet. I’d rather focus on my Dallas properties for PadSplit without having to worry about running afoul of the city.

Thanks,

James

Hey BP folks,

I currently have a duplex in Fort Worth (TX) that has 3 bed / 3 bath on each side with ample parking (corner lot). I’m giving serious consideration to converting into a PadSplit.

However, I have heard that Fort Worth (the city, Tarrant County, the faceless boogey man…) has issues with PadSplit whereas Dallas County is supportive.

I would love to hear about your experiences between the two markets and if Fort Worth can be viable for PadSplit and anything I should be mindful of?

Thanks,

James

Hey John,

Do you work with these loan products or know which lenders your Texas-based investors are working with?

James

Correct, the idea would be to owner-occupy one of the units (I’m looking at 2-4 unit options). The biggest challenge seems to be finding lenders that offer these loan products which is where I’m looking for help from the community with recommended lenders that serve Texas.

The Fannie Mae (or Freddie Mac) options are preferred over FHA purely because of the (perhaps perceived) limit on renovation funds that the FHA option provides. My presumption is that if a lender offers the FHA option, they'll also offer Fannie / Freddie.

Recommended lenders, anyone?

James

A couple of thoughts that might help.

I recast a loan at a point where I had paid enough extra to allow recast (I think it was $5k over). My strategy (at the time) was to aggressively pay down my mortgage, and the recast allowed me to reduce the monthly committed amount. I continued paying what I had paid before, with the additional money purely going to principal.

The recast to a lower amount was purely to reduce my committed monthly payment to a point that I could get my property to cash flow if I had to move out (job loss, etc). So it was managing a risk rather than for profit.

I’ll defer to others on mortgage paydown versus investing, other than to say that you may want to consider how far towards your next house / investment property deposit you are with the money instead of recast / investing.

James 

Hey folks,

Posting here because I couldn't find a recent (past two year) answer about using Fannie Mae / FHA 203k etc loans for a house hack in DFW. Apologies if I missed prior posts asking the same thing

I want to take advantage of the low down payment requirement however need to find a lender supporting this loan type.

Can you please provide any recommended lenders for Homestyle loans (or even 203k) that serve DFW? 

Thanks,

James 

 Thanks for this, @Jay Hurst!

I ain’t no lawyer (except on the Internet), so will possibly have to resort to checking with the lender (BoA) to confirm as I didn’t see anything in the contract that suggested that it closes if I’m no longer resident.

James

Hi folks,

Long time lurker, first time poster!

I have a HELOC on my Texas primary residence and am considering a house hack for my next purchase. However as Texas only allows a HELOC on your Primary Residence, I don't want to lose this facility if I move to a new place (and I want to comply with the rules!).

Does anyone know if there is any flexibility here, including if I can keep the HELOC if I have had it for 12 months (so stayed in the Primary Residence for a year after the HELOC started)?

Thanks,

James