All Forum Posts by: James D'Amico

@Jay Hurst Thats great information Jay, I appreciate it! This family member offered me incredible terms out of the kindness of their hearts, yet, I relayed to them that I'd like to treat it just like a bank finance. In no way, shape or form do I want to take advantage of the process or their ability. I'd have an attorney draw up a deal and would abide by it just like a bank. Just curious if others have done something similar to get into a deal without stable W2 income at the moment and the steps they had taken.

@Justin Hammerle & @Jerry Padilla

Hey @Justin Hammerle, why do something sensible like that!! I'm kidding, although, I did receive a job offer today, i was just curious of peoples experiences with skipping the bank and using a family loan that'd benefit both parties involved. The only downside i'm really seeing is two closings, aside from potentially ruining family relations! We happen to both trust each other greatly.

Thanks for the response @Jerry Padilla! The gap in employment shouldn't be greater than a 3-4 months, prior to that, theres been a solid and consecutive work history for 15+ years. I do plan on occupying the property for perhaps up to a year, then renting it out short/long term. I did receive receive a job offer today that heads into the same field, although a drastic pay cut (from 100k to possibly 35-50k due to location - pizza ain't that big in Tennessee lol). Therefore, i'm left wondering if I should devise terms with a family member that'd give them a decent return on their money, allow me to get in for a low down payment and a reasonable interest rate and afford me the time to look for a job, perhaps in a different field, that i'd enjoy more.... like real estate investing.

@Reid Chauvin Appreciate the response Reid. Thats kind of the idea of what I'm facing, I suppose I'd just really need to nail the due diligence part to ensure that it appraises appropriately. I do plan on occupying the property during renovations and until I’m settled in.

Hello, I’m having trouble wrapping my head around a creative way to borrow money and refinance to pay that person back.

Back story is, I’ve done the unthinkable and relocated with no housing or employment lined up, however, I have a very strong work history. I’m looking to purchase a home, ultimately an investment property, prior to finding employment, making traditional financing unobtainable.

I have about 90k is cash reserves and approached a family member with the idea of loaning out some cash (around 100k) to earn interest, for me to buy a property outright. I’d supply them with a down payment and a reasonable interest rate allowing me to keep a certain amount in reserves. Looking around the 150k property range.

After closing and settling down, immediately finding a job for w2 income, updating/repairing said property, I’d look to refinance to pay back the original 100k family loan and get into a 30 year conventional.

I’m having a hard time creating the necessary steps, if this is even feasible or logical. Wondering if anyone has been through something similar that can lay it out simply for me.

Thank you in advance!

Thank you @Mo Karim Abe @Reid Chauvin. I tend to agree, I’d love to rent for a short while as I find work and keep a large portion of that money readily available. The selfish part of me just also wants a single family that needs some cosmetics  for me and the dog to have some privacy, then move out and rent it. I appreciate your input!

Thanks for the reply @Nick Velez! My main goal I'd like to accomplish is exactly that, to find an investment property before my move down that can be owner occupied. I'd like to connect with a lender that can begin the approval process and give me sound advice as to which loan package may be best fit for my needs. Should I research into nationwide lenders or try to stay local to Tennessee?

@Manuel Salce Thanks for the reply! I was pre-approved for a 5% conventional loan (up to 500k for a multi or sfh) up here and was under contract on a few properties, yet, inspections derailed those and looks to be a blessing in disguise. Thats why I'm curious if there was a way to utilize my income currently to lock up a mortgage, yet, out of state. Then, move down with plenty in reserve, find a job and have a home/investment property already in place. Locking up a job at the moment doesn't seem feasible as I'd be looking at a career change and have uncertainty of when I'd be arriving to Tennessee. Seems like the only way would be to utilize an investment loan, yet, perhaps someone has a creative strategy that would accommodate something closer to the 5% conventional loan. Again, thank you for your imput!

Hello, I've been viewing the forums for a long time now and have come to a point where I can use some sound advice.  In a couple months, i'll be leaving my 100k/yr job (restaurant management) in CT and relocating to Tennessee (Eastern - Looking at Dandrige area).  I recently sold my home (5 year live-in flip) for a 100k net profit, am single with a dog and really just want to start fresh in an area that I feel i can more closely relate too.

My main question would be, should i look into buying something as an investment property (20-ish percent down) while i still have w2 income up here or would it be more financially responsible to head on down and rent for up to a year while i situate my work/living life, then apply for a owner occupied / FHA loan to save some capital.

I'm not too afraid of finding a job, whether it be with a local contractor, a similar restaurant gig or really anything w2 related, as i have a solid work ethic and am not picky. Ideally i would be looking for a small multi family (2-4 unit) or a SFH that i can put some sweat equity into and hold for the long term.

I will be heading down September 5th-9th to take a small tour of the areas that I believe I'm interested in. I would love to connect with some people (investor friendly realtors/brokers) on the ground that have a good idea of the eastern areas.

I realize what I'm doing probably isn't the most popular path, but it's come at a time in life where its sink or swim and I absolutely love swimming.

Thank you in advance,

James D'Amico