All Forum Posts by: James Pignataro

Are there any members in the Worcester/Western Ma area that have completed a successful 1031 exchange?  I am thinking of exchanging one of my properties but I am unsure how this works in actual practice.  I am very familiar with the steps to take however it seems like there are things that can throw the process off.  

Thanks for letting me know Peggy!  How often are the meet ups for this group? 

Thank you Mike, that’s what I was thinking with the cash out refinance, it’s clean, the loan is closed and you get the cash.

I am trying to decide on the best way to leverage the equity that I have in my two family home.  The two options are cash out refinance and commercial line of credit.  The cash out refinance will be more expense to complete because it will be a full set of closing costs associated with the new loan.  The benefit I see to the cash out refi is you simply have all your equity or however much you choose (up to the lenders limit) as cash in the bank, and it seems cleaner from a transactional perspective.  

The commercial line of credit seems like a great product as well to pull on when you need it however to fund a whole down payment of say 75K there are significant interest costs associated with it.  And when the interest only payments kick in after the first month what is the best plan to pay down the actual principle balance?  Does anyone have experience with either of these products in the Worcester, Ma market?  I would be interested to hear your thoughts and recommendations. 

I am looking to meet with some Hartford CT area investors, I work in Windsor and I am looking to learn about the area.  I have property in Worcester Ma which is where I grew up and have a great deal of knowledge about that area.  I want to learn about more about the Hartford area and surrounding cities. I am looking forward to connecting with some local investors.

I currently live in Worcester Ma and own a two family home.  I will be moving to Longmeadow next year and I am trying to research the best rental areas in western Ma.  I know how many hospitals there are in Springfield and I am wondering if there are any crops of Multi families in Chicopee or another close area.  Where do all the nurses and hospital workers like to live outside of Springfield?  Your thoughts are appreciated.

Are there any appraisers out there?  I am looking for a ballpark estimate on how significant new vinyl windows will affect the value of the home?  I am replacing all windows due to the current ones being old and out dated and am curious how it will affect my appraised value.  Thanks!

Thanks to all that have responded so far, awesome information. Once the IRA/401K has been setup and becomes the sole member of the LLC, are the mortgage requirements for down payment rules subject to commercial lending due to the fact property will be purchased through a Company and not an individual? I am looking to run numbers and want to make sure my down payment percentages are accurate, I believe in Mass it is 20% (individual purchasing) 25% (commercial lending) for a down payment. Also are you aware of any other potential commercial versus personal lending differences that can effect ROI such as higher interest rates etc. that will come into play through an LLC?

Hello Bigger Pockets,

I have a significant amount of capital in a retirement account and not enough capital in the bank to purchase my next investment property. Does anyone have experience with a self-directed IRA in Massachusetts? I have been researching and it seems odd that the firms that offer these products are not "big players" or "well known" firms (none that I have heard of at least). Any advice, pro's and cons, or personal experience is welcome. I enjoy investing in real estate rather than the stock market because I know that I hold a tangible asset with less risk, I don't want to increase my investment risk by moving money into a self-directed IRA with a firm that I have never heard of.

@Enis Shehu