All Forum Posts by: James Perdomo

@Nick Louie lol being from the bronx and reading this, is pretty funny. Yeah most areas seem pretty bad and lots of stuff happen, but you’ll be fine. I’ve lived here most of my life and about to buy a multi here as well. Fordham area is extremely dense, higher in crime, and ridden with stuff you dont see everyday. Every street is different and the tenant base varies by the area as well. Because it is unlikely that you will cash flow for a while, you need to buy something under market value and appreciation will catch up in a few years. Happy to discuss any areas if you want as well. Good luck

@Rich Vogel

Have you met @Dave Lin? Im sure he can help!

@Michael Vazquez I went to Baruch college and they have a real estate major there. Would be great for him to build a foundation and network. I always recommend college because it builds character and the people you can meet has much more value then the actual educational aspect. Even though i have a degree, I dont think college is the answer. You must make the most of the opportunity. Hope this helps.

@Kristina Tea try connecting with people who work for companies who have a need for warehouses on linkedin. Eventually someone can point you to the right direction. Would a gym be allowed to operate there? I would look at all possible uses and tackle my network to find out who they know.

@Susan Carman i have someone. Feel free to PM me

My LOC floating rate since summertime last year has fluctuated from 5.75% to 4.25% annually on the amount I've used. But as i mentioned, both have their benefits and using them appropriately will inevitably lead to wealth!

Jimmy, 

I assume the it varies per institution how repayment works. As mentioned, the product i am currently using is a short term LOC and is evaluated every year by the lender. A HELOC on a personal residence would be completely different. I would schedule a free consultation with a local bank who can provide more clarity. It took me calling about 30 different banks that offered what i was looking for.

HELOC will usually have a floating rate which fluctuates, while a refi you can lock in a very low interest rate for a long term. There is a period with some HELOC's that give you say 5 years to pull from the draw, then makes you repay what you used in those years. I personally haven't done a refi and have only utilized business LOC secured by a rental that i bought all cash. Both have their benefits and it depends on your factors which would be best. Hope this helps!

@Madison Heck i would do a HELOC as you wont have to pay it back when its unused. It wont affect your cashflow if you dont use it during your search for a new prop. If you cash out you will have the monthly obligation and will affect your bottom line whether you use the money or not. I personally like LOC's more than cashing out.

Investment Info:

Single-family residence fix & flip investment in Forks Township.

Purchase price: $225,000
Cash invested: $5,500

Contributors:
Eury Vargas

After sending 2000 pieces of printed letters to older homeowners potentially affected to the pandemic, we found a seller who was remodeling his parents home to put on the market.

How did you find this deal and how did you negotiate it?

Direct mail

How did you finance this deal?

Raised capital for closing costs and got 85% LTV from a hard money lender

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

We used Express Capital Financing in Brooklyn, who was able to get the job done for the best terms after relentlessly shopping with other lenders.