All Forum Posts by: James Paine

@Doug Silverman are you rehabbing the properties?  

My Opinion:

1. TK is for cash flow.

2. If there is TRUE built in appreciation you must find it on your own or with an amazing real estate agent that is a hustler! 

3. The reason you can not get "build in apprication" or "built in equity" from others is that if there was truly built in equity then they would just flip the house themselves.

4. Do not try to predict markets, the smartest investors in the world will tell you they don't know what is going to happen tomorrow.

5. If you buy from a TK provider make them show you that they own and have owned properties in the same market. 

6. If you buy from a TK provider and they are going to make more than like $10k make sure they did a big rehab on the property.  I see a lot of TK providers that do tiny rehabs and make $40k.  I buy TK properties and don't mind if the TK provider makes money but they better have bought the home at a great value, rehabbed the heck out of it, and placed it with a great tenant. 

7. Good luck! 

I think it is doable if you are going to buy it and put some sweat equity in. The "2nd" behind the first lender would probably need to be friend or family. If they co-sign they can put up the downpayment without breaking any rules. I'd recommend that over going with HML.