All Forum Posts by: Jaysen Medhurst

You can search the public records or pay for a list from a service, @William Baptist

@Daniel Tisdale, What's the property worth? What do you owe on it? What's the cash flow after accounting for all expenses?

@Stephanie Medrano, you'll have to shop around to different lenders. They will have different underwriting standards. Try and stick with portfolio lenders, if possible, since they don't have to conform to Fannie/Freddie guidelines. Focus on other CUs, local and regional banks.

When my wife and I bought our coop in Greenwich 4 years ago, we only put down ~11%. We used a national bank, for what it's worth.

Yeah, $250k ain't gonna fly in Greenwich, @Arthur Sorochkin. I think CT is a great market. If you look further out East or in Central CT, you may find some good options.

@Jill Jay, already some good advice in this thread. A couple of things to think about:

1. If you've offered $300k on a MFR "worth" $289k, you may not appraise. Be prepared for that. It means another $11k you'll have to bring to the table.
2. In order to BRRRR, the value needs to hit ~$340k before you can pull out your capital for another deal. It's unlikely you can add much value, so you're dependent on appreciation, which is risky.
3. If you have 10% to put down, why are you using a FHA mortgage? This is the "loan of last resort" and should be avoided if at all possible. Assuming your credit and DTI are okay, you should be able to qualify for a low-down payment conventional mortgage. This will avoid up-front PMI and monthly PMI will drop when you hit LTC of ~80%. Unlike a FHA, which will have monthly PMI for 11 years (never drops if <10% down). It's not too late to shop around.

What do the numbers look like?

@Beau M., if you already have central hydronic heating and plan to keep that, the best way to add A/C is with mini-splits.

If you're already doing a lot of rehab and updating the electrical, it may be worth considering mini-splits for both heating and cooling. This will require making sure that you air seal and insulate well. The advantage is that it gets heating off your balance sheet and avoids the extra cost of the new boiler.

As far as water heater, if it's central, I would seriously consider a heat-pump model. Their operating costs are very, very low. Not appropriate for all situations, but definitely worth considering.

Unless you have a lot of other assets to protect, @Devin Gillespie, it's probably not worth the hassle. Also be aware that if you have other businesses in that LLC, you are putting them at risk.

@Alice Chau, passive losses can't offset active gains if you're over $150k. There's an exception if you or your spouse is a RE professional. The good news is that you never lose that depreciation, so you can use it in future years or agains CG when you sell.

@Marcus Tam, once you build up the equity for a bit, you can use a HELOC to go after your next deal. This can be effective in a quickly appreciating market. Other than that, if you're buying at FMV, there's no other way to leverage the property.

@Julie Williams, that was a property I was considering in North Adams, MA several years ago. The $100/sqft took into account that it had already been demoed to the studs.