All Forum Posts by: Jonathan Bonck

@William Allen Perfectly clear. Thanks William!! I am trying to do these types of deals as well. I am trying to use private lenders, which is why I was asking. 

@William Allen I apologize for not being more specific.

Did you have the original $185K yourself or did you get it from a private investor? After reading back through your case history it sounds like you had the $185K cash saved up for yourself.

@Jonathan Twombly Thanks for responding to my inquiry. I really appreciate your feedback and insight.

I think my Private Lender would be open to any of these options. Whichever created the best Win-Win situation for the both of us. I am sure there are some really good securities lawyers here in Houston. I think my next step is to identity one and schedule a sit down to discuss some of these strategies.

@William Allen 

I apologize if I missed it in your original post. But I don't see the Online Lenders interest rate or their ROI for giving you $185K to purchase the house? Did you give them a long term share of the cash flow, equity, or depreciation? I know they would just give you $185K and a month later you give it right back with nothing for them.

Thanks! 

Hey BP!

I am wondering how you give Depreciation and Equity away in a Deal. I have a Private Lender who will lend enough for Purchase Price and Rehab of a SFH. The situation is that I will be able to keep all the Cash Flow from the deal. I will be able to keep the Found Equity. But He wants the Forced Appreciation/Equity and he wants all the Depreciation so he can write it off on his taxes. This works out great because it will allow me to acquire another buy and hold asset with exceptional cash flow without any of mine own money. I have heard of this strategy using private investors but need more help understanding the paperwork and actual process of giving the private investor the Forced Equity and/or Depreciation.

Thanks for your help! 

Hey @Mark Ferguson there is a lot of good online resources that rate handyman and you can get multiple online quotes.

Disclaimer: I am NOT affiliated with this company.

But I would suggest looking into www.thumbtack.com or www.redbeacon.com 

@Kelly B.

@Account Closed

Thank you both for the comment. I thought this would be a good way to continue buying deals while I am learning more about raising private capital. 

Hey BP

Need some help on a scenario that I am processing..... I want to take a HELOC out of my primary home to use as a DP for another investment property. The assumption is the investment property has built in equity and is cash flowing positive.

After 6 months to a year I would like to execute a cash out refi on the investment property. The new refinanced mortgage on the investment still allows a positive cash flow, 

Then I would use the pulled out refi cash to pay off the HELOC.

Has anyone done something similar or know if this strategy is possible? 

Thanks. 

Hi @Hamy Bake

I am a new investor to the Houston market as well. I been to a few networking events and even a Bigger Pockets meetup in Houston. I have only visited one investment club so far. I went last night the Houston REIA. It was informative but they were more focused on promoting the club than helping connect investors and grow each other's businesses. I might check it out again. I am going visit all of them to see which are going to be a better fit.

Others are: 

The Prosperity Real Estate Group

Real Estate Titans of Houston

The Wealth Club

RICH

Lifestyles Unlimited

Just be cautious when you go. Listen and meet everyone but be diligent if you pay for anything. I believe in investing in yourself but be selective when you do. 

Great advice! Thanks @Tom S.

 I made an offer at 80% below the value of the house. This investor is trying to unload 6 SFHs in order to upgrade to an apartment building. So he is moderately motivated. But he needs cash. I have sent him my proposal. Waiting to hear back now!