All Forum Posts by: Jeff Caravalho

@Jeff B.I have a similar situation with my SEP IRA that you have with your 401K, similar accts I guess.

Thanks for your input.

@Jeff B.Are you doing personal finances in QB or just business?  Do you have personal investments & banks automatically downloaded?  Also what version of online are you using?

@Jeff B. Great info.  Do you also track your personal expenses in QB?... or just business.  I'm using QB online right now now so I'm not sure the separating of directories applies here since it's on the cloud.   I like how QB online will automatically download numbers from my banks & financial institutions (Vanguard), then all I have to do is categorize them.  Other things too like online help & backups.  Yet if you can only set up 1 set of books, I'd have to buy another QB online alltogether ($12/mo. each).  Maybe I should use online for my personal & desktop for business, sorry thinking out loud...

Have you looked at QB online?  If so, why did you stick to the desktop version?

Hello BP,

I use Quickbooks online for my drafting business & was wondering how self-employed people set up their books for their personal finances, personal business & a rental, or two, or ten...

I was told Quickbooks online does not have the ability to setup multiple entities like the desktop version does.  My tax person is telling me I should get the desktop ver. so I can set up my drafting & my rental in the same software.  My bookkeeper is telling me I should just get another copy of Online (simple start) and separate my drafting from the rental.  But what about personal finances, aren't we talking about 3 entities?  My drafting business, my rental, and my own personal finances?  I actually like online because it automatically inputs data from banks or financial institutions, I can work on it anywhere and so can my book keeper, backup on the cluod, etc.  It seems like I'd have to have an accountant with the desktop version (lots of data input, less user freindly?).

I guess my question is how do you separate your personal books from your investment properties/ and or personal business (in mycase drafting)?

My drafting business is mostly 1099 (4 clients), I'm a sole proprietor but I do have one w-2 client, not a large operation.  Trying to keep things as simple as possible - good luck right?

Appreciate the help!

@Bob E., thanks for chiming in.  "Have you considered just buying some front end payments from an existing loan?"  Could you elaborate on this?  Maybe give an example of how this would work?  Thanks!

@Jimmy Campbell, as far as I know, the first set of numbers are the terms for the loan amounts in the second set of numbers.  Although, like @Julian Buick mentions they do appear to be a off a bit.  These are their numbers so not quite sure why.  Does the $7462.00 represent a 12% overall rate (although 12% is actually $7320.00)?  Might there be a note in 2nd position to make it to the 181K?

Any concern that this in a less than desirable neighborhood?

Do you ask for comps, and breakdown of rehab?

Thanks

Hello BP, I'm looking at doing some note investing with a local REI group broker I've been networking with. I'm a complete newbie on notes and would appreciate some advice on this. Is this a good investment for a new note investor.

It is for a buy, remodel and hold property. The rehab will be completed in 4 months time (conservatively) to be ready for Spring renters.

Their plan is to do a cash-out refi out in 12 months after the rental is seasoned (the loan is for 15 months to allow time for the loan to go through). Their first 1st refi option is a traditional lender, 2nd refi option is with an asset based lender like LendingHome.

Loan Requested:

• $61,000 for Purchase only
• 1st Position
• Interest: 9%
• Monthly Payments: $497.47
• LTV: 43% (Loan to Purchase Price)
• ARV: 24% (Loan to After Repair Value)
• Loan length 15 Months
• Total Interest Paid 1 Year: $7,462.01

• Purchase price: $141,000
• ARV: $250,000
• Down Payment: $77,537
• Rehab: $40,000 from borrower's reserves
• Total Project Cost: $181,000
• Buyer's Cost to ARV: 72%

Concern:  Property is not in a great area (lower income community)

Questions:

1.  Is interest rate 9% because broker is taking 3% commision (I'm thinking they are feeling me out here because I'm new to them).

2. LTV seems low. Is a lower LTV better for the lender or not?

Thanks for the help!

Hello BP, going to Texas!

We're about to head to Tyler to take a look at curremt investmnet  property ( and possibly future retirement  property), mainly lakefront or Lakeview on lake Palestine.  However we are open to anything if the numbers work.  We're interested in anyone's experience renting and/or flipping in the area.  Vacation rental experiences welcome too!  In fact, we'll be staying at one while we're there!  It would be great to hook up with a local agent investor to look around.  Thanks in advance, hope you're all having a great holiday.  Jeff

Thanks for your response!  Brother in law may be inheriting some land just northwest of town, so that's why were interested.

@Curt Davis, Just curious, where do they go when there is a game, hotel?  Buddy's house? Camp out tailgate?

@Julia Blythe, short & to the point, love it. Thx.

@Douglas Skipworth I would love to hear his experience there, thanks!

Hi BP,

I'm visiting relatives in Oxford MS this Christmas and am interested in the RE environment in that area.  It's a College football town of around 25,000, (Ole Miss) and I was wondering if anyone on BP has looked into Oxford or has any property there.  Maybe someone in Memphis has some insight on this.  Student rentals, alumni vacation homes (for Ole miss games), developing land.  Anybody doing this or thinking about it in this area?

Thanks for sharing...