All Forum Posts by: Jeff Kennedy

Hi Kevin. What are your plans for the Yuba City land once you buy it? I have not heard of many people wanting to buy land around here? 

Has anyone heard about any recent changes to these rules. My lender just informed me that they now cap their count at 10 per "household". They said the made this change in November of 2019. It used by very clearly tied to the person, not the household. Does anyone have any information on this?

Is that deal in the Yuba-Sutter area? I'd do that deal! It looks like you'll walk away with 30K. Not bad for 3 months in these lean (scarcity of deals) times. Looks like we are both from Yuba City. Mabey we could go to coffee or lunch and compare strategies...

I would talk to a local residential mortgage company as well as a good local bank. The options they offer will be different  but I think it will be good for you to see what is available and then be able to compare them. You will likely have a lot of options. The product you choose will depend on what you need the money for, how long before you plan on paying it back, etc. 

I have several properties with conventional financing (30 year fixed). some local bank loans (10 year term), and then also a home equity loan (for a commercial property). 

Take your time. Talk to local investors. Talk to a few banks. I think you fill find something that suits your needs.

Interesting discussion. 

Michael, are you stuck in a long term lease? Can you give 30 day notice and leave? I am always a fan of having two parties part ways when they don't see eye-to-eye. If you wish to pay rent on a day after the first, there are probably a lot of landlords that will allow that. Why would you want to put your time and energy into making your current landlord comply with your interpretation of the law? Life is short. Time is precious. Drama and conflict is undesirable. Not something I would spend my time on. 

Just my two cents...

My advice would be to find an amazing local lender who works with investors. I have heard of people removing kitchens and bathrooms from one unit (making it into a "storage room") to remove one unit from the count. This was many years ago so I'm not sure if it would still work but its worth a try. Does the county/city have the parcel as having five units on record? The appraiser and/or underwriter may catch the unit count in the county records which might ruin the deal. 

Again, talk to a really good (and local) residential lender to see if they have any ideas for temporarily reducing the unit count. Good luck!

Thank you @Kyle Jean. I did read a little bit about the HUD loans. They sound expensive and difficult. I thought I read somewhere that Fannie Mae had a 30 year fixed product for apartment buildings over $750,000. Anyone else know if this product is available?

Thank you @Lane Kawaoka. I appreciate the information. I will look into Arbor as an option. Do you have to report annually to Fannie/Freddie with performance information? Thanks again.

I currently own several SFRs and small multi-family properties (duplexes, etc.). I'm looking at buying my first apartment building (small 10 to 20 units) for about a million dollars. This will be a long term buy and hold - probably held until my death (I'm about 40 years old). I'd prefer to have a fixed rate for a long term - 30-40 years with cash flow as my main objective.

I'd like some opinions about the best loan programs out there for this type of thing. Which program would you choose and why?

The property will be in California. C to C- area. Condition of property will be fair to good.

Maybe there  a couple of good discussion forums someone can refer to?

Thank you for the help!!

I'm a local investor in Yuba City. I might be interested. I sent you a message.

Thanks.