All Forum Posts by: John Fabros

Sharing on behalf of my broker, not my listing.

Any folks have a foot on the commerical side? Looking into expanding into retail/industrial but hoping to find some folks to talk through deals with.

@Nick Macklin For loans with a single lender, it is up to 4 residential units plus a business unit per pg 3-5 in VA Lenders Handbook Chapter 3.

However in the case of a joint loan, VA Lenders Handbook Chapter 7 clearly states: 

"If a property is to be owned by two or more eligible veterans, it may consist of four family units and one business unit, plus one additional unit for each veteran participating in the ownership. Thus, two veterans may purchase or construct residential property consisting of up to six family units (the basic four units plus one unit for each of the two veterans), and one business unit."

While these are the theoretical limits, I haven't run into many real life examples that go beyond 4 units. Would to love to know about any lenders that can and have written VA loans for 4-6 residential plus business though.

EDIT: To answer the original question, should be aware that once you go over 5-units the lending landscape is very different VA considerations aside. Resale will likely be more difficult than it would be if you stuck with 4 units or less.

Thanks folks, I am in touch with both Brightway (San Marco) and A&B and both have presented realistic quotes

Have been having an issue maintaining coverage on a recently purchased duplex in 32206. First cancellation was because it is in a historic district, switched providers but have been cancelled again this time because "the gas station(being a commercial property) is within 300 ft of your property" (per agent). 

I'm not even sure what gas station is being referred to but would appreciate any referrals on insurance brokers that can get me through a year without having to switch policies.

I've been big fan of Centerbeam. They do most of their business in the urban core (32204/5/6/7) and I use them to manage 8 units

As an out-of-state investor I've been using Centerbeam as a one-stop shop. They offer numerous due diligence services, in-house agents (both for acquisition and rental) and in-house GC. They are not the cheapest property managers in town but the quality of their work has been 100% worth it from my perspective. 

Can check the exact address on FEMA flood map. If you're financing, lender probably requires you to buy if you're in zone AE or VE. If so, an elevation certification may mitigate how much it would cost. Up to you if not. My property in 32205 has not been flooded since I purchased in 2014, but your mileage may vary depending on where exactly your place is.

@Joey Hamaoui I'm in a pause right now, need another year of 1099 income to qualify for favorable financing but Jacksonville remains a more appealing investment market.

@Joey Hamaoui I did not. Particularly given the commercial financing terms I was given, the deal did not cash flow and required far more working capital than I had access to. I will probably regret not trying to be more creative in 5 years but as it was, the deal exceeded my risk tolerance.