All Forum Posts by: Jim Owens

I found a townhouse that is in a great rental area in Las vegas where I live. Based on comps the property value is between 45-60k. I can pick up this property for about 30k but i need some help finding the financing. I recently bought a home for my family and I have a slightly high dti between that and cc's. I am currently working on paying down the cc's and the vehicle but it will probably take about 6 more months. Is there a way to get financing on this property through a hml? There are two of these properties available and i would like help to figure out how to acquire these with little money as possible down. One is a shortsale and other is not. Thanks in advance for any advice.

I have a new scenario that the seller/ hard money lender is offering. purchase price of 80k with payment of 800 monthly. 1st loan he is holding for 40k and he has another lender that will lend the second loan of 40k. So in a nutshell i will buy the condo for 80k but receive 40k for future deals. Will this help with the future appriasal issue for refinance in the future? I understand that i will be losing about 400 monthly but with the additional 40k i can pay off several credit cards which are a higher interest rate and then have about 20k left over to do another deal down the road. also he said he will do the loan completely in my new corporations name with no attachment to my social to avoid using my personal credit. What are your thoughts
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Okay. The main objective here is get my first deal done and I am learning a lot here. I want to be able to use the first deal to help me break in to the real estate investing world. I have a little bit of money to invest and i am trying to make it stretch. Would i be better off to do this purchase as explained through a hml and then sell it by offering owner financing with say 15-20% down. This way i can free up some of the equity out of the property and eliminate some expenses due to the new owner being responsible for some of them?
What if i offer seller financing for say 12 months with 20% down and no qualify to prospect buyers? Will the new seller be responsible to pull a new appraisal or will they wait to refinance in 12 months? i know this is speculative but will i be able to get a purchase price closer to my asking price with creative seller financing? Theoretically, If the new buyer doesnt make the payments than i can foreclose, keep the down payment, and resell the property again right?

A new appraisal and proof of other comps at a higher rate dont influence the bank on what to loan? I understand 35k would be 350 per month and i alloted another 300 for insurance, taxes, and mgmt cost with a rent of 1150 which i thought would net 500 per month. What else am i missing to need a rent of 1700 to make 500? This would mean there is 1350 in expense on top of the mortgage. Also, you said no rehab cost is bad. Would it be easier to start with a rehab property? How does the bank look at the rehab cost for the new value?

Thanks for the quick reply Jon. There shouldnt really be any rehab cost since the property is currently rented with positive cash flow of 500 after paying the hml. Even a rate and term refi would be beneficial to get better terms than the hml and needs to be done in 12 months or less. 10k cashout would be perfect because that is what this deal is costing and there are several more in the neighborhood that i would be interested in. Also is there a way to refi into a corporation or llc or transfer title into one of those? Im not sure what the normal process is for buying rental property.

Hi there.

Did you ever get a response on this topic. I am looking at starting to invest with my personal info as well and would like to turn it over to a corporation or llc.

Thanks
Jim

I am purchasing a small condo for 35k and it is worth about 70-75k. I am using hard money to purchase this condo and the hard money loan is good for one year. I would like to know if there is a way to refi the property with traditional financing within that year period to lower monthly cost. Also is there any way to pull out cash through a refi up to 70% to purchase a second property? I have been told that this is possible but having trouble finding a lender. I am in las vegas,nv. Thanks for any help.