All Forum Posts by: Jonathan S.

 Maybe but the primary factor is the borrower's ability to pay the loan and the fact a Lending Institution isnt a person with the forward insight/desire to resell a foreclosure for profit. 

A property is worth what what someone is willing to pay. This appraisal factor is fubar imo; should be based on a range not a set price. 

Hi All,

Purchased a Duplex 2/2 for 160k a year ago; had to separate all utilities and upgrade oil to gas. Put in about 30k all said and done. Owner occupied.

Rent is pulling in 1250 a month. Mortgage 1140. Nice deal. So after going on Zillow I find out my property is now worth 205k. I qualify for 100 cash out refi but we just go the appraisal back at 160k. Sick joke or what. Granted the area's SFH sales are on the lower end and there aren't any Duplxes in our category that fairly compares. Duplexes 5 min away in other town/school district are going for mid200s-low300s. Unsure if I can argue that aspect.

The report listed various SFH comps and some real crappy Duplexes. Highest comp down the street is 199k for a 3/2. Appraiser basically is factoring a 40k price tag to each bathroom. He also wrote a diatribe about how the financial markets are weak and economy hasn't fully recovered, people have high CC bills etc. I mean wth is with that nonsense.

Thoughts/options?

Hi All,

Need some advice, bought a owner occupant duplex for 160k; put near 25k into it. Terms: 30yr 3.5%, 0 down(VA loan), rent covers mortgage. I have the option for a 100% cash out refi at 3.375% locked in today. Zillow est value at 215k/Redfin at 205k. Mortgage would go up about 200 per month. Purpose would be to payoff CCs and help save up for a SFH rental.

Maybe should wait to get more equity out? Hate the idea of deeper debt but cheap money imo. Thoughts?

Thanks Roger. 

The larger unit buildings are def awesome but I'm just a lowly pleasant type and require financing(15-20% down for a large purchase would be nearly impossible). I qualify for a VA loan but that can only max out at 5units.

Sound advice for sure. I'd like to purchase two properties per year in an ideal world. Is it possible to pull out credit on current appraisal values? I agree w doing the owner/occupant route another time; perhaps a triplex though.

Just to add, no reserves due to unexpected expenses on SFH repairs ...

Hi All,

Scenario:

Duplex(owner occupant)- Purchased 160k, put 20k into it and current value is around 205k. Tenant covers mortgage.

SFH- Foreclosure purchase at 95k w 15% down. Mortgage is 1k and renting it out for 1650 after putting 20k in it. House acouple doors down sold for 165k.

Any advice on next steps to keep the train moving?

Thanks,

Jon