All Forum Posts by: Jon Deavers

@Lynn Smith

Hi Lynn,

Welcome to BP! You're in a great spot to learn at BP and a great spot to invest in Richmond. Feel free to reach out if you need anything!

Most HML's collateralize the house you're purchasing. They may give you a secured loan against the one you have but it may be more productive to bring them the specifics of a deal on another property and have that property secure the hard money loan. If done right you could rent your existing SFH for enough to cover the holding costs until you meet your exit goal for the new project. Regardless, HML's should typically be utilized for short term projects ~6 months since you're typically structured as interest only so take that into account.

Also, some banks will take 6 contiguous months of rental income as proof of income for a cash-out refi. You could rent your existing free and clear prop for 6 months and then use that income to qualify for a cash out refi at 30 years fixed.

Good luck! You've got lots of options!

@Fredrik Lundström Welcome to the site and early welcome to Richmond!

Feel free to reach out and we can coordinate a time during your visit for a driving tour of the city. I love to show off our town and everything going on here. It's a really exciting time to be here and I know you'll love it.

Best of luck with the move and your investing career!

@Oye Alle 

Hello from down I95 a ways! To answer your question, it's all relative and depends on your goals and means. I don't have Fredericksburg MLS access so I'm not familiar with what's listed there. However, down here in Richmond it's very possible to find cash-flowing single family properties in multiple parts of the metro area. Fix and flip deals are a little tougher to find on MLS as that market's really heated up. I do know that Fburg commands significantly higher rents for similar property to what's available down here so it naturally correlates with the higher purchase prices there.

I would suggest getting involved with a local REIA. There's bound to be one in the Spotsylvania, Fredericksburg, Stafford area. Our monthly meeting here in Richmond usually has a "deal-maker" session attached and you can often find off-market deals presented there that aren't on the MLS. Be cautious though, just because it's off-market and not listed formally doesn't always mean it's a better deal.

So dig in on the BP forums regarding deal analysis, listen to the podcasts, and figure out what your goals are and the numbers will start to present themselves. Good luck!

@Juan Huitrado 

Try checking out the BP podcasts. They cover almost every way to enter the business and have guests who share how they did it. Should be very inspirational. Good luck!

@Phillip Schaeffer 

Are you or the seller working with a Realtor? If so they should be able to provide the local contract template and the short sale addenda. Has the short sale offer been approved by the lender?

@Will Johnston 

Hi Will,

I took my pre-license classes with Moseley Flint in Richmond and they had a great test prep software that could be purchased online. I think it is a stand-alone purchase but you may want to double check on their site: https://www.moseleyflint.com/

Good luck!

Welcome @Derrell Hall to the site and to the River City! Congrats on your deal and I hope to see you at the REIA sometime.

Hey @Kenneth Bossard 

Welcome to the site. Give me a shout sometime and we can compare markets. I'm always looking for investor-minded colleagues to send referrals to.

Hi @Account Closed 

Richmond is an awesome town and is evolving daily. I would make sure to touch base with local folks to get a feel for individual neighborhoods though as this is a relatively small city and "good deals" can be fleeting depending not just on the neighborhood, but on a block-to-block basis. Lot's of micro-economic factors apply. Give me a shout or send me a PM and I'd be happy to give you an overview of the situation here. Take care!