All Forum Posts by: Frank J.

If purchase a property with cash due to seller distress/quick sale and then attempt to utilize the 203(k) loan to rehab is it considered a cash out loan if you want to end up with less money down than you paid for it? 

Ex. You buy a property for 50k with cash. Then you need to put 60k in the rehab with an ARV of 140k. Ideally one would like to end up with 22k down(20%). Will the bank allow a cash out for the 28k difference?

Hayden, congrats on El cid. I graduated from South Carolina a few years ago. I was in a similar situation to yours. The house hacking will be the most profitable thing you can do towards your bottom line. With the income covering your rent and utilities you discretionary income will be nice.  Two pieces of advice - spend that discretionary income on things that appreciate or are income producing and not things that depreciate. 

Next just buy something. So many people search so long for the greatest deal that they never buy a single property. Pull the trigger. I'm not saying blindly go forth but you will learn more owning 1 a property than researching 1000 deals.

Great information. Thanks. I'll let you know how it goes. 

John, I am a commercial investor and a commercial appraiser but I don't think i understand your question.

Franchise Pizza

I am in negotiations with for a 5 year lease. There is an additional proposal by the tenant for two 5 year options. This is typical and something we have dealt with before. I just wanted to see how others handle the renewal option. Fixed rate? FMV rate(how do you determine FMV?), CPI?

Local jurisdiction, HOA, zoning codes, or deed restrictions passed from a previous owner may have some rules/regulations but there are not any state rules governing this that I am aware of.

How much $ in reserves are typically held? Say 1 property renting for $600/month.

What about someone who has 5 properties grossing $5,000/month?

thanks for the info. I didnt know that was possible.