All Forum Posts by: Josh Edwards

Hey Isaac!

I would be happy to jump on a zoom call and see what I can help you with, no charge! Investors have to stay together, and analyzing a deal correctly is one of the most important parts of investing

1) I would expand the radius and timeline (12 months instead of 6 months) of the comps your pulling until you have at least 3-5. Generally multi-family properties get lumped together via city zoning, so there should be some properties similar nearby that have sold. If you send me the address I can see what I can pull up for you as well.

2) Generally most lenders will get a rent appraisal done and unless you rehab the property into a luxury property, add bedrooms, etc. the rent appraisal likely won't be a ton different than the current rents are on the property.

3) Yes, always take the current property rents into account. The ARV is going to help you get your get your money out for the "refinance" part of the BRRR part of the strategy, but your rents might not go up at the same rate after the rehab so you want to make sure your at least close to cash-flowing off the current market rents.

I sent you a PM as well!

Hey @Kwok Wong, Are you trying to get a HELOC on your primary residence to purchase an investment property? Or are you trying to find a HELOC on your first investment property? If you're looking for a HELOC on your primary, usually local credit unions have the best rates. It's harder to find a HELOC on an investment property, but it is possible. I saw a list that someone posted on here at one point of all the lenders that do HELOCs for investment properties, I will try to find it and send to you.

Generally speaking the interest rate you decide on is going to depend on your bigger picture plan for the property. Are you going to hold it for 20+ years? Or do you plan to sell or refi and take cash out in the next few years? Rates are high right now so utilizing an ARM can be helpful to maintain cash-flow...

I would pay more attention to the questions they ask you rather than what you ask them. A good lender will take your entire plan/financial picture into account to make sure you're on the path you want. Many lenders will just try to sell you whatever you qualify for, rather than truly advising you.

Hey @Robert Medina. A DSCR loan would probably be your best bet. They're designed for this situation and as mentioned above generally have similar rates to conventional but non of the hassle of documentation. I sent you a pm with more info!

Hey Michael, there are lots of ways to get creative with this. I sent you a PM to discuss!

Investment Info:

Other commercial investment investment.

Purchase price: $640,000
Cash invested: $210,000
Sale price: $790,000

Bought a 40 acre property to start a hemp farm and then sold for a profit when our head grower broke his leg and no longer could help run the farm

What made you interested in investing in this type of deal?

I have worked in the Hemp industry since 2018

How did you finance this deal?

Hard Money

What was the outcome?

Unfortunately was forced to sell when my main partner and head grower in the project broke his leg and was no longer able to continue. We hedged our bets though and sold for a healthy profit

Lessons learned? Challenges?

Financing a Hemp farm is incredibly difficult because it's a new industry and many lenders are scared away because of the similarity to cannabis. Through that I learned no only what options are out there for people in the Hemp/Cannabis industry but also learned about all the options available for other niche property types

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes, Jaxson Landrus was my real estate agent and did an incredible job