All Forum Posts by: Josh Stack

Hi @JOHN DALEY,

You are right, the CAFR is not uniformly available and is town specific.  I'm not sure if county governments also issue CAFRs - a quick google search indicates they do.

Specifically on the suburbs point - For instance, when I wanted to make a deeper analysis of Kings Mountain, NC, I could not find a proper CAFR issued by the city.  The reporting I did find had some of the data I was looking for but was somewhat lacking.  As you go into small towns reliable, up to date data will be increasingly difficult to come by.  I think that's where local knowledge simply has to come in and you'll need to leverage people who actually  know the area to supplement the research you can do on your own.

A data source I have used generally in my research is Data USA.

Comparison of Brevard and Cullowhee - https://datausa.io/profile/geo/brevard-nc/?compare...

Brevard - https://datausa.io/profile/geo/brevard-nc/

Cullowhee - https://datausa.io/profile/geo/cullowhee-nc/

You can read more about Data USA's data sources here: https://datausa.io/about/datasets/

I also like to use City Data as a supplementary data source.  

@Chris Martin linked to this site a few weeks back which I have also found helpful in researching NC areas on the labor market side of things. http://d4.nccommerce.com/Default.aspx

Hey @JOHN DALEY,

Lots of good stuff in this thread already and it seems you are on the right track. 

Let me link you however to this blog post which gives a very specific method of analysis and also a forum thread I started based on my own analysis of the market I’m in which is about 2 hours from you. 

https://www.biggerpockets.com/renewsblog/2015/05/10/invest-out-of-state-how-to-analyze-a-city/

https://www.biggerpockets.com/forums/575/topics/500175-a-hall-analysis-of-gastonia-as-a-market-for-buy-and-hold-rentals

I personally am a fan of these smaller outplaying markets from large and medium cities. You may not get the appreciation others will see but in the long run they feel like a solid, stable investment if the underlying fundamentals and economics are right. 

Good morning,

Has anyone worked with Atlas Financial LLC and Jeremy Richardson? Has anyone obtained loans from them and how did that work out?

https://www.biggerpockets.com/users/elh505

https://www.biggerpockets.com/co/atlas-financial

Atlas Financial
www.atlasfinancialllc.com

Hey Everyone, thanks for the input.

@Mindy Jensen, linking to that scam article is the most helpful advice, thanks for that.  It would be good if that post were more discoverable.

Hi @Bob Razler,

Good advice. I'm just starting out so getting to know the right order of doing things as I go.  I'm located remotely so networking face to face is not an option at this stage unfortunately.

Good Morning,

What are the ways to vet a private lender?  I put a posting in the marketplace and have had a number of private lenders contact me.  Some have more information available online than others and I'm wondering in what ways can I authenticate or vet a private lender.

One who approached me via email has scant information available online but quickly offered to fund my deal at what I thought was a very low interest rate. Something about it feels too good to be true.

Any thoughts on how to do background on a private lender?

Hi,

I have two deals for which I am currently seeking funding.  Both have good fundamentals underlying the purchase and will cashflow nicely.

Deal 1 - I can purchase 2x single family rentals for 90k total.  Both currently rent fo $900/month but the rental upside is $1050-1100 once we turn the tenants over.  I'm seeking private money to fund this deal with a reasonable interest rate and a long amortization.  A balloon payment after 3 to 5 years is OK.

Deal 2 - I am under contract to purchase a 7 unit multifamily spread across 1 acre for 150k.  Three of the units are rentable and will bring in $1600-1700/month.  The other four one bedroom cottages need complete gut rehabs and this is where the real value is created in the deal.  After all units are rehabbed and rented, the whole property should have revenue of $3300-3800/month.  I'm seeking private money to fund the purchase of these properties and also fund the rehab.  A refinance at the end would be ideal once the property is stabilized.  We are hoping to commence work in January after closing on the property in December.

We are open to all reputable solicitations for funding of these deals.  Offers should be reasonable and in line with the market.

Thanks!

Hey @Rob Beardsley,

The two deals I have in hand now are as follows:

- 2x single family residences, purchase price is 90k for both

-1x unique multifamily property (has 7 units - 1x 2bdrm and 6x 1bdrm cottages)

For the 2x single family deal, I'm being told by some the loan amount is too small or the houses don't meet their minimum value criteria - despite the houses being in good shape with stable tenants in each and an upside on the rent once I own them.  They also likely have instant equity as the true market value is below the 90k I will pay. It's just they are in a community and area that has lower asset prices for single family homes.

For the multifamily, the purchase price is 149k and three of the units are habitable and will secure good rents. The 4x cottages needing the gut rehabs are the challenge though as I have not found anyone who will loan to me against the ARV which would help me fund the rehab or do a deal to fund the initial purchase and then another loan to fund the rehab with a refinance into once loan once all is said and done.

In all cases, I'm still dealing with this issue where I'm being told a secondary source of repayment is necessary even if we get the loans underwritten to the standard of whatever bank it is that I'm talking to.

Thoughts?

Hi Everyone,

I am a new investor trying to acquire financing for my first deals which I have in pocket and ready to go.  I have been all over the map looking for financing.  My corporate job is ending soon and I don't intend to get another - I plan to go self employed but have no history of self employment income to show.

I've talked to Lima One but for one reason or another my deals don't meet their criteria.  I've been working with local banks and credit unions trying to secure portfolio financing (loans not sold on to Fannie/Freddie) but I keep getting told that not only do the deals need to conform to their underwriting standards (which seem really conservative to me!) but also I need to be able to to show other income which can serve as a secondary source of repayment.

Is this normal and standard in asset based lending like this? That not only would they look at a cash flow generating asset to underwrite the loan but also they would be looking for additional sources of repayment should the cash flow generating asset go under water?

Do you know any ways around this or have any tips to mitigate this requirement of lenders?  Perhaps I'm just not talking to the right type of lender?

Hi @Tyler Watts,

Do you have a specific contact at BB&T that you could recommend getting in touch with?