All Forum Posts by: Keith Richardson

Thank you all for great responses. My two single family houses typically get rented out as mid term rentals under airbnb which offers good coverage and we have been happy with. The latest purchase of the 3 family is a little different in that we will be living in one unit and there are two long term tenants already in place. Based on what you all have said I think my best option for now is to put the multi fam under my LLC and keep renting the others as I have been. We talked to our accountant and she was recommending individual LLC's as well as individual checking accounts/credit cards etc.. Im sure it would make life a lot easier for us and for her but it sounds like a lot of expense to get there.

Hey all,

I recently closed on a 3 unit property which I am going to house hack which brings my portfolio to a total of 5 doors (including the one im living in) and am curious if it would be wise to have an LLC for each property and setting them up as individual companies? The portfolio consists of 1-3 unit and 2-single family houses. Thanks!

 Yes HM/private lending is my last resort. I’ve talked to lenders about rehab loans and they sound extremely tedious and most contractors shy away from all the extra hoops one has to jump through to satisfy rehab loan terms. 

 This makes sense. Truth is, I bought this property off my dad for way less than its current value. Zestimate is 110k

Good point. All the lenders i have talked to have been out of state and don't know the neighborhood which is why I am now reaching out to STL local lenders only. 

Good day, BP,

I’m trying to understand why hard money lenders keep turning me down on my rehab project. 

The deal:

Paid 60k cash for house needing total rehab

Anticipating needing a loan of 150-175k with an ARV of about 325k

The only thing I can think of is that I don’t have any experience with a project of this size. 

With interest rates on these loans being 11-12% and my request amount you would think it’s a score on their end. 

What do you think?

Gratefully,

Keith

Hello!

I am closing on a deal on a single family home that is going to need a gut rehab. In the beginning phases of getting bids at the moment and seeking a one stop shop construction company to take care of the entire job. The house is a 2 bed 1 bath currently but has the potential to be a 3 bed 2 bath. Thanks for your time

Keith

Hey everybody! Today we close on our first "investment" property! I quote investment because this is going to be a hybrid get-away property/short term rental. Its in the northeast kingdom just east of St. J. Currently seeking out property managers or at least a cleaning company that could turn it over in between guests. Hope everybody is well! Tough market out there right now.. 

We're looking to put an offer on our first investment property today and having issues pulling out a HELOC for the purpose of using it towards an investment property. It seems was if once they find out its for a rental property there is a hard stop. Do I just need to tell them its for something else? How can a bank track what I use my money for?

Thanks!