All Forum Posts by: Kelly Bettendorf

I was not able to attend, will this video be added to the BP Webinar list? 

Thanks

Kelly

Russell,

When it comes to finding the right Commercial Lender, Real Estate Broker and Commercial Broker. Do have any suggestions on what you would consider to be good questions to ask or key words to watch for as positive or negative? 

Currently i am planning to meet with my local bank early next week just to ask questions and find out as much information from them that i can related to commercial lending and starting the process to get qualified for FHA/203k loan.

After that I plan to reach out here on BP in search of Maryland real estate and commercial brokers who are willing to work with someone less seasoned. I figured that way i will be targeting an audience who will all ready have a better understanding on what id like to do.

One of my struggle right now is other BP members have informed me of some really good meet ups in the area but my day job currently makes it very hard to accommodate the dates and times.

Thanks again for your input.

Brandon, 
What were your biggest challenges once you acquired your first 24 unit? Was there anything you wish you would of know about before buying or that would of made your experience easier?  

I'm looking at the idea of jumping from my two unit duplex to a larger multi unit property since there are a lot more options for them in the Maryland area and i feel could work better then trying to buy multiple smaller single family homes, condos or rowhomes (town houses). Being newer to the game and still learning I've been looking at targeting multi family properties that are in size of up to 14 units and maybe a little bigger if its the right deal. I really wanted to focus on investing in duplex and triplex's, but as im sure you are all aware finding duplex and triple's in Maryland don't come around enough.

Id likely be looking to find properties that would be willing to offer private financing and/or a mix of private financing and a commercial loan to make it happen. It will take some leg work to reach out to owners but if i find the right deal it will be worth it. Still working on everything that i would need to get qualified for a commercial loan at this point. I have very good credit but minimal funds to use as a down payment. so i am trying to keep it creative to make it work.

I'm also looking to find a live in multi family that i can buy with FHA/203k. My wife and I have recently moved from Oregon and should have no problem qualifying for the FHA/203k loan.

I have just over two year experience from managing my duplex which i have probably made more mistakes then you could imagine, one of the worst being that i screwed up paperwork for a eviction process which made it so i had to start it all over again. Over all my early experience with the kind of tenants you hear about in the horror stories that cost me a lot of money and time gave me invaluable lessons and it reassured me i am investing in what i like to do in addition to my day job. Getting to my point, i plan to have a lined up management company to present with the paperwork in the process of acquiring a commercial loan because i feel my short time of management could be an issue for lending.

Have any of you made the jump from smaller single family units to a larger multi unit? did you have to be creative to make it happen? if so would you be willing so share how did it?

If you acquired commercial lending to do so, do you have any tips or feed back from your experience?

Are you glad you made the jump? or do you wish that you would of kept going with single unit options?

Lastly for anyone who has smaller multi family that does not have on site management, would do share what management company you have had the best success with or have you created your own management system by finding your own crew?

Thanks again,
Kelly

Hello, 

Any BP Maryland Registered HUD Brokers out there? Im looking at buying a multi family using 203k.

Thanks,

Kelly

other options could be to try to negotiate a deal with the current owner for a higher price and ask that they do the needed repairs for you to buy.

wow... Sorry about the typos in my last post. That's what happens when you voice to text ugh.

you might be better off looking at hard money options to aquire the needed cash to buy the property then fix it up enough to get your GI loan to pay off the hard money investor.

Reach out here On BP for a hard money lender buy be sure you have a good Wright up to show your after repair value,  if 75% of your after repair value loan to value ratio will cover the full hard money amount you shouldn't have to much trouble finding someone here on BiggerPockets to work with you.

Or if the owner of the property actually owns the property out right you can try directly contacting them and see if you can arrange a owner financing deal for you to be able to do the renovations necessary for the property to qualify for your lending requirements

Also, forgot to add that I have seen that water heaters start to degrade/fail around ten year mark. I would plan on replacing the water heaters sooner then later. That way you can avoid your neighbor knocking on your door at 5 am letting you know they don't have hot water.

Thomas, 

This could be redundant but if your doing 5% down, did you calculate MIP cost into your PITI calculation?

~ Kelly