All Forum Posts by: Kelly Moniz

I am considering moving into one of my rental properties to avoid paying capital gains taxes. It is worth about 275k more than I have in it. I have rented it for the last 8 years. How long would I have to live in it to avoid paying capital gains tax at sell. I’m getting mixed answers. Some say two years, others say it will have to be prorated etc. would 5 years be the correct answer to avoid all capital gains taxes? I know it’s capped at 250k for single persons

Yes. I would do it on one of my homes with no lien. I have done 2 cash out refi which are great but I also like the fact that I can sit on a heloc and never use it. Sitting on a mortgage is different in my eyes. All that front loaded interest just vanishing every month while your money sits in your account depreciating until you find a good cash deal to grab. 

The LTV on my portfolio is about 13%. I have been able to do this with the BRRR strategy. I would like to leverage more with the banks while rates are very low. Can I secure a heloc loan, not use it, and then apply for a conventional mortgage to buy a new primary residence for myself? I have been living in apartments to shelter my debt to income while I grew my portfolio. I am now tired of the apartment life, and would like to buy a new house for myself. The funds from the heloc would be used for future investments. Would it be easier to do the heloc after the house is purchased? I just figured if I don't use the heloc it will not impact my debt to income, but I'm sure they still look at it as a risk factor. Can someone weigh in? Thanks

I am currently considering owner financing one of my rentals off. I would like to do fsbo and offer to work with buyers agents if a client would like to outright purchase my property. To help speed things up I am also willing to offer owner financing to people with sub prime credit. So my questions are how much are people charging for interest on owner financed deals. How much down is the norm for owner financing? Also if i get my home appraised how much should I ask for it owner financed? Possibly a few percent over market value? Any other fees or points that go into the average owner financing deal? I am not trying to screw anyone. Just don't want to leave money on the table. The house I am selling is paid for. No mortgage. 

thanks for any info! 

I am considering selling a rental i have had for 5 years now. I would like to take the money and invest it into setting up two mobile homes on some land i have in the same area. It would cost roughly half of the sale price of my rental to set up the two mobile homes that would generate double the income. My question is would the cost to set up the mobile homes be considered like for like since its still residential? The amount of profit i make on the sale is roughly the same amount it would take to set up both mobile homes. 

Thanks.

Thanks guys! I cant get a heloc or I would. I actually rent myself haha. No personal mortgage here to draw from. Also i do not want to be stuck in another 15 yr or 30 yr mortgage at the moment. That is why i am looking towards a line of credit deal. I am going to go by the bank next week and have a chat with one of the bankers about a LOC. Thank Chris Martin for the input. All of the cc are against my fathers credit. I only have one cash out refi on mine so my credit is still great. I would like to get his credit back in good standing asap so we can have access to more capital in the future. Which is why i am wanting to pay the cards down asap. His credit was 785 with a 30 year no late payment history. The credit utilization is really taking a toll on his score at the moment.

I have been investing in realesate since 2011. Here is a quick run down on my current situation. My father has been my 50/50 partner since day one. We buy severly distressed properties, do all the work ourselves, and rent them out. They are all cash deals. Once we run out of cash for more house purchases, we do a cash out refi on one of our homes. We have 11 properties and only 2 mortgages. All single family homes in good areas within 15 miles of where my father lives. Just east of Raleigh NC.  We manage all of the properties. We have racked up about 45k in credit card debt. Normally we would wipe out all of our cc debt after a refi before purchasing a new home. It seems as though the deals have dried up at the moment, so i am not really thinking a refi would be the best move. We have roughly 1.5m worth of realestate with only 225k worth of mortgages. We are however no longer liquid after just finishing a major renovation. So just seeing what kind of financial advice i can get to drag ourselves out of this slump. Would a hard cash loan be worth it to wipe the credit cards out with? We are able to pay ourselves a salary and contribute 4500 to the cc bills every month after all of our overhead but it would take a year to pay it all down. It would also take a year to pay back a hard cash loan. Also, any advice on a future strategy i can do with all the equity? 

Thanks 

I bank with bbt and they told me 4 years ago on my first cash out that they only offered 15 year financing on an investment property cash out. I went across the street to first citizens and they offered a 30 year at 75% of appraised value. I did another cash out this July and went to bbt first again. This time they offered me a 30 year at 75% of appraised value. I'm in NC. I guess just call around. 

I wouldn't bother filing an insurance claim for some cheap laminate flooring. You would get peanuts after the deductible is taken out. We are talking what? 150-200 sqft of bad flooring? In the future look into luxury vinyl plank. It looks like laminate but us rubber instead so it's tough and water proof. I would just let the renter know it's coming out of his deposit, and that if any other damages happen that go over the amount of the deposit then he is liable for paying more money. Tell him that and forget about it. He can live with the messed up floors 

If anything the HVAC running non stop would help keep mold away. It acts as a dehumidifier by itself. Not running the AC would cause humidity issues. Go over and look at it. If you aren't local then get a pro to. Water damage can cause major expenses if left untreated. When I have mold issues i spray the mold with bleach. That will only kill the mold if the source or the moisture is addressed first.