All Forum Posts by: Chris Nelson

Thank you everyone! This is great information. We added an estoppel agreement to the contract. The seller has been a real pain to deal with and refuses to give the tenant a move out notice. He wants us to do it after closing which we are fine with, though it will take longer for us to be able to move in. 

The reason we are getting rid of one tenant is she never pays rent on time and is usually 3 months late. She is a single mom and I think the owner has developed a personal relationship with her and feels bad for her. We don't need this problem on our hands. She was cursing at the realtor for being inconvenienced during the showing. No thanks!!

Plan to get Brandon's books. Thanks again! 

Hey BP,

My Wife and I really need your help on this one! We're buying a Duplex in Florida that is currently occupied by Tenants. There is a 12 month lease in place for one unit and the other unit is month to month. We plan on occupying one side and keeping the tenant with the lease in place on the other. The Seller provided us copies of the current lease agreements. The Seller provided us a lease from 2012 for the month to month tenant and Feb, 2015 for the current "12 month lease tenant". I'm not sure how that adds up?? The contracts state that "After the initial 12 month period of this Rental Agreement, the tenants may continue to reside at the premises on a monthly basis. All other provisions of this rental Agreement remain in effect." I understand that we will inherit this agreement after closing. There is a clause in section 12 that states "This agreement may be terminated at any time by either party giving 30 days written notice to the other party." Could we just issue a written document to the tenant after closing to start the clock? Is anyone familiar with this process or how to evict someone in Pinellas County, FL? Is it possible the Seller has a more recent lease agreement with this tenant and is concealing it from us? How could we possibly check to see if there are any more recent lease agreements in place before buying the property? It would really screw us if we buy this place and find out we have to wait a year before moving into it. Does anyone know how to fact check the Seller on current lease agreements in place. There has to be a way to do this. We just want to be sure we can occupy in no more than 30 days after closing. Who's got a solution?! Thanks in advance for discussing and helping with this BP Family!

Your Friends,

Chris & Megan

Hi Brent,

Thanks for the reply!  We're looking for something to live in for at least a year and then move onto something else.  We're interested in a long term buy and hold.  No kids yet.  Nightlife would be nice.  Something affordable that would rent for at least 1% of the purchase price each month.  

Hi BP,

My Wife and I just moved to Tampa, FL!  Can anyone recommend a great Mortgage Broker that they have used in the past?  Can anyone recommend a great Realtor who has experience working with investors?  

Anyone living in the Tampa area willing to recommend a few great areas to invest in?  We can live anywhere in the 100 mile radius.  We've been here for 48 hours so far.  We've driven the following areas:  Hyde Park, Tampa Heights, Seminole Heights, Ybor, Channel District and Davis Island.   Any help would be appreciated.   

Thanks,

Chris  

Originally posted by @John De Souza:

We experienced something similar as to having to 'move up' when buying the next property.  Fortunately, each property was larger to accommodate our growing family (so we had good justification).  I don't know if it's a solid rule but every lender told us the same thing.  I suppose the system is designed for folks who buy and live in these properties for several years rather than (to be) investors.

Keep in mind that the lender doesn't want the loan to be rejected by the underwriters so they tell you ahead of time what the terms are.

 Thanks for the timely response John!  I grew up in Mansfield, Tx!  Small world.  

Did you use a Loan Officer or a Mortgage Broker when you encountered the "move up" response.  

Originally posted by @Dan Mackin:

@Chris Nelson- You should be able to get to another duplex as your primary. Check with another mortgage broker. You'll find it very difficult to get a loan for your LLC from most lenders. Dig around on here about LLC loans and you'll find a ton of threads about it. Commercial loans are not the best way to go if you don't need to. Their terms are not nearly as friendly and should only be used if needed. You should be able to take advantage of residential lending since it will be your primary again. Are you actually using a mortgage broker or a loan officer?

 Thanks for the timely response!  We're using a "Mortgage Banker", not sure what to really call that.  Here is the link to who we are using.  http://www.kenbuckery.com/Default.aspx  I agree, we should probably shop around for someone else.  Is a Mortgage Broker better to use than a Loan Officer?  Whats the difference?

Hey BP, Trying to get more active on here and get some good information. Here's the situation. My Wife and I bought a duplex over a year ago in North Carolina and we're now looking to make our next move. We currently live in one side of the duplex. The duplex was a foreclosure and we put 15% down because we decided to live in one side of it. Our Morgtage Broker is telling us that we wouldn't be able to move into another duplex because he couldn't "justify it to Fannie Mae". He says that we need to make it look like we're "moving up" on our next primary residence. Is that accurate information? We have an LLC for our business and would rather purchase properties with our business but Ive also been "told" that we would use our personal credit anyway. Is that true? I've also heard from a Morgtage Broker that it's 25% down on multi-family investment property. Is that correct? Could we get a commercial loan? How complicated is the commercial loan process? How would you recommend we buy another Duplex? All input would be appreciated! Thanks

Matthew, My Wife and I bought a duplex over a year ago in North Carolina and we're now looking to make our next move. We currently live in one side of the duplex. The duplex was a foreclosure and we put 15% down because we decided to live in it. Our Morgtage Broker is telling us that we wouldn't be able to move into another duplex because he couldn't "justify it to Fannie Mae". He says that we need to make it look like we're "moving up" on our next primary residence. Is that accurate information? We have an LLC for our business and would rather purchase properties with our business but Ive also been "told" that we would use our personal credit anyway. Is that true? I've also heard from a Morgtage Broker that it's 25% down on multi-family investment property. Is that correct? How would you recommend we buy another Duplex? All input would be appreciated! Thanks

Hi BP, Does anyone have a creative rent payment processing system that they are successfully using out there? Surely there is something to automate this process and make it a lot easier for both parties.

Very good points guys!  Blake, I like how you broke it all down into 5 specific deal breaking criteria.  Thank you both.