All Forum Posts by: Lisa Eckman

I’m sure it has happened, but personally I’ve never heard of someone paying points on owner financing. But maybe times are changing and since it’s a sellers market most everywhere, if there is competition to purchase the place, and you NEED owner financing, I guess that’s a way to make your offer more attractive. However, if it were me, instead of offering points up front, I would first try a higher interest rate. It may look more attractive to them and actually cost you less. You’d have to run the numbers. Just my 2 cents. 

Does anyone have experience repairing (not replacing) Saltillo tiles? This is the terra cotta tile usually made in Mexico and dried in the sun. Has color variations (depending on the sun/shade) and animal foot prints (chickens, etc. that walked through when tiles were wet).  There are scratches in the tiles (probably from moving heavy objects), and I'm wondering if/how they can be rapaired and protected from further damage.  Any help/suggestions appreciated.

Does anyone have experience repairing (not replacing) Saltillo tiles? This is the terra cotta tile usually made in Mexico and dried in the sun. Has color variations (depending on sun/shade), and animal foot prints (chickens, etc. that walked through when tiles were wet). There are scratches in the tiles (probably from moving heavy objects), and I’m wondering if/how they can be repaired and protected from further damage. Any help/suggestions appreciated.

@Nellie Bentz I’m sorry Nellie, I just saw your response. If you still need help with this, please PM me and I’ll be happy to help. Best of luck! Lisa

@Devin Williams that doesn’t seem right. You should have a breakdown of how the cash to close is derived. If you don’t see it, then ask for it. Something is missing. 

In what state is the property located?  How much cushion are they saying you need?  2 months is standard in CA. Who is the lender?  Look at your loan docs for details on how it’s calculated. 

@Christopher Meyer, I totally agree with @Brian Ploszay’s response. Sell it and do better next time. 

I’d love to see your operating agreement if possible. Thanks 

Without numbers, it’s hard to say, but given what you’ve said, I’d push to get it done to avoid paying rent. Again, I don’t know the numbers, but that would be my goal. So, yes, I would look at HM to get it done. What have you been offered at this point?

@Kahren Aydinyan I've never seen a clause that says you MUST refi WITH THEM every 5 years.  I think you're just talking about a balloon pmt in 5 years, but you should be able to refi with anyone.  I doubt that's even legal (to require you go thru them again).  With regard to 15, 20 year vs. 30 year, etc. I would lean towards 30 year.  Pmts will be less, no need to refi (which will cost you - in one way or another).  If you CHOOSE to make additional principal pmt, no pre-payment penalty, but it is your choice to pay it down faster if you want to.  Also, keep in mind that if you refi, it DOES cost money (even a "no-cost" refi), and you will probably be adding on to the term and therefore paying more over the cost of the loans you have for the property.  If that doesn't make sense, let me know and I'll give some examples.

And my first thought too was what @Jaysen Medhurst said - 68K all in for 70K ARV. BUT, it is a step in getting your first property. It will be a learning experience, and if you can cash flow for $350, that's what makes this project worth doing. With only 2K difference in value, it would be all about cash flow. Just be careful you consider the costs of your loan(s) including refi's. AND the cost of the $ you have tied up in this project that you cannot use to invest elsewhere.