All Forum Posts by: Lisa Sullivan

That's kind of what I was thinking, thanks!

Just found a six unit complex for sale in my neighborhood (which is hot for multifamily).  I think it is overpriced a bit, and rents are under market.  I have excellent credit, and I own 7 units already, all are occupied and systematized, so doing well, but I'm trying to stack - my last purchase was a triplex.  I have run out of cash for the down payment etc. and have 4 mortgages so conventional financing will be tough if not impossible.  I want to approach with a creative financing offer (I found out a Danish investor bought many multi's in this area about 3 years ago - sounds like they may be able to finance for the right terms).  I've never done this before, all my mortgages are conventional so far.  I don't want to get ripped off!!!!  How can I structure an offer that is fair and creative?  I need something that is no down, or at least low down payment, decent interest rate and maybe some sort of balloon (or refi option) in 5 years?   Ideas?

Thanks so much, I will do that!

Just want to either virtually or socially distant meet up!! I want to meet other REI's, maybe eventually partner up, but having trouble finding people these days. Anyone having local REI meet ups near Port Charlotte, FL!

Just an FYI on that, maybe lenders are getting more diligent, but I bought a triplex, rent out 2 units and live in one. I got an FHA mortgage and made it my primary residence. I followed the rules, changed my license, registered my car etc. Later that year, I found out (an inquiry on my credit report maybe? I forget) that the new mortgage company checked to see if I actually did change my address. I'm not sure what would have happened if I hadn't done the right things, but I was surprised to see the inquiry. Just be careful! It shouldn't make a difference if you travel for work and won't actually occupy all the time, and it's only for a year - which goes by very fast. But mortgage fraud is a thing . . . .

Just purchased a vacation rental in Hilton Head Island, SC.  Undergoing a large ($200K) renovation - which is my 'thing'.  I've done 2 large reno's before, and owned 4 other properties that we lived in and rehabbed, then sold for a profit.  Got my eyes on one in Florida now!  Onward and upward :)

Thanks for all the advice, I appreciate the thoughtful suggestions!

Yes, I forgot to mention that we would occupy one unit.  Thanks for the reminder!

I am currently in the midst of my 3rd large single family renovation project which is in a very busy vacation rental market. It will rent well and cash flow nicely once it's done this summer. However, I have all of my capital tied up as well as my debt/income so I cannot apply for another loan right now. My dad is a Veteran and I wonder if it makes sense to partner with him somehow and use his veteran status for a VA loan on another project I want to pursue. I looked up the guidelines and I think all the criteria can be met. Just not sure how I can help with the loan or be a partner financially, or does it just have to be all him for qualifying? I have all the real estate experience, he has none. Not sure I can even talk him into it!

Investment Info:

Single-family residence buy & hold investment in Dover.

Purchase price: $196,500
Cash invested: $30,000
Sale price: $273,500

Initially bought for our son to live in with roommates while in college, so he essentially lived for 'free'. We kept it and rented it after he graduated. Sold for a cash out of $$105,700.52

What made you interested in investing in this type of deal?

Wanted to keep down college debt and start RE investing.

How did you find this deal and how did you negotiate it?

We used a real estate agent to help us identify a property that met our criteria.

How did you finance this deal?

FHA financed with low down payment. At the time, we let our son 'buy' it as a first time homeowner, with us as 'non-occupying co-borrowers'. We provided the low down payment, then he got that back from the government after he lived in it for 2 years I think. That was a special program back then, not sure if it's still done.

How did you add value to the deal?

We took excellent care of the property - no deferred maintenance.

What was the outcome?

We walked away with over $100K!

Lessons learned? Challenges?

At first we managed the property ourselves. We soon realized that hiring a property manager was well worth the money. They got better tenants, dealt with all the leases and advertising, collected the rents, and handled the problems so we didn't get the 3am phone calls.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I became an agent to have access to the MLS and be able to do the buy and sell paperwork myself.