All Forum Posts by: Liz J.

Thanks I did find the link to the guidelines and also reached out to my broker to see what he knows. However, he only works the residential space. I'm still really curious about the commercial space. If you have 5 doors (2 ADU and 3 traditional) would that qualify for commercial loans? I am maxed out on loans so frankly I don't mind the commercial space.

Hi Dan, are you saying any property with ADU will not be conventional? I just want to be sure I am understanding because when there is not an ADU a 4-plex does get convention Freddie/Fannie financing.

I haven't seen this scenario posted anywhere. If building a new ground up ADU on an existing 4-plex property - how do lenders look at this since there are now 5 units:

- Would it qualify for commercial loan?

- Would it qualify for conventional financing?

Interesting. Makes me curious to know if one must proportionally split the carryover basis or if there are options there as well? Even with all that, at the end of the day I would buy the best properties that meet your goal (ie cash-flow) and if it works out to do this all cash/ refi then great. 

Month to month lease question. AB3088 and AB1482... trying to figure this out. Help appreciated. Tenant has lived in the place long enough that just cause needed. Instead of sending a 15 day notice to pay (and at that only 25% by Jan 31) could we send a 60 day to not renew month to month lease. The just cause being non-payment of rent? And within that 60 days can we still put other parameters... ie increase rent within the rent control limits (to bill back utilities which are currently included) and/or address pets. It's small, friendly and family owned triplex and admittedly we've been lenient. We provided repayment plans on many occasions. We didn't write up violations for overstepping pet rule. Tenant is allowed one pet but has often taken in an second to dog sit for money. Whereas we have been willing to work with tenants in the past, this new legislation really makes that impossible to do now because we worry about what they will come up with during this legislative session that will put us farther in the hole for being nice. 

@frederico morales That's what I'm looking at too. 8-12 affordable rentals. If s2A isn't the answer maybe we need to start our own :) @frank edwards I hope that it is just a matter of not being ready. Seems like it has potential. 

@Raul Morales  me too. I found this: https://www.biggerpockets.com/...

following and so thankful for this informative discussion. @Mauricio Osorio , @Mark Caudill , @Raisa Rodriguez , @Frank Edwards , @Federico Morales @Artur Madej

Has anyone actually spoken to S2A, outside of investing? I am looking to develop and wanted information after attending their presentation. I got a call from someone handling investors and the minute I said that wasn't my need he was done talking. He referred me to a sales person who has not contacted me despite repeat emails. I have looked the company number up online and asked to be transferred to him. I genuinely felt like the "sales person" is some code name to not reach anyone. The receptionist took a message. I worked in sales. I have a project that is legitimate and in 0-3 month timeframe. There is no sales person in the world who I know that wouldn't call back on that. So either they are totally unprepared for real orders, or not at all intending to. So that's why I'd like to know who HAS had conversations with them (@Sharon Laudisi I appreciate your input but it was too vague and did not ease my skepticism). 

@Dave Foster Thanks. That's what I was afraid of. I don't want to bring in cash to make up the difference because I have it earmarked elsewhere for a bigger ROI. And since I am now self-employed and leveraged, mortgages aren't as easy as they were... the product I qualify for has higher interest rates and eats into cash flow. So need to think this through because thats a big hit on 220k.

Hi. I am in the middle of a 1031 exchange. I have a questions about mortgage boot. I will have $220k in mortgage boot because I can't get a new mortgage. I have $400k at the intermediary. And I am spending all of it on the new property. The sale net was $600k net. My total gain if I were to scrap the exchange altogether is $376k.  The missing piece to me is how the mortgage boot transfers from the intermediary to me to my taxes... ie. Does is look like my gain now is 220k versus 376k? Or is it somehow allocated proportionally... ie... the mortgage boot is about 37% of the overall 600k I was supposed to replace so now instead of a gain of 376 I would take 37% of that?