All Forum Posts by: Lucas Vanroboys

Hi everyone, 

I am looking for a strategy or system to quickly but effectively analyze deals that may come across my plate. Specifically multi-families as I am looking to aquire an Owner-Occupied 3-4 unit in the coming months. I've read a few books, spent some time on google and in excel sheets but to be honest, kind of got overwhelmed and lost in the what seems like thousands of variables to consider. If anyone has a system or template they use that works well for them to quick categorize and qualify deals for further analysis please share! 

 I have had conversations with 2, but both couldn't see past the lack of employment history. And one of them maxed out their heloc at $250k. Why do you recommend credit unions vs other lenders? And how would you recommend I "start a relationship" with them

Interesting. When you say "you have" the Figure heloc, does Figure white label their products for other lenders to use and offer themselves or do you simply just refer clients to them in those situations. 

Also, I saw your reply on my other thread similar to this one... Yes, I am looking to shop around Figure's rates, LTV and origination fees.

Does anyone know of any solid lenders who use a bank statement underwriting methods? Looking specifically for a line of credit on a fully paid off primary but my income situations do not fit well into conventional lenders underwriting criteria. I have had solid progress with Figure, but would like to shop around a bit if possible.

Hey BP community — I could really use some guidance here.

I’m in a unique income situation that doesn’t fit neatly into traditional underwriting. I’m in my first year post-grad with a modest W-2, plus 1099 income from a side hustle, and I live in a fully paid-off primary residence that I inherited. I rent out rooms for solid cash flow, but lenders won’t count that boarder income since it’s from my primary.

I’m trying to tap into the equity in this home to buy another property, but I keep hitting walls with traditional lenders. The two main issues I hear are:

1. Limited W-2 history
2. Roommate income not being recognized

The only offer I’ve gotten so far is from Figure, who uses a bank statement-based underwriting model. It’s promising, but they cap at $400K, charge high origination fees, and require a full draw at closing (which I don’t quite understand if I can just send the money back).

I’m surprised how hard it is to leverage equity in a debt-free home with solid income. Has anyone else found success with non-traditional lenders or bank statement-based HELOCs? Any recommendations or advice would be super appreciated!

Thanks in advance!

 Thank you for the response and glad to hear it is possible! On top of the move "making sense" the multifamily would also probably have to be more of a turnkey type eliminating any type of rehab project correct?

I have a fully paid off property from an inheritance that I am looking to use to scale a Rental portfolio. The property is 3 bed 3 bath semi-detached SFH and is my primary residence. I am planning on getting a line of credit on this property while it is my primary residence (lower rate) for downpayment, rehab expenses, etc. on a multi family where I which I would then switch my primary residence to to househack with an FHA loan.

I would love to start a conversation on the legitimacy of this plan and whether there are any holes in it or not? I guess my questions are as follows:

The first one is regarding the timing and chronological order of HELOCing my primary residence before switching it to the multifamily for FHA loan.

The second one is a potential hiccup called "underwriters discretion" where the underwriter might flag my primary residency moving from a SFH to a multifamily. Talking with a friend in the space I was made aware that underwriters see multi-families as less ideal than SFH's and thus would become weary to lend on a move going the opposite direction

Any comments are much appreciated!

Hi! 

I have a fully paid off 3 bed, 3 bath property from an inheritance that is my primary residence. It is a single unit in a duplex complex in South Boston and I collect rent from 3 tenants that live with me that generates a very strong solid monthly cashflow. I want to grow my portfolio using the BRRR strategy in multi-family (2-3 units) or small commercial (3-6 units) properties starting with the equity I have sitting in my house. With this goal, I have been collecting advice, input, and recommendations over thee past few months on the best way to access the money and execute my plan. Any and all advice is welcome!

Here is a bit of background on my current situation:

I am a 24 year old graduate student and do not have 2 years of income verification from any W-2's. I do however have rent income from my current property (just over a year now) and small amounts of self-employment income from a side-gig business I have been running for the past year. I say this because this makes income verification for the loan approval process at traditional lenders difficult from what I have been told. I have heard something about exceptions for students but from my initial research, this is contingent on a job after school in the field you studied which is the next part of my story. After I graduate, I plan on pursuing a career in professional hockey which is not necessarily the field I studied in school! The income from this is contract based which may complicate this process as well. 

I guess my question is what would be the best way to access the equity in my primary residence. From other conversation I have heard about HELOC's and Cash-Out Refinances but am struggling to differentiate the two.

Then, once I have the cash, what kind of financing options would I be looking for the new property? I have always had in mind a house hack with an FHA loan by moving my primary residency to the new property and turning my existing one into an investment property, but then I have also learned about "Underwriting Description" where loan officers will flag my move from a SFH to a multifamily.

I am looking to make my purchase in the spring as I will be done school and have the time to rehab and manage the property full time. Then I want to have the p[roperty rent ready by the end of summer or early fall so I can more passively manage while playing professional hockey. As you can tell, I am trying to nail down my financing plan and options first but maybe this is the wrong approach too? 

II know this is a lot in one post and any response will be greatly appreciated!