All Forum Posts by: Luis Garcia

@Charles Bruce I own three SFHs which I initially bought as a primary residence and later turned them into long term rentals. In each of those cases, it seemed like a cheaper alternative and now I am enjoying good cash flow/tax breaks. * I am new to BP and I had no idea that I was going to keep any of my properties until I rented out my first purchase.

@David Pere what is the advantage of refinancing all three in a porfolio loan? I don't have an llc, all three properties are under my name. Two of the properties are under my VA loan which have excellent Interest at 3.25% and 3.35%

@Damaso Bautista thanks for your feedback but selling my three homes is 100% out of the question. I actually want to leverage the equity on my homes to make other investments and unfortunately I find myself trying to figure out how to cash out with a high debt to income ratio. Here is what I have in my portfolio: Home #1 purchased in Charleston SC for $139k back in 2003 with a second mortgage of $60k which was taken out a while ago. I currently owe $140k total and market value is $240k. Home #2 I purchase in Spartanburg SC in 2010 for $133k currently owe $112k and has a market value $180k. This property has a ton of upside potential if I finish the basement and build in the attic. I could easily add 1500 sq ft to this property and could easily have a market value of $360k. This home was built in 1930 all brick with plenty of space. Home #3 I bought in 2016 for $325k but owe $302k. It has a market value of $360-$370k. Question is how can I leverage the equity between all of them to make an investment somewhere else.

@Corby Goade thanks for the advice! I am definitely a Dave Ramsey fan and yes, I am utilizing that method at the moment.

@Scott Passman I agree but my DTI would still get in they way of getting a HELOC. I recently called quicken loans and everything seem to be going well until I gave them my schedule E of taxes. Apparently Quicken loans takes into account what I depreciate on the home and it cancels out my cash flow (making it seem like I didn't make anything).

I am new to BP and loving the wealth of information on this app! So a little background on me....Through time while in the military I have acquired three SFH which I have dedicated to each of my kids which bring me cash flow from low $450 to as high as $800 a month. I find myself looking for deals but also have a barrier with a higher debt to income ratio due to bad investments outside of real estate. I am just a hard working parent wanting to leave a debt free house to each of my kids by the time they are in their mid 20's. Even though I am new to BP, I can relate to some of stories and I share the same passion. I am ready to take it to the next level! How can I leverage my properties that have equity but have barriers cashing out due to my debt to income being on the high side? Your advice is greatly appreciated

@Anthane C. Richie Sr. I tend to increase rent by $50 when old tenants move out. If I had tenants longer than a couple of years, I might go up in smaller increments such as $25

@Frank Patalano Can you go on more detail on buying the nine unit plex off market?

@Jessica M. Good luck, there is no pleasing those types of tenants but at least you are trying.

@Thomas Jackson I had to evict someone in West Ashley and I was actually surprised how fast the process went. It all depends if the tenants will drag out their stay by putting up a fight. My tenant left once he was served papers and I was able to get back in my property and get it ready for other renters.