All Forum Posts by: Manny Raimondo

Thank you @Edward Adams. I sent you a DM. 

@Ryan Gyllenband (or anyone else), did you ever find a lender in TX that would do a HELOC on non-owner occupied properties? I am looking for this on 1 or 2 of my properties in the Houston area. Thank you.

@Bryan Bannach, I haven't completed my paragraph by paragraph, line by line, comparison yet, that is part of my issue with it, they didn't identify the changes that were being made or offer any explanation why, just, "here, you have to sign this". It looks like they added a Multi-Property addendum because I have more than 1 property under management with them, and it looks like they changed (increased) my reserve requirements. There were a total of 5 documents they required me to sign including the Multi-Property Addendum, Reserve Account Agreement, Authorization to Add Manager as Additional Insured, Additional Services Options, and Exclusive Leasing, Management and Brokerage Agreement, a total of 10 pages of documents. All these terms were described and agreed to under my original agreement and I have no incentive to agree to a change in those terms... well at least I had no incentive until they provided notice of termination. I am not necessarily saying I have a problem with the changes, I just have a problem with the way the changes were presented, and they could easily try to sneak in an onerous clause or two buried in 10 pages of legalese. Not saying they did that, but they could have and the threatening and deceptive way they went about "requiring" signature makes me at least a little suspicious. So I am taking the opportunity to review my options and shop around.

Thank you Nathan G, that is great advice! That is the second time Empire has come up, so I will definitely look into them, I was under the impression they did multi-family properties not SFRs, but I will give them a shout. Renters Warehouse in Houston has been mostly fine. They haven't blown my sox off or anything, but their fees are reasonable, their paperwork is good and they have made some recent changes to their staffing structure and practices that seem to be helping with their organization, responsiveness and standardization of practices. My beef with them actually has to do with how they instituted some of these changes and standardization of practices. They changed/updated their management agreement and used what I felt were deceptive and threatening tactics to get you to sign the new agreement because the changes didn't benefit property owners. My argument with them was that we have a current agreement in place, as the changes do not benefit me in any way, I have no incentive to sign the new agreement. The original agreement clearly outlines how the agreement can be terminated by either party. Instead of terminating the prior agreement properly, they chose a strategy of sending out the new agreement, demanding it be signed by a certain date "if you want to continue having your properties under management". When I pushed back on that, they said it was because of Fair Housing compliance. When I asked for Article and Paragraph of Fair Housing Act that our prior agreement was in violation of, they said that they can't have different management agreements with different clients, because that would cause them to treat the different tenants differently and put them at risk of a Fair Housing claim. When I called them on that, they finally sent the proper termination notice. I have a couple of weeks to determine if I am going to sign their updated agreement or switch to someone new.

I am looking for Property Manager recommendations (other than Renters Warehouse) in Houston to manage (2) SFR rental properties in North Houston (Spring and New Caney). I am an out of town owner. Any recommendations? Thank you.

Hello everyone,

I am looking into a HELOC or home equity loan to tap some of the equity I have in a flip turned rental to pay off the higher interest debt from the renovation. My refi out of hard money only covered my original purchase price and some of the renovation. My problem is that I have only been able to find lenders willing to loan 60% LTV on investment properties. I need 80% or better to cover off the higher interest debt from the rest of the renovation. My question is, are there any lending institutions that you would recommend that will do an equity loan or line with a higher LTV on an investment property? I am in the Houston, TX market. Thanks.

Hello everyone, I am looking into a HELOC or home equity loan to tap some of the equity I have in a flip turned rental to pay off the higher interest debt from the renovation. My refi out of hard money only covered my original purchase price and some of the renovation. My problem is that I have only been able to find lenders willing to loan 60% LTV on investment properties. I need 80% or better to cover off the higher interest debt from the rest of the renovation. My question is, are there any lending institutions that you would recommend that will do an equity loan or line with a higher LTV on an investment property? I am in the Houston, TX market. Thanks.

Hello everyone, I have an issue I was hoping for some advice on. I did my first flip, and it went pretty well all things considered but have had some issues on the back end. I financed with hard money on a 6 month term. Unfortunately, it did not sell before my 6 months was up, and instead of paying the 2 point extension fee, I opted for exit strategy #2, which was refi and rent. I was not able to cash-out refi due to having the property less than 6 months, so I had to do a rate and term refi and had to pull off the market to do the refi. I closed on the refi out of the hard money last week. I have almost $65k in equity but am now carrying about $40k in mid to high interest debt from the rehab (private loan, Home Depot project loan and some credit card) that I had hoped to pay off when the property sold, or with the cash out on the refi. The property cash flows as a rental, but not great, about $250/mo after PITI. Minimum payments on the debt eat all that up and more. I am looking into a HELOC or home equity loan to tap some of that equity to pay off the higher interest debt. My problem is that I have only been able to find lenders willing to loan 60% LTV on investment properties. I realize now that I would have been better off paying the 2 points to extend the hard money term so that I could have done a cash out refi, but that ship has sailed. I need 80% or better to cover off the higher interest debt. My question is, are there any lending institutions that you would recommend that will do an equity line or line with a higher LTV on an investment property? I am in the Houston, TX market. Sorry, that was longer than intended. Thanks for reading.

Hello everyone, I have an issue I was hoping for some advice on. I did my first flip, and it went pretty well all things considered but have had some issues on the back end. I financed with hard money on a 6 month term. Unfortunately, it did not sell before my 6 months was up, and instead of paying the 2 point extension fee, I opted for exit strategy #2, which was refi and rent. I was not able to cash-out refi due to having the property less than 6 months, so I had to do a rate and term refi and had to pull off the market to do the refi. I closed on the refi out of the hard money last week. I have almost $65k in equity but am now carrying about $40k in mid to high interest debt from the rehab (private loan, Home Depot project loan and some credit card) that I had hoped to pay off when the property sold, or with the cash out on the refi. The property cash flows as a rental, but not great, about $250/mo after PITI. Minimum payments on the debt eat all that up and more. I am looking into a HELOC or home equity loan to tap some of that equity to pay off the higher interest debt. My problem is that I have only been able to find lenders willing to loan 60% LTV on investment properties. I realize now that I would have been better off paying the 2 points to extend the hard money term so that I could have done a cash out refi, but that ship has sailed. I need 80% or better to cover off the higher interest debt. My question is, are there any lending institutions that you would recommend that will do an equity line or line with a higher LTV on an investment property? I am in the Houston, TX market. Sorry, that was longer than intended. Thanks for reading.

Hello,

I am about to start to my first flip. I have 15 years experience in commercial/industrial general contracting, but am new to residential rehab contracting. I was wondering if anyone has any recommendations for the following types of contractors in North Houston (Spring, The Woodlands, Conroe, Porter) area:

Foundation Repair/Jacking

Septic

HVAC

Plumbing

Electrical

Drywall

Flooring (Hardwood/Laminate/Carpet/Tile)

Painting

Cabinets

Countertops (Granite or Quartz)

General Finished Carpentry

Garage Door

Fence

Landscaping

Handyman

Thank you.