All Forum Posts by: Matt H.

I just used excel for the first 10 properties or so, works fine. That was a few years back but still applies. If in an LLC you do need software though.

Unless you are planning on retiring soon the answer for me is always buy more. At this time I have no desire to pay down any principal.

Ask for interest only. Why not? Assuming 140k is a good deal why not try for 5.5% IO. From where I sit 10% down is a dream and 7 year balloon seems fair.

Residential means 1-4 units that are dwellings. You are talking about owner occupied versus investment. Owner occupied is going to offer the best rate and terms. But you have to go live there or it is fraud. In terms of the new loan the owner occupied primary status of your old loan is irrelevant. In terms of your old loan you can rent it out as long as you have fulfilled the owner occupancy time requirement, often 6 months or a year. Matt

Keeping in mind this can vary widely: I would say seller financed interest rates would generally be above standard bank rates yet lower than hard money.

That is the question asked. Beyond that interest only or amortized is negotiable, no big deal there, both standard. I would say a no down payment is silly. Three years isn't necessary short in this scenario. Balloon certainly not uncommon.

You later said nothing down and the whole payment goes towards the purchase - that's no down payment and 0% interest. Those terms seem asinine unless is built on a large pile of old military ordnance. Or it's a meth house.

Escrow/title can usually do it for a nominal cost as opposed to an attorney.

Real simple. Net worth = assets - liabilities. Income is irrelvant.

In scenario 1 what is the rate? And the loan may be 40 years but the IO period likely isn't. What is the IO period? Need all details of all loans, including your existing mortgage to make an informed decision.

Easy. Buy a 5+ unit apartment building and get a Chase non recourse loan. No tax returns required.

@Account Closed Don't get me wrong if I absolutely had to get a balloon I would. And chances are when yours comes due your bank will just roll it and all will be fine. But there will be some moment in time where you, your building or more likely the USA is not financeable (is that a word?). And you really just don't want your balance due anywhere near there. I don't worry about rising rates, falling prices or much of anything else. Any or all of my loans coming due along with all my places going vacant are my worst case scenarios. And there are plenty of banks who will loan without a balloon and I'm pretty good and keeping my units full so that's how I sleep at night. 

Paul you definitely gotta start somewhere. I guess my greater point was so many times people just apply with whoever posts a nice rate on a search result. You are better off with a referral or someone who you can shake their hand. Whatever you can do to increase your chances that person will be honest, give you best effort and come through. Now if you can close with cash if they fail then it is less important...