All Forum Posts by: Matthew Aubert

 They seem fine. Not too sure though. I have never talked at lengths with anyone who invested with them. I do not believe the provide the management in-house. A Turnkey provider should own the home first, renovate it, place a tenant BEFORE closing, and handle the management. I would also look at other markets as Memphis has been flooded with investors.

Try looking at:

5 Keys to Turnkey Real Estate Investing

Assessing the Risk of a Turnkey Real Estate Company

Thanks Tom. I spoke with my WhatsApp group and one guy said they're pricey. They also do biz in other large cities. I'm overseas so thought this coud be a solution but if it wipes out most profits then not too sure. I believe the turnkey company I mentioned deal mainly with single family homes which is good but I'm looking more at multi-families. I'll check the links you sent. And appreciate the response.

Hi Ali. Yeah I'm referring to turnkey companies in general. They said they can assist with closing (not sure what that means) and I do like the managing of properties they offer. I havent spoke with them but just wondering of anyone here has had any experience with them. Also wondering how many investors have been screwed over if any with using a turnkey company? I was not aware that there were companies out there providing this service but sounds good especially when living overseas. 

@Matthew Aubert Just do your due diligence.  Whatever market you choose, make sure you can get good references from others who have had success - especially with members of the "team" you build.

Also, as you build your team you want someone to help you verify what you are purchasing and what the possibilities are.  Personally, I say, whomever is selling can not be the person who helps you verify.  Don't put too many eggs within one basket.  Building a team does not mean, just going with one person for all of it.  This is where the due diligence process can break down.  

Now, it can be hard to build a team and can take some time. I originally come from a basketball background.  My analogy is - your big man rebounds and scores around the basket, someone else brings the ball up the floor and distributes it, someone else can hit the outside shot.  There aren't too many LeBrons out there.  

I'm in Indianapolis.  Let me know if you'd like to discuss anything.  Be happy to help. 

@Matthew Aubert you can have as many properties as you want, and as many financed as you want. However, if you are trying to obtain a CONVENTIONAL investment property mortgage, you can only have a total of 10 PERSONALLY financed properties to be eligible, INCLUDING the property you are trying to finance at the time. So what many investors do is they buy 9-10 properties using Conventional financing, then go to a local bank and convert them into commercial loans under their LLC. Once the LLC is the borrower, not you personally, it frees up your eligibility to obtain more properties using Conventional financing again.

The cost of each Conventional loan is negligible compared to the cost of commercial/portfolio financing, which likely also will have a higher interest rate.

There is a LOT of strategy and future planning that you should be doing, and that's why it's critical to have a great team looking out for your best interests and not just on the current transaction.  Your loan officer, realtor, CPA, attorney (if applicable) all should be rockstars that specialize working with real estate investors and are passionate about actually helping you build your empire.

Best of luck!

 @Matthew Aubert the limit is 10 traditional 30 year mortgages that a person can acquire.  I talked to a lender last week that will only finance mortgages for individuals with 6 or less mortgages, which is a in house company policy of theres.  Once you have over 6 financed properties the reserve limits do climb to 6% reserves on all remaining financed balances, and 6 months reserves on the property you're purchasing. Your primary residence is exempt from reserve requirements. I'm currently at 7, I plan on getting as close to maxing that number out then transition to arms or start paying off my existing properties.  An arm is adventageous  for there is no reserve requirements.  

Hi Matthew,

You got it right. Print documents here, notarize at the US Embassy only what's necessary, and FedEx the whole package. 

Like I said you could also use a power of attorney. Be aware, if you're going to have a mortgage on the property, both the closing attorney and the bank will need to approve your POA document for someone to sign the documents for you. And that POA document would need to be notarized. Next time you're in the US you can get a document like that notarized at your local bank for free, or $50 here at the US Embassy.

As far as a number for the US embassy, they only accept appointments through their website; just search for notary. And their schedule usually has a week backlog so be sure to book in advance!

Let me know if you have any other questions. 

Best of luck, 

Phil

Thanks Philip. Sounds like either notarize or POA. Makes sense though but the notarizing here is little crazy but what can you do. Appreciate the help and if I have a question I'll definitely ask you.

haha I see! Never been out there. I sometimes go to Abu Dhabi and host as well, but not very often. 

Regarding your documents, can’t you just get a power of attorney with a lawyer at home? I use my lawyer in Indianapolis to handle all of that. 

I brought a few 1000 extra to closing for my primary residence to avoid the jumbo loan.  The jumbo loan interest rate was .5% higher than traditional.

I also bought 3 duplexs last year listed at $528,000.  They all had seperate lots, for a traditional loan the bank required 1 loan per parcel.  We then amended the offer to 3 offers and closed on all 3 simultaneously.

Hey @Matthew Aubert! Cool to see you live in Dubai as well! I’ve lived here for 7 years and hosted real estate meetups for 4 of them. If you want to network or just talk real estate, you should join us! It’s free and pitch less! I always announce the meetups in our WhatsApp group, so message me privately with your number if you want to be a part. There’s about 70 people in our group and our meetups usually have about 10-15 people every time. Next meetup will be early January