All Forum Posts by: Matt Camilliere

Hey Reid, I'd recommend connecting with some Hard Money Lenders to gauge terms and see what you can actually afford with the cash you have. 

Typically - to refinance out of a HML you need a 20% (25% preferred) Loan To Value. Example - if a lender gives you 160k to purchase and rehab a project, it has to appraise at 200k or above for you to qualify without bringing extra money to the table to close.

The 20-25% LTV is for Single Family Investment Properties. Multi-Family is 25%.

You can go a couple routes here:

1. An under the radar strategy that's great for first time home buyers - purchase a property with hard money through a wholesaler (or other lead source), fix it up, and refinance into an owner occupied loan. You only need 10% LTV to qualify for this (confirm with CO lenders). This is a HUGE advantage because most investors need that 20-25% margin and most people don't shop for a fixer upper project when they want a new home to live in... You only need a 10% margin if you'll live in it for the next year. Any extra beds is a house hack!

2. CO is booming with tech companies. If you're new to it, get an SDR/BDR role at a startup that offers a salary and equity. Lenders need 2 years of work experience to average your hourly wages for you to qualify, BUT if you get a W2 job with a salary they'll use that to qualify you as long as you've been in seat for 6 months. I want to work for my self and I know I will, but I got 2 properties in the past 6 months because my W2 allowed me to qualify for the loans... And I know I'll qualify for the next one.

If you have any questions feel free to PM me. I'm well versed in Hard Money Loans and also know how to land a tech sales gig in a few simple steps. 

Hi there! I purchased a condo (owner occupied) and a rental property this year (both with hard money, both refinanced, rental will be leased out this weekend) and I work a W2 job. 

Apparently the  time has come where I need a CPA in my life - any referrals or active CPAs on here - please share + reach out.

Thank you!

Hi BP Community,

Please help!

Prior to buying my first property, my credit score was excellent. After I got a mortgage it dropped 30 points. Last month it dropped another 10 points  after a lender approved me for a conventional loan on an investment property. 

Now I'm under contract on a new property that I will BRRRR, but I'm nervous I won't get the interest rate I deserve on the refinance because of too many credit inquiries... How do I avoid this moving forward - how can I raise my score quickly? Can I get rid of these "Inquiries" if no credit came from them?

I appreciate your time!

@Aden Brust

Are you planning on going to college?

Purchasing a home in your college town and renting it out to your friends would be a smooth way to start.

Hi BP Community,

Need your input!

Save to afford a project in Austin, TX? - High appreciation potential

Start buying rentals in Killeen / Copperas Cove / Harker Heights, TX? - Positive Cashflow, guaranteed rent if military tenants.

@Aaron Gordy big fan of that quote! My father always lectured me on that as kid... And proceeded to make me watch him cut and hold the screws! With the mystery of what's behind the walls - do you find yourself drawing a line towards a certain year build in Austin?

What are typical Hard Money terms that you work with - fees, downpayment, interest, % financed? @Alex G. would love your input too. 

@Alex G.

I've bought one deal through whole sale and fixed it up with a hard money loan. Everything went smooth! I refinanced into an owner occupied loan so it was pretty low risk for the lender. Now I'm looking for a flip or a BRRRR and my main issue is having enough to cover the HML costs.

And thank you for the advice. I'll look into Jason Pain with ISB Capital and consider the whole sale route.  

@Alex G. From your experience, what's the best way to fund something if you're short on cash, but you have a deal that's a sure fire win? Keep the horror stories on the back burner there's no benefit there! I'm moving forward with my head down and seeking help along the way.

BTW - I'll keep you in mind if I do find an off market deal that I can't fund, but seems like a win - big fan of your bio!

@Brian Eastman thanks for the insight. I'm not advising anyone on this - I just heard it from a colleague and was looking for approval or disapproval here - thank you.  

Hi BP Community,

Firstly - has anyone had any experience taking money out of their Roth IRA during COVID-19? I heard there's a 100k withdrawal allowance with no penalty and a 3 year grace period to replenish withdrawn funds. I'm thinking about pitching this to a few potential investors to fund part 2 (below) of this post - what are the tax implications of an early withdrawal and has anyone had experience doing this yet?

Secondly - I am looking for private money (5 figure range) to partially cover hard money costs (15% down, 2.5 points, 11.5% interest - 100% funding). I am based out of Austin, TX and am open to discuss with anyone looking to make an easy 8-10% on their money (ATX would be nice, but not necessary). $$$ needed for Flips and/or BRRRRs.

If anyone has further advice on raising private money please advise!