All Forum Posts by: Matthew Raby

 Did you ever find out about them? I have come across them multiple of times but I am weary of any company. Get taken advantage of once and every company no matter how legit they seem I don't work with them unless I can do my own research to vet them out. With people I actually know.

 Yes I am trying to build a large enough rental portfolio for the residual income. But I know sometimes I may need to sell to get a larger lump sum up front to help with lack of any other income currently. 

I am using HML now but it is hard to do a Full BRRRR because at least with the last one I still left $14,000 into the property plus since I tried selling first I had $10,000 in holding costs over the 6 months it took in rehab and 3 months of it sitting unsold on the market until I decided to rent it. I was looking to flip a few properties first in order to build up a little stack of reserves before starting to purchase for rentals. The one I close on this week the numbers don't make sense to keep as a rental. But hopefully it sells quick this time around.

As far as Owner Finance, I have tried a few times but not sure if I am structuring it correctly. I have talked to my HML for the property owner to do a 24-36 month Owner Finance for the 20% down to allow me to qualify for a DSCR on a turnkey small multi-family. But the owners want the money now and not have to wait or they would rather keep the rental property because they would bring in more than what my payments to them would bring.

I am looking for suggestions, if any available. I am trying to find ways to raise capital to scale my real estate business. First and foremost I have tried the typical solution of friends and family. I come from a poor upbringing and don't really have family members that have any money. And being introverted I don't have a lot of friends. Part of the reason I threw myself into work and used to work 60-80 hours per week until I was let go last year when a new Upper Management came on board and started replacing managers with personnel from his previous employer. I had enough in savings to start my journey in Real Estate. I have done decent this year but waiting to sell takes a lot of time. 

So my other options were to use my good credit but of course all of the loans want to use my personal credit and impact my debt-to-income. I have used a HELOC from one of my rental properties and I just refinaced a house that didn't sell after I got it rented out. I pulled some money to go towards my next deal. I am under contract for purchase of my next project but then I am stuck on that deal and not able to take down another deal without more capital. The deal I just refinanced at a 75% LTV (DSCR Loan).

So again the reason why I am here is looking for suggestions or help on how to raise capital to scale. I am very weary of online places because it is very hard to vet out a company. For far too long it was too easy for these places to pay for reviews, have employees rave about a company, etc. 

TIA for any help!

I haven't used them yet. I came here looking for answers as well. @Marc Shin have you tried using them yet? Any hurdles or was it fairly straight forward?

 Are you talking about https://www.cfri.net/? (I haven't joined yet) I have went to 1 of the bigger ones in Orlando but the primary was a guest speaker about his seminar. I am not at that stage yet to spend $1000 + travel expenses for a seminar/workshop. 

I did go to one of the meetings in Melbourne as well. I am technically a little East of Orlando in Titusville area, Brevard County. I do come to Orlando a couple times a month with a BiggerPockets meetup and another social meetup. 

The property in Arkansas is a 2 story 2195sqft on 0.92 acres 3bd 2.5ba. In a little higher end neighborhood. Has a great view off the back deck over looking the city.

@Elijah Tisdale Not meaning to post hack here but after you get this all figured out get in touch with me. I have 10+ years in the Finance Sector (not investments) but I can help you with your credit and give you pointers on how to improve your credit and increase your odds of better terms in the future. This would be more of a credit education not anything along the lines of disputing or trying to get things removed. Just experience with education and explaining how it all works and what all you need to look for. You have great monthly income and there is no reason you shouldn't be 740+ with the correct kind of debt. 

After being laid off back in Oct 2023 from Upper Management change (New COO) that let my General Manager and then myself go 40ish days later. There were others in the same organization at other locations that had the same thing happen. Either way I took this as an opportunity to expand my portfolio. I was fortunate enough to have saved a decent amount of money to survive this long.

I started my journey back in 2017 with a New Construction house that I purchased and lived in as my primary residence. Then about 18 months later I got an out of state job offer and left Arkansas and I decided to rent out this property. I have had it rented out since July 2018 and have had a great property manager handle everything since. Part of the reason I purchased BP Pro was for Rentredi so I can take over the Property Management myself.

Earlier this month I got my first Fix & Flip property under contract. Should be closing next week. Didn't have a choice but to go Hard Money on this deal because the only Private Money Lender I have found didn't want to do a deal out of the state of Florida (property is back in Arkansas).

So far the numbers are looking pretty good and I hope everything goes well with it. I will likely be seeking advice here if I run into issues.

Purchase Price: $155,000 (Down from asking of $175,000 to $160,000 and finally to $155,000 after higher rehab)
Rehab Price: $79,900 (Original estimate was $60,000)
Appraised value: $310,000 (Original Estimated ARV: $285,000)

I am hoping to list it for $319,900 or $314,900 when the rehab is completed in about 7 weeks.

This is so far my only journey into Real Estate investing and hope to do much more and learn to scale my portfolio quickly and get to use the BRRRR method when it is available and makes sense.

Glad to be apart of the BP Pro members.

 Not meaning to hijack the thread. But Cameron, I live in Florida. And I am looking for a mentor. Can you DM the information?

 Jayson,

Would love to chat sometime about your experiences and projects. I am new to the DSCR space. Send me a dm and we can connect sometime.

@Matthew Crivelli, great! Any suggestions on finance companies? Is it best to do ARM vs fixed since the rates are so high that if they go down my mortgage would go down? What would be the best suggestion with the current market with a loan under the LLC? At this point even with a duplex is it still considered a commercial loan? The reason I ask because I have looked at some 7 unit properties as well but knew that anything over 4 units would be considered commercial.

How long before I could use the equity (from the 20% down) to purchase my next property? This way I could get to a larger portfolio vs only doing 1 property a year.