All Forum Posts by: Matt J.

@Debbie LaRue The building process will take too long for a hard money loan to make sense. Most are 6-9 month terms. Depending on the lot and needed improvements you could be looking at well over a year for the building process.

Your easiest route would to buy and build as your primary residence. There are several regional banks that will finance you with enough down (I’d estimate 25% minimum).

It will be a lot more work to get it done if you’re going to do it as a spec home.

Good luck.

@Courtney Ann McShane I’ll add it’s not allowed in Puyallup

@Courtney Ann McShane Yes, Google TACOMA Additional Dwelling Unit, it’s allowed.

@Michael Ballard I asked my local CU about this financing strategy the other day. They said that they’d consider the seller financing the down payment and I wouldn’t have to come out of pocket anything as long as it cash flowed. Not sure I can post the name of the CU in the form but send me a request and I’ll share it with you.

@R.J. Petrillo I don’t know your market but find this hard to believe. With 20-25% down you should be able to get a loan no problem. Call your local Credit Union, I have several residential and commercial loans with them. A couple of them were obtained in the last month.

Good luck, don’t give up.

Washington State says if there’s no move in and out checklist signed by both parties you cant keep any of the security deposit. You must return all of it. Hate to say it but sounds like they knew this and took advantage of you. 

@Richard Lutz +1 for using a credit union. I just did a cash out non-owner on one of my SFR rentals. Rate was mid 3's.

@John Thao The interest rate seems fair if that’s what you’re referring to but without knowing the specifics/numbers of the deal it’s impossible to know if it’s a “good deal”.

@Charles D. I just re-read your post and you said your tenant lease expires August 31st. If the eviction moratorium is lifted August 1st serve the notice once lifted and you should be able to have them out by the 31st. Check your lease to see how much notice you’re required to give them. All leases I use only require a 20 day notice.

Good luck.

@Charles D. What does your lease say will happen after the initial rental period? Does it say it will go month to month? I’d respond to your tenant with what your lease says. “Hello Mr. Tenant, after your initial lease term the lease go month to month” Then when the moratorium is lifted terminate the lease.

Has your tenant been paying on time? If not you may be on shaky ground if you terminate the lease immediately after the eviction moratorium is lifted as they could be seen as retaliation.

I belong to the RHAWA and as a member they provide me advice on these types of questions. If you’re going to self manage I’d strongly encourage you join.

Please verify all information yourself as I’m not an attorney.