All Forum Posts by: Michael Dunn

Thank you for every ones input

Yeah, I think I'm going to go ahead and try to purchase as an Investor

Since I'm wanting to Flip the house, I figured that a bit more patience on my end will be well worth it vs buying as an O.O. and only having to put 5% down for the 10% down, that is required if you purchase as an investor

Can someone please clarify how a Renovation loan via a HomePath property works..... Is it still 10% down or does it go up to 15% if you add on the Renovation part of the loan ?

Also, to purchase a HUD property as an investor , is it too, 10% down ?

Thank you everyone for the help

Thank you Brett , I appreciate the clarification

Thank you for your help

type property as an Investor for 2014 ?

I was thinking of purchasing as an O.O. , but It seems I will be able to come up with a bit more cash than I first thought, so I am now considering buying as an Investor

I want to be able to Flip houses ( for the time being ) vs purchase as a Rental, and am wondering which type of financing will allow me to purchase as an Investor , for the least amount of money down ..... HomePath, FHA or VA ?

From what I have read, HomePath is 10% down based on the purchase price, which is definitely cheaper than going with a Convential loan, which requires 20% . Is a FHA or VA 10% down as well?

Just needing some confirmation and or information on the current policies, regarding the various financing options, to purchase as an Investor

Thank you every one, I really appreciate it

you have/ get done, the major repairs, that you may have to make with a Rental

My question is in regards to the 50% rule , and the calculations for it

I know how the numbers work for it, but what if you replace the HVAC and put a new rook on the house, after you purchase it.

So could you know assume a 35 - 40 % " Rule " , since you have just replaced 2 of the biggest possible repairs you would have to make on a Rental ?

Just a question to popped into my head earlier today

Thanks every one

So I finally got my taxes back in , and I know my numbers , via what I can afford, and it's looking a bit grim ( grim in the sense that I can afford a lot less of a house than I initially thought I could ).

Here's a quick breakdown:

based on my last 2 years tax returns and dividing that by 24 months, my monthly income comes out to $1,350.

Using a DTI of 47% and of 50% , and my monthly debts being $200 a month , this only leaves me with being able to afford a Monthly note of $425 - $450

Now, here's the dilemma ...... I owe $2300 in taxes this year ( so that leaves me with $2300 less that I could use to pay down my monthly debts, thus increasing the amount of house I could qualify for , and also it now leaves me with less that I could use for a Down Payment )

Now I still have $2000 saved up, not counting the $2300 I'll have to pay in taxes. So what do fellow BP members suggest I do please?

I could use that $200 I have saved up and pay down my debts, but then I won't have anything saved up for a down payment, and if this is the case, my only 2 options are........1. go with a VA loan, which would allow me to get into a house with zero down payment OR 2. I'd have to go with the THDA down payment assistance program ( which I really don't want to do ) and yes, number 3. Just wait a bit longer, and save up some more money ( which I don't want to do ) lol

Sorry for the Long post, just needing some advice from those that may have an answer/ solutiuon - Thanks as always - Michael

just starting out in real estate, what would be the recommended way for someone with $30,000 to Invest, to go about it?
1. Would putting 20% down on an REO, purchasing the property as an Investor and using the remaining money to pay for all the repairs and Rehab , be the best pay to go. To atleast get into the " Flipping " side of real estate?
Other question is, if you purchase a property as an Investor, how soon , can you do a cash-out refi, to use the equity of the property, towards the downpayment/Repairs for your next " Flip " ?
Thanks much, I appreciate everyones insight and input

Wanted to please get other BP members opinions on HomePath properties/Loans...
1. I know that the required Percent down, to purchase a HomePath property as an Investor is 10%, and with that, would it be best to pay for any and all required Repairs / Rehab work out of my own pocket, vs applying those costs to the Loan?

2. What are the current Flipping rules ? Is it still just 90 days?
And what about not being able to sell the property for a certain % above what you paind for the property, and or a certain % above what its ARV is?

Thanks much - Michael

I can afford, based on the current 2013 tax information that I currently have. These are mainly rough estimate numbers, but they're close..... Credit score = 680 - 700
My 2012 and 2013 taxes show a total of $35,000
My montlhy debts, total $200
And I'm looking at going with a VA loan as my first choice and a FHA as my second choice, so my max Debt to Income will be 50 I believe.

From these numbers, I'm guessing I can afford a $450 - $475 house note ( tops ). That seem fairly accurate?

If I go VA, I know I can avoid paying PMI, which would save me $35 - $50 a month

And If I end up going FHA loan, I'm looking at going with TN's downpayment assistance program.

Thanks much for any and all comments and opinions. I really appreciate it

I kina figured that was how they were priced ( at current market value ) based as each properties as-is value. I have been monitoring a few houses over the last few months ( keeping up with the time inbetween when a property's price is reduced, as well as by what % the drop in price is. The % drops in price, have been 5% on one house, 2% on another, and a max of 10% on two houses that I've been monitoring on the homepath site.

Does anyone know, why some are only reduced in price by 2 - 5% vs those that are reduced by 10% ?

The houses that get reduced by 10% were likely " inflated in price " at their inital listing ??

I plan on owning it for more than 5 years, just don't plan on living there more than a year ( if all goes according to plan ).

So if my purpose for purchasing this property was to live there a year and then sell it, go with the 5/1 ARM ?

If I plan on keeping the property as a Rental for 5 years plus, go with the 30 year fixed ?

Thanks much