All Forum Posts by: Ray Egan

I don’t know if anyone has any opinion on this or not… I work at a hardware store full-time one of those “essential “businesses but I also flip houses… I use a register Florida Corporation to purchase my house and I’m wondering, if anyone knows if there’s anyway of getting a part of that small business stimulus package offered by the government… Just wondering… Any other opinions?

Thanks

lol .... it is even getting painful for ME to read!!!!

 To Amy Beth. My guy at Wells Fargo confirmed to me, after reading one of his contracts, that there is indeed one sentence in there that requires me to live in the property, or otherwise have the property as my primary Residence, for at least one year.……… The whole reason for my quandary and my posting here on bigger pockets.

thanks all

Sorry about the hard to follow bit.. my frustration is all over my post I guess!!

No, simply hoping that since a regular 30 year loan will allow you to live in a house for a year and then flip it or whatever ( primary home) why not a loan that will allow you to live in for less than a year.. hm loans are only for non occupied.. sigh..... I guess I’ll be looking at another year in my next house then .... no biggee..

Thanks for all your input!!

I swear this is the last time I will ask a question similar to this.

Here is another way of looking at my situation.

I have had two conventional loans of 30 years each. Because I enjoyed fixing up both houses, and added something like an outdoor shower and a patio etc. I stayed in my first house for 2 1/2 years, and the recent one that I sold four weeks ago I stayed in for a year and a half. Both using conventional 30 year loans...

Why oh why can’t I find a loan that will allow me to do the same thing in LESS than a year? 

I am the least greedy person that I know, and I would be more than willing to give, I don’t know, an extra $5000 to the bank as a bonus when I sell the property in less than a year for them giving me a loan! What bank would not want that?

 If the minimum one-year occupancy concern is only due to the fact that they want interest income for at least a year, then the last four sentences above this paragraph would certainly make them way more profit in interest than if I were to stay there two years! 

Is it just that no such loan exists? I’m 58 years old and in great shape, but I want to speed up my acquisitions and sales at a faster rate so I can accomplish more things, moving forward....

 The only other way I can think of is to try and scrape up enough money for a cheap , six-month rental apartment somewhere and then show a hard money lender that indeed I do live somewhere else so I can then  buy,, fix up, and sell a single-family home...I feel more comfortable dealing with a regular bank though, and,  as it’s July 4, no bank is open, and so  tomorrow I’m going to ask all the major banks that same question and see if it’s possible for them to write a contract to include what I said above. 

Thanks guys for your patience 

Frustrated Ray in Miami

My apologies. Am I the only one who’s email seems to be repeating itself every paragraph? I’ll try not to let that happen again

Thanks for the response. I am aware of the tax benefits however like I may have mentioned, my next step in my investment adventure is to fix a house up and sell it in less than a year.  all the time occupying it as I do not have another property to live in. That is the problem. Dodd-Frank says no to Hardmoney and private Money lenders. I would have to have another property to live in, and then that would be no problem. Perhaps after this next house I buy I will be able to afford to buy a small apartment and have that as my primary residence so hard money loans would not then be a problem. That’s the hurdle.

 I would have to have another property to live in, and that would be no problem. Perhaps after this next house I buy I will be able to afford to buy a small apartment and have that as my primary residence so hard money loans would not then be a problem. That’s the hurdle.

I do have a long email into an online private money and Hardmoney lender telling them my exact situation, maybe I’ll hear back from them today or tomorrow. 

Ray

 Not to beat a dead horse but I’ve had some replies to my former discussion, which indicates to me that in my quest to find my first flip property, not counting the last two houses over the last 4 1/2 years that I have successfully turned over for a profit using 2 30-year conventional loans, I can actually purchase a property using my S Corp.

The only problem is,  I would need to live in the property that I am fixing up, as I currently do not have a permanent home-base. I understand that Dodd-Frank comes into play As far as me not being able to live in the house. Does buying it through my corporate entity absolve me from that? Or am I just trying to be sneaky? A whole lot of money is not being made by my particular situation. And I need at least one more successful house “flip”, if you will, to allow me to purchase a cheap $15,000 apartment somewhere in foreclosure so that I can use that as my legal homebase and therefore qualify for Hardmoney or private money loans to do what I want to do.

 A whole lot of money is not being made by my particular situation. And I need at least one more successful house “flip“, if you will, to allow me to purchase a cheap $15,000 apartment somewhere in foreclosure so that I can use that as my legal homebase and therefore qualify for Hardmoney or private money loan to do what I want to do.

Again, any comments or advice would be greatly appreciated

Ray

Miami Beach Florida 

Sorry for the doubling up with my email, must’ve hit the wrong button somewhere!!

 Sorry for doubling up with my email, must’ve hit the wrong button somewhere!!

So if I understand what you’re saying, there are 30 year conventional type loans that I could get from Wells Fargo, for example, where I could say I am buying an investment property? I believe I’m just butting my head up against a brick wall all the time. 

One – I do not have another home

Two– I want to live in the investment property for less than a year

Three- I would like a 30 year loan to lessen my monthly payments. Do not mind making more payments or points Upon the sale of this next property to help out the bank!!

 Do you think there are any loans out there for me like that?