All Forum Posts by: Michael Mullins

Looks like fun I'm in.

@Jeremy Fay

Sounds good I’m in

@Gil Ganz

I understand where you are coming from and I do something like that. But I refi 75-80% of my cash back out of the property asap. That way I can use the low rate of a commercial bank. 

I also only purchase property's off market at 50-60% with 5-10% in rehab costs. Once I have the property rehab'ed (paint and carpet) I contact my commercial bank and they send out the appraiser and run the rental amount. Remember a commercial lender only cares if the property can generate enough cashflow to pay the debt and put something in my pocket too.

Once I have my money back, I'm off to my next property.

The issue with not pulling your money out of the deal is your return is WAY TO SMALL and the rick is WAY TO HIGH. 

Think of real estate as, how efficient you can be with your CASH, and how can I borrow funds at as low as humanly possible for the longest time I can get my hands on. 

It might be a good idea to get in contact with them before the foreclosure. You can go to listsource.com and find home owners that are at least 3 months behind. You can then use skipgenie.com to find the phone numbers, address and email address. Scrub them for Do NOT CALL list. And call/text/ and email the once that aren't on that list. 

I'm going to tell you the truth, working foreclosures will kill your soul, they are NOT motivated most of the time to do something to fix the problems they have until 1 second before they take the house. It's crazy how out of there skulls these people are. And then the day before the auction they CALL YOU UP CRYING, demanding you to fix the problem they got themselves into. 

So set up a automation system (REIblackbook.com) to stay in contact with them with out you wasting to much time. 

You can do this, stay on it and embrace the suck, and you will be successful.  

@Lashonda Reese

That is a good point.
I would like it if people went around the table telling people there name, and a little about what they do, and what they need. It's a great way to network to everyone quickly in the group. 

Option A
I live in Cedar Park and own cash flowing property in Killeen and cove. If it doesn’t cash flow I don’t buy it. Trying to bank on appreciation is gambling. If you want to do that go to Las Vegas. 

What are your long term goals that you want to achieve? Live off your rentals. Right

I have two LOC's on two of my rentals and one HELOC on my personal house that I live in.

It's important to understand that there is two sides of a bank Residential and commercial. You are going to need to talk to the commercial side of the bank if you want a LOC on a rental. You can't get a HELOC on a rental, that is only for a house in Texas that is homesteaded. (You live in the house)

LOC are pretty easy to get, but do remember just because you can borrow money doesn't mean you should. Make sure all of your rentals are profitable, and ready for a down turn in the market. It's also helpful to have reserves saved up in a savings account for those raining days that we know are just around the corner.

 Feel free to get in touch and I'll give you my guy that I use.

Hope that helps.

I only put it on the mls if I paid cash for the property and closed at title or I did a sub 2 and my company’s name is on the deed.

Remember you have to own it, before you can put it on the mls. If you are just wholesaling, you don’t own the property you own the contract.

Always tell everyone the truth, and then put the truth in writing.

Sounds good, can't wait to meet everyone.

Lunch time would be perfect. And I’m open to any location and date.