All Forum Posts by: Nathan Letourneau

I sent a letter to a western Wisconsin homeowner in foreclosure. She contacted me tonight less than one week before auction (June 11th). I am potentially interested and from the initial conversation looks like something I'd like to move forward with. My question is.....do I have to buy/close on the property before the June 11th auction? I have access to cash so that is a possibility if the title work can be expedited. Or will they postpone the sale if there is a purchase agreement in place? I have bought at auction before, but never less than a week before one. Thanks for any advice.

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thanks for the reply Stephanie. That helped. Another question. I've had this property over 12 months. Was titled in my LLC (I'm the only owner/member). I changed it to my personal name to do a cash out refi under the direction of my loan person. Now, the loan person says the underwriter told them I personally need to be on title 120 days before they can move forward. Is this true?

thanks

Originally posted by @Stephanie P.:

Originally posted by @Nathan Letourneau:

I am completing a single family home brrrr in Wisconsin (home #1). I also own another investment property (home#2) with someone 50/50. Both our names are on title of home #2 but the loan is in the partners name. I'm in the process of doing a cash out refi on this soon to be finished brrrr (home1). The lender is asking for the mortgage statement for home 2 even though I'm not on it...is this normal? My partner likes his privacy and would rather not give it out. Advice?

thanks

If you own half of the property, it's an asset that the underwriter is assuming you are getting income from. If you're getting income from it, they want to know how much. The mortgage statement will tell them at least part of that story and with a little math to remove a percentage of the gross, they'll know if you're in over your head and if the property is a boat anchor or not. They want to see a mortgage statement that shows no lates, shows who's on the loan, the balance, taxes/insurance and the monthly payment instead of doing a title search for deeds. Frankly, it's an asset you own part of, so the lender wants to be sure they're not stepping into something bad (like a borrower that owns half of a property that's going into foreclosure).

Your partner needs to get over himself. If he wants privacy, don't borrow money.

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Thanks for the responses. I guess I should clarify. I have had the house more than 6 months and this is a cash out refinance so I knew I was good on that requirement. The problem is the mortgage person told me I could change the deed at any point to my personal name and things would be fine. Now, We are in process on this loan and she is telling me the underwriter is requiring that the deed being my personal name for 120 days before they can do the cash out refi.

I had this exact scenario a few years ago when I did a cash out refi and changed from the LLC to my personal name just shortly before closing. It wasn't a problem then. That's why I wasn't sure if this 120-day requirement was something new or if it was just something that the specific lender was pushing.

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I bought a single family house in my LLC with the intention of fixing and reselling. I've since changed my mind and want to hold it as a rental. If I change the deed to my personal name in order to get a 30-year mortgage, is there a waiting period on how long the deed has to have my personal name on it or is that bank dependent?

thank you

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Originally posted by @Joe Villeneuve:

Tax savings

Greater Profit

Cash Flow

@Joe Villeneuve are there tax savings for homeowners or just investors that are selling.

with rates as low as they are, do you advocate to buy with seller financing even though it is usually a shorter term (let's say 5-10 yrs) vs locking in a 30yr fixed if you intend on renting the new property?

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Insurance for vacant properties can be expensive and not a lot of companies will issue policies for them. Expect to pay about twice as much as a regular homeowner's policy. Try foremost insurance.

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I've done it all 3 ways (remove and drywall, drywall over and patch only what is needed. Keep in mind, usually if you open a wall (like removing plaster), the building inspector will usually require you to bring it up to code. This can include unsafe framing, electric, plumbing, insulation, fire blocking, hardwired smoke and CO detectors, etc. Make sure you budget (time and money) for some unknowns as you will definitely run into a few unplanned thing on these old houses.

as others have mentioned, you can update electric, insulation, etc without removing the plaster if you want.

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Thanks for the recommendations Evan and js. Was looking for box cabinets, but I guess I can check out RTAs.

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Minneapolis, Minnesota

Anyone have a recommendation for a cabinet supplier in the twin cities or the greater metro area? I had a great guy in Burnsville until a couple years ago. Since then I've bounced around trying to find someone else. This would be for nicer rentals and mid range flips.

thanks

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Minneapolis, Minnesota

All Forum Posts by: Nathan Letourneau

Nathan Letourneau has started 15 posts and replied 77 times.

Post: Wisconsin home sale before auction

Post: brrrr refinance question

Post: waiting period on refi when changing deed from LLC to personal

Post: waiting period on refi when changing deed from LLC to personal

Post: brrrr refinance question

Post: Why would a seller want to do seller financing?

Post: Insurance Coverage During Rehab?

Post: Replacing Lath & Plaster?

Post: cabinet recommendation in twin cities area

Post: cabinet recommendation in twin cities area