All Forum Posts by: Nicholas Pugh

Shoot, can we do one of these in Los Angeles?!?! :)

Another key point in loans is that the broker or direct lender will often try and include the costs into the loan, for some this is fine but you are paying interest on that money over a long period of time....FYI

Yes this is a Refi on a commercial property with additional large cash out included for sole purpose of reinvesting into another property, as well as a large operating line of credit in addition to the Refi is included. Prepay is only 1 year which is great if interest rates drop. My current rate is on an adjustable at 9.5% ...Ouch. So personally, this may be a good time to Refi with this 1 year Prepay and closing costs are not that high. I appreciate the feed back from everyone, as financing can get a bit tricky, not to mention complicated sometimes trying to look at all the different ways to calculate how financing can or cannot me more beneficial than your current situation.  

Thx for the reply, however, my asking if this is the right time to Refi was solely based on the current interest rates and what they will do on the near future. With the election over and the New year approaching ,its a waiting game for that extra 1/2 or full point to come down. Current rate for a 10 year Refi / cash out is between 6.5 - 6.75%.....coming down to 6% or under can make a huge cash flow difference over 5-10 year period. 

So based on these advantages, is this the right time to Refi or wait? 

Really good insight on the flip side, however I am not sure each area is deemed the same. I find here in Los Angeles ,the Accounting firms are basically like hiring a lawyer these days. Contracts with retainer fees, very high rates per hour and you never know what your going to get until they start digging into your financials. I have been filing business taxes for over 30 years and know very well what's involved in doing books, filings and other tax & legal advice and interviewing CPA's is the only thing you can do as well as look at reviews or possible referrals from someone you know. I am also finding that the personal relationships are pretty much gone and everyone for some reason is spinning you out the door as fast as they get another client in, leaving no time to even talk to you unless they can bill you hourly for that 5 minute call. This is my side of this of course so you can discuss this on your network :)....I am looking for a good CPA Firm now if there's anyone out there ion the Los Angeles area who can provide good service, financial advice, basic bookkeeping and planning. Feel free to reach out to me through this platform. Again, not trying to take away anything from the other side, but those prices you discussed on the chat DON"T exist in California......or at least I have not found since COVID hit. 

I agree, do you have all the Financial Summary and Property Facts?  Current Rents? 

As Russell just explained, it is the Agents fiduciary responsibility to act on the best interest of the client. If you as the agent are not doing your job as a professional and do not direct your client the right way with respect to agreements and contracts on both seller and buyer sides, you as the agent are legally responsible and could be sued if you are not providing the proper advice that is required as an agent. 

So something no one else has mentioned.....The BIGGEST reason you should always utilize an agent when purchasing a home is Liability and legal responsibilities. A good Agent will be responsible both legally and knowledgeable of what is in the best interest to the buyer, However with the new regulations about to take place it is also important that you discuss the commission side of things with the agent so they can explain the new commission guidelines that are now about to go into place. 

Question, with loan interest rates at a high currently and cash money sitting in the bank making 4-5%, maybe have your partner do a private loan for 6.5-7% short term until rates comes down?? That's what I would do...