All Forum Posts by: Nilay Engin

Glad I asked to gain all of this insight form you all that I couldn't find searching online. 

On that note, is there a thread that the private lender resources were discussed, so I don't double down on the posting?

 Definitely not experienced. As finishing my first deal, if I repeated the process with a bank loan after 25% down, is there a wait period for any reason?
Why would I not be pre-approved with the similar amount after I show the rental income from the first deal since my financial makeup did not change much except I got a new loan, but a new cashflow stream to support and overcome it... 
I am thinking about going private lending for the new down payment just to accelerate things instead of saving on my own, but I am looking for the rest from a conventional bank loan. A chance I could go for the whole from the private lending if it aligns up well. Will analyze that next. 

I will be closing on a rental investment in two days and already have my eyes on another. I believe I found a way to come up with another 25% down payment for it. Would I be pre-approved for another loan right away? 

Anyone has any words of wisdom for me during the escrow that the inspection report has some items that I'd like to be corrected prior to closing. Some are safety issues and some are convenience / extension of useful life for items. I ideally would like everything (27 items) to be corrected and requested them all making a list and pointing them out on the pages of the inspection report. If I have to choose my battles, I'll shoot for the safety related items first (7 items). What would be the most effective way of requesting this from the seller? This is an investment property and I personally want to hand it off to the renters in the best shape possible, but as I am making an out-of-state purchase, I won't be able to hire contractors or do further repairs immediately. Also the renters are supposed to move in this weekend, I was told.

@Nilay Engin

Please excuse the typo!

Hello. I’m looking to become a first time investor purchasing a single family home! YI’ve been learning so much from Bigger Pockets and would like to give back by offering insight and advice in Management and Leadership.

My background is in Organizational Leadership (Ed.D from LaVerne class of 2013) and I have served as a Principal and teacher for high school students in the field of education for the past 15 years. If there are questions or concerns you have concerning conflict resolution, meeting facilitation, or project management I’d love to contribute so please fire away with any questions or comments!

@Sammy Lyon this is a fantastic story. I too am a teacher. I teach at a continuation high school and am embarking on a new phase; I recently discovered BP with my wife. Where to start!?

Today a webinar pushed me to take action by analyzing a deal a day, for 30 days (is this achievable?).

-Carr

@Ryan Deasy, my 401k allowed me to make a withdrawal for a principal residence which was definitely my choice as opposed to a loan. With that I only borrowed about $201k from the bank and that was the amount contributed to my DTI.

Also thought about purchasing a second property using my rollover from 401k when I changed jobs. In the first case I wasn't charged a penalty because it is going from one long-term investment to another (- that is if I am not mistaken. I wasn't very knowledgeable about how things worked when I was doing the deal. I didn't have much awareness or help. I needed a solid place to live as a single person with no family in US or immediate help in investments or real estate. Now I know better after a couple years.) But if I take out a withdrawal from the rollover investment that I have now, it may be taxed and a penalty of 10% may be applied right away I am afraid especially as it won't count as a principal residence. 

However, I need to learn the rules and loopholes if it is still treated as a principal residence if I live in it while renting my first residence in about 4 years. 

Investment Info:

Single-family residence buy & hold investment in Bakersfield.

Purchase price: $253,000
Cash invested: $50,000

A single family home I bought to live in when was single and rented 2 rooms for 2 years. Upon getting married, had my husband move in and removed one of the renters to make room for his kids. Made a plan with husband to pay off the property in less than 5 years and buy another house in an area we would like to live in and pay off the new mortgage of the second house with the rental of this unit.

What made you interested in investing in this type of deal?

Renting was too much and my last rental had me buy appliances which I did not want to carry to another rental but to a long-term residence that I can call my home.

How did you find this deal and how did you negotiate it?

Contacted and agent on Zillow to talk about a property I was interested in. She started talking to me and I gave her 3 addresses to check and evaluate and this one was the winner. The appraisal showed the house was valued at correct price. I was in a rush. when I got accepted I did not push any further.

How did you finance this deal?

20% down from 401k and the bank loan for the rest as in FHA.

How did you add value to the deal?

Used Airbnb to bring in cashflow, then turned into permanent renters.

What was the outcome?

The house is spacious and I enjoyed having good renters around whom bring in cashflow.

Lessons learned? Challenges?

Good renters may not be easy to come by. sometimes as cashflow is the best interest, but a good screening and understanding of house rules and regulations should be discussed in detail.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

My real estate agent was a go getter Heather Gullani. Also her lender Kevn Gonzalves worked very fast given the push and quick delivery of the requested documents by me and we closed the escrow in 29 days.