All Forum Posts by: Kimberly Land

@Joey Nakayama This is an excellent question with answers I need!  Thanks for posting.

@Brie Schmidt You are doing it girl!  Nice...and thanks for such wonderfully detailed info.  Newbies like myself learn from these posts.  Thank you.  

Since you are a fellow Chicagoan, how did you find the contractors, that you apparently trust, to do the work in Milwaukee?  

Also, did the lender require that you already own property in order to get a commercial loan.  

I admire you Brie.  Keep up the awesome work. 

@Kelechi Okoronkwo 

" If hard money lenders require 20% down or more as some say why not just go conventional."

When you use a HML you can get the 20% back when you refinance, which means you can use that some money to purchase another property. In conventional you cannot immediately refinance after a purchase unless 1. you rehab or upgrade the property (which means more money from your pocket) or 2. you wait 6 months (or more, depending on the lender) for an increase in value, however, this may or may not happen, depending on the market. Plus, HML finance faster (generally speaking) and have softer guidelines than conventional lenders.

"Do hard money lenders loan money to new investors with 0% down and for the value of a property after renovation."

This used to be the case but not anymore, especially for new investors with no track record and no borrowing relationship with the lender.  When I was investing back in 2005 and 2006, my business partner and  I could get a hard money loan with about $100-200 down for inspection. It was so easy to get a loan.  THese days you have to put SOMETHING down, generally 20% and have some additional funds for closing costs and reserves.

@Amanda Sutherlin Congratulations on this property!  The pics look really nice.  

Can you give some detail about the loan process for the Homepath property? Is it the same as a regular, conventional loan--taxes, income, bank statments, loooong closing time, etc.?  

Also, did you apply with the banks listed on the HomePath site?

Thanks everyone for taking time to answer ...this has been so helpful.

@Pam R. Whoa...crazy, but good to know.  What website did you visit for this information?

@Vee K.

@Nick B. 

Thanks for the suggestions. I will def keep these in mind if I submit a contract and it's accepted.  

@Jerry W.  All good points, got it, thanks!

@Vee K. Ahhhh, good one!  Thanks!

I'm considering a multi-unit buy and hold property.  I own two properties already, however, I found and placed those tenants.  

This would be my first time walking into a situation where the tenants are already in place. What sort of questions are important to ask?

This is what I've come up with:

--ask for a copy of the leases and tenant app. make sure every tenant is on  a lease, no verbal agreements

--which lease(s) will be ending soon?

--which/how many tenants have been late?  how many times? 

--are you evicting any one right now?

--what improvements/updates have you done to the property in the last year? 5 years?

--any additional people in the property that were not on the original lease (given the area, I have to ask this...it's quite a possibility)

--are any of the tenants the owner's family members?

--how do the tenants pay rent? (I ask this because my current tenants pay me by only TWO methods that are SAFE for me--electronically/online or direct deposit in a special bank account)

--are appliances tenants or owner's?

**Am I missing anything???  Thanks in advance for your help BP. ;)

@Antonio Coleman Wooooow....damn good idea....