All Forum Posts by: Patrick Davenport

@Sean Ruggiero look up James Neathery or Ryan Griggs on you tube. They have a Banking with Life podcast. Neither one will steer you wrong. The key is becoming your own bank. It takes time but we’ll worth it

@Mike S. IUL’s are a horrible long term play. Whole life is the way to go. Trust me on this

@Mike S.

Thanks for all the responses and great input guys!  It's much appreciated

As I'm starting this journey I'm finding no lenders who want to go 30yrs on a single family home rental property. Am I going to the wrong sources because typically what I'm getting is 30yr ARM with a 5 year balloon/renegotiated. I am looking at purchasing these in my LLC. Would it make a difference if I bought by them in my personal name then transferred to my LLC? Any additional resources would be greatly appreciated

If you manage your own properties do you use any of the rental apps & if so which do you prefer?

Thanks, Patrick

Today I ran into a long time investor looking to retire from land-lording. (OFF MARKET properties) 

He & his wife are wanting to travel the world and such. He has 15 properties and we viewed 7 today which. He will be putting new roofs, adding a new AC unit to one before me buying them & doing minor remodeling on the two he's ready to move now. I think his price is fair but his rents are slightly low. (Current tenants have occupied property 10 years). Both properties will meet the 1% rule but barely. I Said all that to say how do I approach my lenders/banks to possibly combine the two properties into one loan? What's my best approach? My credit is fine but I'm struggling with the best approach to handle this. Btw I have two properties in which I have 100% equity in, one single family & one commercial, but both owned in my LLC

Investment Info:

Single-family residence buy & hold investment in Andalusia.

Purchase price: $72,900

3/1 1100 square feet

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

Passive Income

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

Driving neighborhoods & put in an offer 20% below asking price. The owner countered slightly higher and we made the deal

How did you finance this deal?

100% HELOC from my primary residence purchased this property

How did you add value to the deal?

Added a washer/dryer, stove, refrigerator, microwave and dishwasher

What was the outcome?

Property was rented within two weeks of putting it on the market. Beginners luck?

Lessons learned? Challenges?

Get preapproval before making an offer or the wait can possibly cost you the deal.

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

Only the property manager so far. Finding out that many real estate agents are somewhat lazy. Sorry agents, but I am sure it's not anyone in here. haha

Excited to be here with the rest of the Bigger Pockets family and learn as much as I can from all of you as I am really new to the game! I currently have 3 commercial properties and one single family residence (all occupied).

  I am currently looking into a 5plex that originally was a single family residence and struggling to find reasonable insurance rates.  Cheapest I have been quoted is $3,500 a year when I was expecting $2,300 per year. As of now 4 of the 5 units are currently rented out for a total of $2,725 as the 5th unit is being completed(a studio apt) and expected to get $475-500 mo.  The entire property has been redone and is in really great shape with all new appliances.  I am still running the numbers especially now that I have realized the insurance much higher than anticipated.  I've put in a verbal offer of 272K and the seller has agreed to it.  I plan on putting 20% down, but trying to find the best financing possible.  Not sure how banks will react to a converted single family home to an apartment. Any input would be great on insurance or lenders for this type property.

Thanks

Patrick D.