All Forum Posts by: Patrick O'Hara

Hello all, 

TIA for all of your advice and input. I live in Kansas City and have painting company I started in October of 2018. So, I do have 2 full years of great financials/bank statements. However, one lender I reached out to said I need to have 2 years of tax returns filed through my small business before I can be pre-approved? Is this true or can I be pre-approved solely on the 2 years of bank statements?

I can put down 25% cash down on the property right away but just need to know if I have to wait until Q1 of 2021 in order to move forward with the loan process. 

Thanks,

Patrick

Thank you kindly for the input @Tim Herman I will update some of these numbers in the rental calculator and see how the deals pan out after the adjustments. As a very "green" real estate investor I whole heartedly trust your numbers. 

We are using a first time home buyer loan and can "buyout" the PMI for a couple thousand dollars so we plan to do so to dodge that monthly expense. As far as dodging the closing cost, we are praying the seller will take care of closing costs. If not, well then that deal isn't for us.

As far as the two properties go, I am leaning on the side of the property that needs little to no work although the house that needs some rehab and work would probably provide a better ROI. Less risky for the first property will allow me to rest peacefully at night.

Thanks again for your time sharing your wisdom here. 

These are both buy and hold investments but one is clearly utilizing the BRRRR strategy and the other one is pretty much ready to move in. How exactly can you be sure the rehab and ARV is determined accurately? Because after all, if you miscalculate the ARV on the deal, you could be upside down quickly. The safer move in my opinion is the cheaper house of the two that needs little to no work. I will say we have yet to view either properties in person so that will likely answer most of our questions barring a final inspection. Thanks in advance for any and all advice you guys will share.

https://www.biggerpockets.com/...

https://www.biggerpockets.com/...

I just joined bigger pockets and am planning on attending this meeting! :) 

View report

*This link comes directly from our calculators, based on information input by the member who posted.