All Forum Posts by: Paul De Luca

I think non-qm (non-qualified loans) are a good option for self-employed individuals and real estate investors. I too will be running up against the problem of my inability to obtain traditional financing in the near future as an agent. I have not gotten any non-qm loans myself but I have been doing some research on them.

This website has some good information: https://www.bankrate.com/mortg...

Well done! Looking forward to hearing more about the results after closing.

Like Colleen said, the main entrance to the building should lead to two separate interior entrances to each unit in the foyer/common area. If there are not two separate entrances to each unit, ask the listing agent if it is a legal 2-flat or if there is a non-conforming unit/some other situation.

 If the football players have historically lived in the duplex, you may have strong future prospective tenants from them. As long as the property is managed properly, you shouldn't have issues in attracting renters though, athletes or not. You should also consider the seasonality associated with student housing rentals. Most students are going to be on campus from August through May and leave for the summer break. Seems like a great opportunity given the rent and price.

A red flag? Not necessarily, but perhaps unwise. Maybe the landlord only asked for a non-refundable move-in fee. I know that is pretty common in the Chicago market due to strict laws regarding security deposits.

To @John Warren's point, it can be advantageous to fill a vacancy in the winter because there is less competition so there's a better opportunity to stand out.

I believe that is mortgage fraud if you do not live in the property for the minimum required amount of time, specifically "occupancy fraud". 

Investopedia defines occupancy fraud as a scheme used by investors to qualify for higher loan-to-value ratios and lower out-of-pocket costs on purchases, in addition to lower mortgage rates. Occupancy fraud occurs when a borrower claims that the home will be owner-occupied to obtain favorable bank status when the property will actually remain vacant.

Educate yourself as much as possible about flipping/real estate investing. Read all the books, listen to the podcasts, and try to find a mentor. Find a flipper in your area that can show you the ropes. Provide some sort of value to them and take it from there.

The property must be used as a principal residence for at least one year. If there is more than one borrower listed on the mortgage, FHA requires at least one to satisfy the occupancy requirement.

@Serge Sefekme

I don't know any agents in your market so I recommend making a forum post in your market (VA/MD/DC) saying you are looking for an investor-friendly realtor.

Good luck!

Hey Serge,

Congrats on beginning your journey! I would recommend you start investing by house hacking a 2-4 unit property. Look to get connected with an investor-friendly agent in your market to get the ball rolling.