All Forum Posts by: Paul G.

Yeah, I've seen a couple different ways to do that. Specifically in the delayed financing arena. I haven't done enough reading to figure out the ins and outs of it yet. But I'm doing my research now. Also looked into taking a 401K loan to come up with some cash. Since we're doing condos though, my fear is I buy in cash, using hard money, or 401K, then when I try to get financing, the condo questionnaire comes back in a negative way (investor % of the units, HOA fees, HOA reserves etc), then I'm stuck with not being able to get a conventional loan on the condo.

It basically just means more work up front to make sure that all of the information is sorted out ahead of time and that the condo is financable (sp).  I just need to make myself comfortable with all of that before I attempt it :).  Like I said, super risk averse.

Our interest rate isn't great.  One other piece of information that I forgot to disclose, which makes a difference.  I need to refinance to get my ex wife off of the loan... lol

We were hoping to cash out refinance to come up with the necessary down payment for another property.  Both of us don't want to put any more of our own money in if we don't have to, so we thought we could just cash out refinance to recoup 20-30K to be used for another property.  And since we only have one investment property, not too many options.  

If we took out 20K from the property, we'd still be cashflowing $240 a month from it (instead of $300).  But we'd be able to buy another property.

4 years ago, a business partner and I bought our first investment property.  We had an extremely hard time getting a loan as we bought a Condo and my partners credit score was pretty low and we went the conventional loan route.

It has been rented 4 years straight with a CoC return of 14% and has appreciated 85%. I've now convinced my partner that it's time to actually start doing more investments now that we have enough experience to be dangerous :).

My question is, we want to do a cash out refinance on the condo so we can get money for our next buy/hold property. One of the biggest problems we had was due to the HOA on a condo, and the % of investors to personal owners in the complex. I'm assuming these problems will still remain. Or, since it's a refinance and we can show positive cashflow / steady renter for 4 years etc that the process will be less stringent?

My second question is mortgage broker or bank/Credit Union?  BofA is saying it will cost 3k to refinance, which I think is ludicrous!  The comps in the same unit are selling for 130K, so 3k refinance seems extremely high.

I agree.  I'm looking at the market right now and nothing looks overly enticing.  Nothing comes close to the 1% rule, let alone 2%.  I'll check back in here if/when I ever find something :-/

It is my understanding that you can withdraw the contributions from your Roth IRA at any time as long as you don't touch earnings. Therefore, if you deposited 10,000 into your Roth IRA, and it is now worth 20,000, you would be able to withdraw 10,000 tax free. (to make the numbers easy).

It is only a taxable event when you touch the earnings, and even then only the earnings are taxed.  Consult a CPA or your plan sponsor though to confirm.

Hi all! My name is Paul, and I'm a relatively new investor in the Arizona Area.

I'm an engineer and would love to start dabbling on the side in RE.

I currently have one investment property (condo) in the Mesa area that my buddy and I picked up in 2013. We had no idea what we were doing, but were fortunate enough to play hockey with a real estate agent who taught us quite a bit up front. As our first condo, I think it worked out pretty well, and so we're ready to expand and pick up another 1 (or 3) :).

We had a terrible time trying to get funding on the condo (we were trying to come in with a conventional loan at the time that people were snatching up condos in cash), which is one of the reasons why I'm coming to BP.

I'm pretty risk averse, so my strategy is definitely buy and hold. I like the Condo market because there is less to worry about (lawn maintenance, roof, etc). I want to stay in the east valley (Ahwatukee, Chandler, Gilbert, Mesa, Tempe). My goals are to start small and try and build my buy and hold portfolio before I venture out into the most risky markets. I'm not looking for RE to take over as my primary job, just a hobby on the side that can provide some extra money each month. Then, in a couple years (and a couple properties later I hope), I can reassess where I am in life and figure out where I want to go.

I'm looking to get ideas from Bigger Pockets about ways to finance, tips and tricks to finding the right properties, and definitely networking with people in the area.