All Forum Posts by: Peter M.

@Hana Moorscaudle I've used Travelers and safeco for my DFW 4 plex

@Tarik Griffith Go to meetups and network to find partners and developers. A lot of REIs give a few minutes for people to present deals. Stand up and give your pitch. Call realtors and commercial agents and ask if the can connect you with investors who do that.

@Hanah Kim You need to find some high net worth individuals with experience in this sector to help with this. Worst case they just pay you a finders fee but maybe you can negotiate a way to stay a part of it as a mentee or small equity partner with your 50k.

@Regis Luckett Buy the property subject to the existing mortgage if not prohibited where you are. Despite what you may hear, they are still legal in most places but there are increased rules since the crash. Tell the kids you'll pay all back taxes and closing costs. If they balk, offer a little more on top. Maybe 5-10k so they get something out of it. Obviously it will depend on what it's worth and repairs needed. Find someone near you at a meetup or ask a few realtors if they know anyone experienced with sub 2. Good luck

@Henry Lazerow Depends on lots of factors. Sq footage, # of beds, pets allowed, # of bathrooms, outdoor features like pools or outdoor kitchens. My 1 bedroom, 900sqft, no pets is $50, 3/2 with pets allowed $100. I have 2 sets of sheets and they will either wash on site if they have time or take them and wash them at their facility and put the other set on the beds. Towels are washed on site.

@Christina Jean-Francois Prepayment penalty is simply an extra fee if you make extra payments or pay off the loan early. When an investor makes a loan (in this case a loan to you) they expect a certain return for a number of years. By paying it off early they will not get that return for as long as they wanted and possibly owe more taxes so they write in a prepayment penalty. Most conventional mortgages don't have them but they are more common in commercial or private loans which is what seller financing is.

@Christina Jean-Francois seller financing can be a great option for people who don't qualify for "normal" loans. The terms are usually higher interest but lower down payment. After 2008 there are a lot more rules the seller has to comply with to do seller financing. Try to get one without a prepayment penalty so you can refinance to a better interest rate once you qualify.

@Christian Daviscourt Buy a new house with an FHA loan, move into it and rent out your first house. Also, remember PMI doesnt comes off FHA even once you reach 20% so it might be better to just go conventional owner occupy loan.

@Pacifico A Comia I understand and empathize with your concerns but you need to focus on your business and goals. What the current owner is doing is not your moral dilemma. Do you know the tenant was telling you the truth? In this business, as bad as it sounds, you should assume people are lying to you. Just make sure you don't close on that house until the tenant is gone. You don't want the previous owner's headache becoming yours for a couple thousand off closing costs (believe me I know)

@Alfredo Alfaro Landlord policy with rent loss coverage, here in Texas I get slab leak coverage because foundation movement is common. Covers the damage from the water. Its hard to tell you premium numbers because every area is different. Mine are usually 0.4-0.8% of the purchase price for one year but insurance companies expect to pay for a new roof every 5-10 years from hail damage so I usually get my premiums back