All Forum Posts by: Preston Dean

Hi Will,

I can get you connected with my wholesaler here in Fort Worth, TX & he will be able to give you some insight on what they do.

Hey Maria,

My wife and I just went through this same thing!

It sounds like you are wanting to put 20% down to avoid PMI? Maybe? We were shocked to see that PMI was only $56/month, this helped us make our decision. I would be curious to know what PMI would be on the property you are looking into.

Also regarding the 7%+ interest rates - ask the seller to contribute money towards rate buy down and just wrap it in the mortgage so its a win win

Example, asking price is $400K. Maybe think of offering $410K with a $10K seller concession and use THE ENTIRE seller concession to buy down the interest rate.

Regarding the equity, leave it in the house I would not touch it. 

It sounds like you have a very sizable down payment, keep us updated on what you decide to do!

Man, this can be a tricky/touchy subject with brokers. Every broker is different and some won't allow you to wholesale but I doubt any brokerage will prohibit you from investing. 

If I were you I would call around to some brokerage's and express your interest in hanging your license with them and seen how they respond to the question "Can I wholesale if I am brokered here?"

Small brokerages will probably be more okay with it than larger ones. I know an agent in Fort Worth who is doing that exact same thing.

In Fort Worth, Texas the average cost to build is about $180-$195/ SQFT 

The seller can back out of the contract just as a buyer can but there will always be consequences, finding out who he is UC with and what stage of the contract they are in is going to be important 

Is the prop owner is UC with a realtor are they already past option/inspection period? If so the seller will have to refund EMD & potentially option fee

it sounds like you need to gather some more details though

Hey Nicholas, 

Typically a realtor will be able to help run comps for you with a back ADU. At least in Texas, and the MLS I have access to I can do that.

The only down side is that appraisers most likely will not consider the ADU into the property value if the main house/lot is zoned as a SF vs MULTI.

We ran into this issue here in Fort Worth & my client purchased a property with a back ADU but the appraiser would not count the ADU as part of the property value. He gave it the same value as a back shed.

Reason being is because the lot was zoned for single family use and having the back ADU made it a multi family use.

So be aware of that!

Hey Ana!

First off I LOVE that at 18 years old you are on the forums asking for advice on how to buy your first property! Very wise of you.

Without some kind of proven work history its going to be pretty tough for a lender to approve you for a FHA/conventional loan. My suggestion to you would be to have a parent/guardian/grand parent co-sign with you so that you can get that approval.

second, I would suggest a duplex or a single family with a back apartment. That way you can have your space and your tenants can have their space but you still make some passive income 

third, would be to buy a property under value and add some sweat equity into it by either adding sqft or just basic paint & new everything. 

Your credit plays a part in all of this when it comes to the interest rate you get. Higher credit score you have the lower interest rate you will typically get. 

Hope that helps!

Hey Benjamin, I can connect you with my business partner who is a wholesaler here in the Dallas Fort Worth area. I'll send you a connection request 

Hi Krystyna, 
So I think its possible to do something like this, but if you do I would just highly advise on laying out a strict plan on how you intend to pay back that down payment and do it before the credit card interest kicks in.

I've funded a small rehab on a kitchen with a 0% APR Home Depot credit card and just paid it all back before the interest kicked it. It was worth it in my opinion, but a DP is a lot riskier, but again it can be done! You'll just have to have the funds in your checking account well before you go to buy the property

This is an interesting situation you have. If you haven't already, I would check with a title company. I am in Fort Worth, Texas and might be able to point you in the right direction depending on where you're located