All Forum Posts by: Mike V.

I don't know if I would call it a beginners trap as much as a beginners necessity. Barring hard money lenders I don't know of any way to 100% finance a purchase and a remodel without using either personal equity or personal assurance. I checked into a variety of lending sources and couldn't find it maybe I was looking in the wrong places. Even if I started a business and went after a business loan it still would have been based on my personal borrowing ability until it was a proven business. If I am overlooking something obvious, then I appreciate any advice.

I had about 150K in equity in my personal residence and used about half of that via a HELOC to pay for the downpayment and rehab of my latest project. I would rather not mix personal with business but until I have more cash this is the easiest/cheapest route. Everyone has different comfort levels and as long as I still have a decent cushion of credit it doesn't bother me. Just my experience.

I used this 2cm on my rehab this summer and spent ~500 for 14 linear feet. My rehab ARV was in the $220,000 range so I felt it needed something more than a nice formica top but thick granite was out of my budget - perfect fit.

The market here in St. Louis is down, there just seems to be very few buyers. I hear one of two things from the buyers that I talk to 1) I want to buy but I need to sell mine first or 2) I want to see if the market drops any further.
It seems that the poorer areas are being hit the hardest. As my mortgage broker said it looks like Remax and Caldwell Banker are running for President - signs in every yard.
I actually bought the SFH at a short sale auction, but am looking at foreclosure and retail markets as I don't see a whole lot of price difference right now.
I am anxious to hear from any other St. Louis people to get their take on the local situation.

I've been viewing for quite a while so I thought I should start to take a more active role. I live in St. Louis and have just completed a gut rehab on a SFR which I just filled with a tenant earlier this month. I have also invested in land (building lots). What my interest is now is to begin buying/rehabbing/renting until the market picks back up and then hopefully just rehab and sell. Thanks for the great forum and look forward to being a productive member.