All Forum Posts by: Randy Wilson

I'd love to see your sheet on this! Would you mind sharing it with me? 

I've been trying to build my own sheet, but stugleing with how to properly account for renovation cost if I'm going to be pulling the money back out after refi anyhow. The BRRRR calculator on here is not that great at being able to fluidly change numbers on the investment around so I like to do my anaylsis in a sheet.

I'm trying to understand the mechanics of the BRRRR strategy and thought you guys might be able to provide some input.

I'm looking at a property that is on the lower end of being able to qualify for a conventional mortgage. If I need to get hard money to purchase the property after I've completed the renovation will I be able to cash refinance with a tradition bank right away or will that still require a "seasoning period" for the loan?

Will hard money lenders allow for financing of repair costs?

I'd like to get my money back ASAP to start looking for another property. What options should I be considering? Local banks? I've heard Visio is good for BRRRR? Any other suggestions?

Well, I'm glad I asked, seems like I misunderstood the reasonable requirements for down payment of an investment property.

I get the impression that this might be a unwritten rule situation. Here is his directed quote, "Yeah, the rule for 25% down on investment (1-4 family) properties has been in place for many, many years. "

Have you looked into the money Trees Full of Money Spreadsheet?

Im starting to put the prices together on a 4 family house I'd like to purchase and a big question came up. I emailed with a loan officer I used to buy my first house and was told that if I'm buying investment property I have to have 25% down to secure a loan. I though 25% was the high end and have been estimating that it would be closer to 15% that I need to come up with for tradition 30 year financing. This doesn't break the deal for me, I'm just curious to know if that is standard, or is this just his recommendation. What do you folks think?

Is this the forum topic where I can find details when we get closer to having things planned out?

Jaclyn,

I'd really like to talk to some more investors in the area. I'm in the information gathering mode right now. I need to talk to more people that have do REI in our area so I can start taking the right steps towards early. How often and where do you meet up with people?

 The house was built in 1842 as a 2 family. But that is definitely something to be aware of when I buy the next one. 

So I a total amature when it comes to REI. A few years ago I got fed up with renting an overpriced apartment 10 miles from work and decided to buy a two family that is biking distance to work (thanks Mr. Money Mustach).

Fast forward to now and I'm getting the REI bug, and have been looking around the BP blog posts and forums trying to get some ideas of what I might want to do next to move closer to financial Independence. BRRRR is such a cool concept I'm really wondering how I could get started. Let me describe where I'm sitting now and ask what your opinions are.

I'm 2015 I purchase a 3000 sqft two Family home for $210,000 with 3% down for 3% over 30. We live in the larger unit (3Br/2Ba) and rent the 1Br/1Ba for $750/mo. Our apartment would probably rent for around $1350. After buying I've redone the kitchen, both bathrooms and added a BR upstairs (no additional SQFT just better use of floorplan) for another $17k. The 1 BR apartment is untouched because the property came with a renter, and I'm happy collecting that money with little work needed. 

I bought this house making sure it was going to stay a positive income stream after we moved out. The renovations we're simply to make the apartment we live in feel more like home while we saved up to buy our own SFH. I didn't analyze the deal in looking to leverage the equity into adding more property to my portfolio.

My question is, after imrpoving  my apartment and making a few years of mortgage payments, how can I figure our if I'm anywhere close to a position where refi makes sense to fund an additional piece of property?