All Forum Posts by: Rheis Cloutier

I have been considering for a long time investing in multi units. When I first started looking, I looked for a few years but just ended up buying a single family home that I currently live in and have for multiple years now. Lately I have been hearing a lot about his method of using a HELOC loan and using the proceeds from that as a down payment for multi units. Due to the rise in home prices, I have a fair amount of equity in my house and was considering this method. I was hoping that someone could explain this method a little more in detail as I have really only heard the few soundbites on Facebook Reels and whatnot. If I were to do this, which I don't plan to for at least a few months (I would like to properly do my research) I was also curious whether or not people thought interest rates on HELOC LOANS were going to start going down or continue going up? Most likely with the Fed cutting rates, at least historically, the rate cut has led to a recession which usually leads to lower interest rates in an effort to jump start the economy. I am just curious what people are predicting. Also if anybody has any suggestions on books to read on the subject of HELOC financing or any similar methods I would greatly appreciate those recommendations as well!

Hi everyone, first of all, I want to say that I am very happy to be getting back here on the Bigger Pockets Forums. This year I have decided that I will be growing and learning more this year and that includes spending more time here learning and contributing. That being said, something I have been wondering about, while real estate is my desired field, I was curious about business loans because I have an idea for a business here in New Hampshire. I have been out in San Diego for work for the past few months and there was a business here that really caught my eye. I know for a fact that this type of business would do great in New Hampshire and I would like to model their idea (but not steal their idea) in New Hampshire. Something I have recently learned is modeling the successful people/ businesses in your life with your own little niche (in this case my niche would be that the location is not in this other business area) you can be successful as well. They have multiple locations, mostly on the west coast and one down in Alabama; I really do believe that this business would be a big hit in my area.

My question for you out there is whether you have applied for a business loan or you used to work as a loan officer for these types of transactions, what aspects of the business would you want to know about that would make the bank feel comfortable with this loan? I don't have much knowledge in this area as my desired area is real estate and that is where I have don't most of my research, however, sometimes a path just shows up for you.  

@Greg Powers Thank you for the information! There was a lot in there that I hadn't considered and that's most of the reason why I came looking on here for advice. I know the basics of it but I really need to start looking into the nitty-gritty of it all and do my research. This really helped a lot! Thank you!

@Michael K Gallagher I may have to look into those areas more, They are a bit out of the way for my current job but if it pays off I would only have to live there for a year!

@Eddie Torres Sorry for the late reply, been very busy lately. I've been using a mortgage broker, and I keep touring places as soon as I can. I know everything comes in good time so I try to be patient. I was just curious to see what practiced investors thought of the market as of now.

@Eddie Torres Right now what I’m approved for would be excellent for when the market is average. However with the market being so crazy, I can only offer so much over asking most of the time and usually I’m still outbid. When I first started looking I had a decent amount of money for an 18 year old fresh out of high school but the market was crazy enough to where I was only finding places that appeared to have no hidden value even if you were to fix it up. I want to do house hacking and I’m more than fine with being uncomfortable. The more uncomfortable you are, the more money you are making. I think they called it the Comfortability spectrum on the bigger pockets podcast. The ones I had been looking at two and a half years ago were not exactly what I was looking for to put it nicely. In really crappy parts of town and far away from where I was working at the time. Inconvenient in every way. Overtime with me getting a better job and everything the houses have gotten better but the market has gotten worse. I really am not too picky, at the time it just didn’t work for me. I’m mostly just curious if people think the market may change soon.

I currently live on the seacoast in New Hampshire. Homes, multi-units, you name it, going for 40 or 50k above asking. I have been trying to buy a four-unit since I turned 18 about 2 and a half years ago. The market keeps getting crazier and I have a lot of money saved and pre-approved for what I would think is a pretty substantial amount but can't get anything. I was wondering if the market was like this all across the United States right now? Where are you guys from and how is the market there? Do we think the market could crash or is it starting to turn into a buyers market? I know interest rates are starting to go back up which is usually a sign of the market turning, at least that's what I've heard. I'm just trying to gauge what practiced real investors are thinking about the market right now.

I've been looking into house hacking and I currently have a realtor and I've been pre-approved for a loan. The thing I have been worrying about the most is screening tenants. What are certain things that I should look for? Are there databases that will help me screen tenants to know about evictions and doing credit checks? 

It’s fairly low, around 6-7%

I’m just starting out but I have a car loan that is a little over 5 grand. I have the money to pay it off and will still have a good amount of money left over. Before I officially start should I pay that loan so I have no debt?