All Forum Posts by: Robert Trevino

 I have been running some numbers on 4plexes for sale in my area. Values have definitely gone up but the rental market has not quite caught up.But yes, at 5% down, my margin is tiny. Thank you for your response Robert

Thank you for your response Emma.  

Hello Everyone, I am located in Killeen, Texas and planning my next investment. We currently own 1, 4 Plex and am  working on strategizing the purchase of the next one. I want to house hack the next 4plex with a conventional primary loan using 5% down. My other option that i am considering is doing a new construction on a 4plex. My question is.. does anyone have experience getting a conventional primary loan to build a 4plex and what if any experience can you share regarding the building of one. What can I expect when getting funding from a bank on something like this? Will they leverage the income potential like they would on An already built one?  Who can i speak to in the construction/builder space that could help me get an understanding of costs /planning for a new build.

Thank you 

@Jay Hinrichs thank you for clearing that up.

@Rick Pozos thank you for that clarification! You’ve definitely made it clear to simply not go upside down on a deal and I appreciate that. That’s a given that I definitely understand! These are simply things I want to know moving forward to further arm my knowledge. Not just what the good and great looks like, but what’s the bad and ugly in a certain circumstance. In this case, what’s the worst that could happen on a Brrrrr and how would it effect my investors and myself . I appreciate your time and I see you’re in San Antonio. Hopefully we can connect some more in the future!

@Rick Pozos, that is what I was wanting to know. The obvious answer is buy a great deal. But I am a person that wants to know worst case scenario as well. That being said, I was curious as well if an LLC and a lock tight contract is suffice enough to protect myself, and of course my investor.

@Jonathan McGee I had not heard of a Quit claim, is this something you use? Does it protect me free and clear and hand over ownership of said asset to the investor?

Hi BP, I have been diving deep into the BRRRRR strategy the last few months. And there is one part that I want to be clear on. If you could help me clarify it I would greatly appreciate it! When finding a private lender, Lets say a family member or friend who is willing and able to invest more or less the entire amount for the purchase and rehab of a property. I read in the BRRRRR book that we protect the investor by putting a first mortgage in their name as to basically give them the property if the deal goes upside down.. Now is this the only way we give them peace of mind if their money is tied up in the deal? What else is put in place to prevent an investor or lender of any sort from coming after your personal property if you've taken $100k for the deal? Thank you Everyone!

I am no veteran investor by any stretch, I would just like to get the gears moving in the brain. Plus I am sure you already know this. If you were to BRRRRR this deal with a LTV of 70-75%, that would leave you with a big chunk of change left in the deal. Like a cool $30K Now are you funding this on your own? Got investors? If so, when are they expecting their money back? If this was all of your money, and did not have to worry about paying anyone back besides maybe the bank on a traditional loan, the question is how much monthly income compared to monthly expenses. And if you are okay with having that extra 30k tied up in the deal then it might be a good deal for you. this is just one way of looking at it. What do you think? Let me know if I am wrong! lol

I am new to investing in San Antonio and I am  looking to connect with local contractors in San antonio. Can anyone make recommendations? Thank you in advance!