All Forum Posts by: Robert Obniski

Hey Everyone.

It's been a little while since I have made any posts on this site. Between moving, rehabbing, and getting married.. it's been a fun ride.

What brings me back to the site is that i'm moving on to another phase of my investing career and looking for thoughts and/or wisdom.

I'll layout all the info and give you the play by play.

Currently I own 2 properties out right. A duplex and a Condo.

-The condo is strictly a rental and is valued around $70k

-The duplex is a rental and a owner occupied. Valued around $270,000 We'll call this one Yellow.

I have the opportunity to purchase the duplex next door to the one I am occupying. We'll call that one Blue.

-Blue has a accepted offer of $217,500. Valued around $235,000

My wife and I have recently moved. Never had any real credit established. Started our Realtor careers. Just got married. Etc..

The Goal: Cash out $205,000 from owner occupied yellow while taking out a mortgage to purchase Blue.

After meeting with a local mortgage company, we found out the only way to cash out was to get a co-signer for yellow. And to get a co-signer for the purchase of Blue. The cash-out money is to re-pay the only people that would be willing to co-sign. They weren't willing to co-sign...

However, after meeting with a local bank who has been good to me, my wife, and our families we were offered the following terms..

Yellow: Cash out $205,000 at 5.25% - adjustable rate. (Fixed for 36mo, no cap.) 25 Year mortgage. No penalty for early repayment - refinance allowed after 1yr, but have to pay 'transfer fees'

Blue: Loan full $217,500 while using my condo rental as leverage. Same terms.. 5.25% - adjustable rate. (Fixed for 36mo, no cap.) 25 Year mortgage. No penalty for early repayment - refinance allowed after 1yr, but have to pay 'transfer fees'

Today my guy at the bank asked if I would mind to put it all under just 1 mortgage. I'm not sure if I want all 3 properties under the same note, seeing as they currently aren't under a business name but will be in the near future.

Thats it. Give me your thoughts comments concerns questions, anything. Should I keep them separate or all under 1 mortgage? Is there anything I should know that i'm not doing right now?

Look forward to the replies

I'm in the same boat as you. My real estate foundations have been set. Now I need to know the best directions for my rentals. Hopefully someone can answer you question which in turn will help me.

Good Luck! 

Hey Everyone. 

It's been a little while since I have made any posts on this site. Between moving, rehabbing, and getting married.. it's been a fun ride.

What brings me back to the site is that i'm moving on to another phase of my investing career and looking for thoughts and/or wisdom.

I'll layout all the info and give you the play by play.

Currently I own 2 properties out right. A duplex and a Condo.

-The condo is strictly a rental and is valued around $70k

-The duplex is a rental and a owner occupied. Valued around $270,000 We'll call this one Yellow.

I have the opportunity to purchase the duplex next door to the one I am occupying. We'll call that one Blue.

 -Blue has a accepted offer of $217,500. Valued around $235,000

My wife and I have recently moved. Never had any real credit established. Started our Realtor careers. Just got married. Etc..

The Goal: Cash out $205,000 from owner occupied yellow while taking out a mortgage to purchase Blue.

After meeting with a local mortgage company, we found out the only way to cash out was to get a co-signer for yellow. And to get a co-signer for the purchase of Blue. The cash-out money is to re-pay the only people that would be willing to co-sign. They weren't willing to co-sign...

However, after meeting with a local bank who has been good to me, my wife, and our families we were offered the following terms..

Yellow: Cash out $205,000 at 5.25% - adjustable rate. (Fixed for 36mo, no cap.) 25 Year mortgage. No penalty for early repayment - refinance allowed after 1yr, but have to pay 'transfer fees'

Blue: Loan full $217,500 while using my condo rental as leverage.  Same terms..  5.25% - adjustable rate. (Fixed for 36mo, no cap.) 25 Year mortgage. No penalty for early repayment - refinance allowed after 1yr, but have to pay 'transfer fees'

Today my guy at the bank asked if I would mind to put it all under just 1 mortgage. I'm not sure if I want all 3 properties under the same note, seeing as they currently aren't under a business name but will be in the near future.  

Thats it. Give me your thoughts comments concerns questions, anything. Should I keep them separate or all under 1 mortgage? Is there anything I should know that i'm not doing right now?

Look forward to the replies

 That's not a bad idea! Won't know until I try I suppose. 

Learned that the seller has a 20-40 day period - after a winner is declared - to have a final chance to still get the property back. Learn something new everyday... 

Will a title search show if this is a first mortgage sale?

 Responsibility would've been a better choice of words. I thought about renting it back...but..meh.

Hello all,

I am considering a sheriff sale in the future. I'm going to spectate a few auctions before I dive in.

Ive been doing a mock search on a property and doing the due diligence. 

Regarding utilities, I've spoken to a village representative regarding utilities and all she can tell me is that they're past due and the average monthly bill amount..

Question is, how do I get a better idea of what the amount could be? 

Also, if someone is currently living in the property and I win the auction..it is my duty to evict, correct? 

I'm currently shopping for a buy and hold in Milwaukee in the Franklin Heights neighborhood. There is a potential property I'm interested in but would like to know if anybody could recommend a property management company in the Franklin Heights neighborhood that will be one hundred percent hands on.

Thank you

@Danielle Crowell

Should I assume this deal is no longer available?

Thanks

@Steve Donovan Hey Steve, I can't help answer your question but i'm moving back to Wis. Dells/Madison area in about a month and would love to meet up at some point and just network. 

Let me know!

Thanks

I'll try and keep it short and sweet as I know all of our time is precious..

I have a duplex under contract and a closing date set for this Friday. 

3-4 Weeks ago a hail storm hit the city. 

Damage to the roof and siding was confirmed by insurance company and they came back with an damage evaluation of roughly $10,000

I know this is not enough to cover all the damage. But being the buyer and not the owner (yet) I don't have much power. 

A gentleman informed me I could have the seller sign an 'Assignment of claims/benefits' to me and go through with the closing as usual and deal with the insurance after it's in my name because, through the assignment, I now hold all rights to the claim.

Is this correct and has anyone ever done something like this and want to walk me through the process?

Much appreciated

Cheers!