All Forum Posts by: Robert Farris

I'm still new at investing and slowly learning about analyzing deals. 

I know every deal is different, and there's a lot of variables but:

Which numbers are most important to you when analyzing a deal, and why?

@Russell Brazil, @Upen Patel,

Thanks for the info, that helps a great deal!

A couple credit unions I checked out require 6 months reserve payments on a investment mortgage.

Will they require the same on a refinance?

I hope that's not a silly questions!!

@Account Closed, Thanks for info!

@Dawn Brenengen, 

Thanks for commenting. I do plan on buying more property. I can tell already REI has an addictive nature to it!...lol

Since a 15 year is lower interest than a 30, it seems that would be more appealing. Seems like payments would still be doable.

@Stacy E.,

Thanks for commenting. I'm not familiar with that type of loan. What made you decide to go with that type? Was there an advantage?

The more I think about the BRR strategy, the more I like it!

 I already bought one at a public sheriff's sale. 

The one I'm interested in now was at that same sheriff's sale but didn't sell. I've talked with the bank and they're good with it.

@Michele Fischer, Thanks! I always forget how to do that...lol

I think my situation may be different in that I already had tenants the day I bought it, so I haven't had to do any rehab so to speak. So I guess I'm a BRR on this one....lol

Thanks for the help!

Do lenders usually frown upon 30 year mortgages?

Thanks Greg,

So I filled out the application and talked with the credit union rep and she was kind of frowning on the 30 year mortgage idea.

The property I'm after is only $20K so of course she was frowning over that. So I bumped the property value to $35K and the loan amount $25K which was ok, 

It's a bank foreclosure that's in the redemption period with my Dad, and of course she was frowning on that because she's not familiar with that kind of transaction.

She also told me I would need 14K cash at closing, which I told her I had which surprised her

She was trying to get me to do a no collateral loan which of course would be easier but the interest rate is 9.5% for I think 5 years and the monthly payment is $350+....vs. the 30 year which would be $126.

She said she has to talk with someone because this is not a conventional loan and she's not sure if she can give me the 30 year....she mentioned gouging?? kinda weird I thought. I told her I wasn't going to let it go 30 years but she was skeptical of the whole thing.

The unsecured loan doesn't seem good to me even though it would be easier to get.