All Forum Posts by: Sam Booth

You have not discussed ARV, which is key. However, if it needs that much work you are probably better off going with a hard money loan and then doing a rate & term refi once rehabbed.

 @Phillip Rosin - Based on the info you provided, I recommend that you start with a Fix to Rent short term loan to purchase the property and rehab it, followed by a cash out refinance into our DSCR loan. The beauty here is that you will be able to get back your initial cash invested in the deal when you refinance. We have no seasoning requirements as long as improvements are made to the property. If you use a DSCR loan to purchase the property, all of your cash used to buy and renovate will be stuck in the deal. Hope this helps. Happy to jump on a call to discuss further!

Bobby

Hey Sam, I've used both Propwire and Propstream, they seem quite similar but propwire has a free base version and propstream does not. I personally haven't sent postcards, I've had good luck with PPC and Video ads. 

As far as feasibility, you can absolutely use propwire, or propstream for that matter, to secure the list and then mail postcards to the owner info. 

Our office receives about 50 of these a month from various wholesalers and I always look at ones I don't recognize to see what people are trying. Im happy to scan a few over to you if you like you could use as examples. 

Is the property under-rented? I know in Oregon there are limits on how much you can raise the rent regardless of how low the rent price is and you have to pay the tenant to leave if you are not renewing their lease. I don't know the laws in California but I suspect they're similar.

I would also definitely recommend getting an inspection if you get it under contract. And assume everything is a little worse than it looks given the tenant's stuff is probably blocking some problems and things like the carpet and paint will likely look worse when they move out.

Lastly, is it necessary to go over asking? I know some markets are still very hot but it's definitely cooled down a lot here since rates went up 2 years ago. 

Most investor products are going to require anywhere from 15-25% down for eligibility.  You could essentially put the whole amount in escrow if you have access to those funds at the moment.