All Forum Posts by: Samuel Carmichael

Rudy Manna just went through this on another post. You are right, your 10K is locked in unless you want to wait through seasoning period and cash out refi. Then you can get the 80% LTV which in 130,000 would get you me 10,000 back. Is 6 months worth your 10,000? I say hell ya. Rate and term pays HML directly for their initial mortgage. Can't get more than $2,000 back, or it goes into cash out. If anyone sees errors in this lmk.

@Teralyn Seabrook I got a call from my lender the other day asking if I knew anyone else who wanted to do the renewed homes program. Its hard to get through the paper work but the 20,000 forgivable second is awesome. 

It is only a valid option if you want to buy a forclosure 1-4 unites. Connect with me on here. I sent you a request. 

@Tom Knapp, ya good question. I think @Anthony Thompson called it earlier in the post. Tied myself up for a bit in this property. 

I was planning to FHA househack 4plexes for a few years, but now that is out of the question.

For the 2nd house, I am going to have to buy it as a traditional investment property, and I am trying to look towards 5+ units on my next purchase. Current goal is next property to close in the next 11 months, but I want to see some great equity in it in case their is some rent suppression if the real estate bubble in China, or the Italian Banks POP. Either way, If the deal is good enough I will make it happen. 

Yes of course thanks for the clarification

Alex Correa meaning in this 90% ARV example, you can enter the deal no money down besides points and the Rate and term refinance simply pays off Hard Money Lender and you get the new loan.

Alex Correa Don't some HML fund 90% if ARV, meaning you can enter the deal no money down - for flips etc? Besides paying points obviously.

How does the seller bring funds to the table, how do I get seller and hard money lender to communicate, and how is it really structured. I assume - the title is in my name? And the HML has a lien against the property? Not sure if Lien is the right word. Sam

Albert Bui can you help me with this question please? If I had a 135,000 property I acquired for 85,000 hard money loan and paid the hard money lender a 20,000 for a down payment. When I do a Rate and term refinance can I only get a loan up to the 85,000 HML? Or can I recoup my down payment without it being a cash out? Long story short, if I buy right, how can I go about getting my down payment on the HML back.

How does it actually look getting my down payment back from a hard money lender? If I acquire a 100,000 property with a hard money loan, and put 20,000 down....when I do a rate and term refinance, I assume the new lender pays the hard money lender directly. If the property value is 135,000 and I put a 100,000 mortgage on it....is that technically a cash out refinance because I am getting my down payment back? Or does the hard money lender give me the down payment back? How does it actually look getting my down payment back from a hard money lender?

update on this, purchased the property and here are the final details. 

134,000 first mortgage.

20,000 forgivable 2nd after 5 years. 4,000 or so a year drops off.

Acquired the property for $400 all in costs (inspections) earnest money came back at closing. 

As it sits with around 174,000, needs few minor updates. I put in a fridge and am house hacking with a friend.

Mortgage is almost $1000 on the dot, would rent readily for $1400.