All Forum Posts by: Samuel Gutierrez

Hello BP Fam! Looking for some guidance...I currently own an 8 unit MF that I will be targeting for cash out refi after the 1 year seasoning is complete, which is about 4 months away. I anticipate pulling out a substantial amount of equity as I had to put down 20% and have added a ton of value since the purchase. I'd like to use that money to acquire a shopping center (triple net) but I'm having trouble analyzing potential commercial properties due to the cap rates being advertised on the listings which directly affect the sales price. I know I'm still a few months away but I want to start dialing in on the proper valuations for these types of properties so that I can offer a price that cash flows nicely but also solid enough to land the deal.

How can I best determine the cap rate to be used for the offer I should make?

@Itzel Salazar I've had success in the 79904 and 79930 but am expanding to 79938 next month.

Hello BP!

So in October 2020, I purchased a SFR for $155k. I put 25% down and spent about $20k-$25k in renovations. I have been renting it out on a fairly consistent basis ever since. The home is currently worth about $210k-$215k (loan balance is about $115k) and I'm looking to cash out refinance (75%-80%) on a 30 year term. Several local lenders have had an issue processing the refinance due to the fact that this is rental property and not my primary residence.

Has anyone else run into this same issue? Any recommendations on a lender that could possibly help?

Thank you all in advance,

Sam

Here in El Paso, Texas we have large nursing, military and government worker communities. Through marketing outside of AirBnB and other such websites, I've been able to keep my STRs completely booked. This keeps my prices down and makes my properties extremely competitive because I don't have to account for the AirBnB service fees for neither the guest or myself. I do have to say that being paid through AirBnB is very convenient.

Hello BP Family,

I will preface this by stating that I tried looking for updated posts on this topic but the posts I was finding were at least a year old. Things are changing quickly so I figured this would be a good post as I'm sure most of you are dealing with this on a monthly basis. Up until recently, I was using pay apps such Venmo and PayPal to receive rents/deposits/fees until they starting charging transaction fees. I've also used CashApp and Zelle. I haven't had issues with CashApp yet, but Zelle is no longer letting me send money (i.e. deposit returns, etc.) for unknown reasons.

Any suggestions on what the best app/software I should be using for my STRs?

Thank you in advance!

Sam

@Andrew Syrios I am currently in Puerto Rico and my investments are Texas-based. I will be moving to Texas soon and will make joining the local REIA a top priority. I appreciate the advice!

@Joey Zaniboni I am not deliberately planning on turning this property back into a LTR because its performance as a STR is unbelievably good. The home is in a good location/neighborhood and I have a considerable amount of equity built into it after I completed the renovation. The home would still cash flow as a LTR, just not even close to what it's doing as a STR. Thanks for your post, it's most definitely something to consider when searching for my next property.

@Jesus Ojeda that's exactly who I went to this time around, although I didn't ask about their promotions. I'll do that first thing today, thanks for the idea!

I purchased a SFR in September 2020 so I've had the property for approximately 6 months and I'm ready for the refinance portion of the BRRRR. During this time, I renovated the house and have had success listing the property through AirBnB. I think it's time to move on to the next project so I'm looking for a cash-out refi. I went to my local credit union but found their closing costs seem much more expensive than I've seen in the past. I'd greatly appreciate any suggestions on where I should be shopping for this loan, how to pay minimum closing costs, or any other related advice. As always, thank you all!

-Sam

@Rick Pozos do you recommend this even if the private loan will not go directly to acquire the property?