All Forum Posts by: Scott DeLange

Northeast mostly. But also in Bristol, and up around the glenside area

What do u mean ?

Yea only thing I can do. My buddy went 30k over asking on a duplex last week. And still didn't have a chance. House had 12 offers on it. So frustrating

This market right now sucks. I live in the Philadelphia area and it's absolutely impossible to break into the market. Been looking for a duplex for almost a year now. The market is so hot an inventory so low that anything decent is getting scooped up in 24-48 hours. The last Duplex I found was perfect for me. Within 15 hours of it being on the market it had 5 offers on it already an most were full cash offers. Seriously I am screwed. Can't compete with investors who make offers without even going out to see the house in person Even if I make it out to see it. The seller will never take my fha loan when they have 10 other full offers most being cash or regular loans. The only house I'm gonna get is one that sucks an nobody wants. Bout to give up Rant over.

Can someone help me understand the hard money lender process. Theoretically say I found a house for 100k. Lender pays for house + closing + rehab = 125k So to keep the math easy I now have borrowed 125k for a house. And I pay 10% interest on a 12 month loan so roughly 1,040 per month Then I go to the bank an ask for a mortgage for the house ? Is it actually a refi since I purchase the house outright with cash ? So the bank gives me a mortgage on the house an I use that money to pay the lender back an now have a much lower interest on my money. Am I missing anything. Does the bank lend on there appraised value of the house ? So if I needed the 125 but they don't value it at that much I'm in trouble Do they only lend up to a certain percentage of the value of the house Thank you for any help. Havnt used a hard money lender yet but I want to soon to help grow the portfolio

What are the rules regarding how quickly I would have to occupy an owner occupancy multi family home The triplex that I am looking at is fully occupied until end of January 2017

would you guys agree that since it is improperly zoned for a triplex  that it negatively effects the price of the house.  

   They are asking 244k 

@Manolo D. I totally agree and I have no problem doing that.   The only problem I see is that it's a really hot market around here an I know this place will sell really fast.  

 So why would the seller go through all this work with me.  When he could possibly sell it to someone much sooner who can afford his asking price as is,  an worry about the zoning later after the purchase 

 See what I mean. ?    Unless my offer is just a lot better 

@Neal Collins thank you Neal.  Really appreciate that.   Yea typically I wouldn't care because it's clearly three units an there won't be an issue getting it zoned for a triplex but I don't make enough money to qualify for the loan at the current price of the house and it being considered duplex.    If it was listed as the triplex then no problem.  

So I guess another option would be to see what's the most $$ I would qualify for if its just a duplex and make an offer that way 

Ill keep this short.... Found a really nice triplex in my area for 244k.    unit 1 is 3 BR, Unit 2 is 2 Br and and a 1 Br apartment above the two car garage.    Already fully occupied and will rent great,   rents currently a little low but that is ok.

Anyway i my lendor and realtor tell me the house is zoned currently as a Duplex  and not a Triplex and i cant get approved for the mortgage unless its a triplex so i can claim the rent $$. 

I called the township zoning board and luckily there is a meeting coming up in a few days where the owner can go and talk to the board and get it changed.

My plan is to make a verbal offer to the seller and explain to him that its contingent on him going to the meeting and getting it zoned for a triplex.    My lendor told me that i will be approved as soon as that happens and then i am good to go.

I understand that going to the meeting with the current owner is contingent upon him agreeing to my initial verbal offer, otherwise whats the point

Thoughts/ opinions / advice