All Forum Posts by: Scott Goulet

Hi BP, 

This is a situation that has just come up in one of my rental units. The tenants broke up and I am not sure if legally I need to redo the lease to just the tenant left or can i just leave the lease alone? The lease is still good for another 6 months. The tenant still in the unit can afford the rent so that is not an issue. 

Any comments would be greatly appreciated. 

@Bob GreenThanks for the information, could we setup a call sometime to speak about the specifics on these types of loans you are speaking about? I would like to move sooner than later on a multi-unit property and I will have cash flow from two rental properties and my credit score is about 780. Any Info would be greatly appreciated.

@Daniel Dietz When Approaching your Local Credit union about these types of loans, what specific questions would you be asking? Basically just if they offer a "portfolio loan" or if they do Asset based lending? that type of thing? 

@Ryan Blake So it sounds like what you are saying is possibly to save up enough to get into a 5 or more unit multi. This way they aren't looking at my personal finances. With these type of properties there isn't anyway to put under 20% down correct? 

@Darrell Smith i guess we have to be realistic. I listen to the BP podcast everyday and every makes it sounds so easy, " o yeah i did 12 deals this year" how much money do you make at your day job? lol its crazy. but one step at a time i guess. 

@Ryan Blake, That makes a lot of sense. So you think it could just be partly the bank I am asking? 

Also Ryan, lets say i was looking at a duplex,tri,quad, I know with these properties, they do look at your personal finances correct? So even if i use a hard-money lender to purchase and rehab, when I go to refi, could i even refi due to my debt to income? 

How did you get your start in real estate? I would love to get more involved/ transition from my job to starting a company or a brokerage myself. I am an agent, but i have not put a lot of effort into my realtor side of my license. 

thanks again! 

@Darrell Smith Yeah, that makes sense. So realistically 1 property per year is about it, unless I take on other investors or purchase cash somehow, is my understanding correct? 

Hello BP, 

I have a question regarding hard money loans and the debt-to-income ratio. 

I want to use a hard money lender to purchase a medium-sized multi-family property for buy and hold purposes. After the rehab, I want to rent out the property and put conventional money on it, I assume the bank I get the new loan from would look at my debt to income ratio correct?

I make decent money ($70K per year) and I have two properties right now, my primary residence and a rental property. The banks tell me my debt to income ratio is maxed out.

How do I get around the debt-to-income ratio? I am trying to scale. I don't have a problem going to a hard money lender, but I am unsure about the refinance/ Debt-to-income ratio. 

Thanks! 

Scott G

@Don Konipol. Question regarding the refinance process out of a hard money loan: 

For example I use you as a hard money lender to purchase a property for $200K plus $30K rehab. i put 20% down and we close on the deal. 

After the rehab, I want to rent out the property and put conventional money on it, I assume the bank i get the new loan from would look at my debt to income ratio correct? 

How do guys do it that do a lot of flipping? I make decent money ($70K per year) and I have two properties right now, my primary residence and a rental property. The banks tell me my debt to income ratio is maxed out. 

How do I get around the debt-to-income ratio? 

thanks! 

Welcome @David Decker! I agree with Jason! 

Where Focus goes, knowledge grows! 

Once again thank you everyone, the person who got arrested was actually a friend of a tenant, but they were taken out of my property. 

The situation has been resolved. Thanks so much!