All Forum Posts by: Scott Schultz

if you are looking to get licensed, start with wra.org this is the website for the Wisconsin Realtors Association,  I recommend you get licensed, practice part time, see if you can find a Broker or team with in a Brokerage that does work in the default side of things, best way to find them is look who is listing most of the foreclosures in your area and ask if you can help them and learn

@Samantha Froelich lex

My recommendation is figure out what 1/4 to 1/3 of your Take home pay is, then determine how much all your other bills are, and see if the 1/4 to 1/3rd take home pay is reasonable for you to spend on housing, if it is, great, then work the numbers backwards, and estimate costs higher than they will be to be safe. Go to Bankrate.com and get a mortgage calculator and play with the numbers to see what fits, while you are there get your free credit report, understand the report the bank pulls will likely be lower by 10-15% but for the most part if your score is 720 or above you will get the best interest rates, so 5% on a 30 year is in the ball park, cut off are usually at 680, 620, and 580, the lower your score the higher the rate. Also consider the Down Payment you have saved, you can buy down to 580 credit with as little as 3.5% down with FHA, and 0-3% down with WHEDA for first time buyers credit score of 620 or better, and if a veteran, The VA has a Zero Down option as well, otherwise Freddie and Fannie have 5% programs, but most common are still 20% down. remember when you play with the numbers to include Property taxes and Insurance costs, as most calculators only give you Principal and interest payments, and in Mad Town, you can plan on Taxes and insurance to run you $300/month or more depending on how expensive the house is. As a final note, the best thing you can do is qualify without the rental income, and just use the other unit income to offset your budget as a bonus, this will insulate you from vacancy, minor repairs, evictions, ect. Best of Luck

Dude I dont mean to be blunt, but Learn to use CCAP, and the GIS, its not an easy list, but when you learn to use it, there is so much data. it took me years to learn on my own. 

@Nate Sanders Congrats on your purchase, What is the property worth? What is your value add? buying on a 5/1 is risky business if you payed market value, for example what happens in 5 years if the market tanks and you lose 15% of the value, you put 20% down and over 5 years depending on your amortization maybe paid 1-3% more off, and when you go to renew you need to bring in another 12-14% to give the bank their 20% they need? I am not against ARM's I have 11 of them, but I never finance more than 60% LTV on an individual property or exceed 40% across my portfolio, this gives me plenty of insulation form market changes.

I have been tempted to buy some SFR's in Superior, there have been a lot of Sub $20K deals and some Sub $10K deals I have passed on that would have $60-80K ARV's Best of Luck.

I think you will hit a wall with lending, no income other than the property, traditional lenders will be out, there is a list here on BP under "Hard Money Lenders" some do a little softer money, and will finance rentals on performance of the asset not the borrower as much, good luck.  

My recommendation is work on getting your license, its really not that hard, just studying and taking a test. but maybe see if you can get a job helping out at a Brokerage office, maybe doing some clerical, or front desk work, or even a personal assistant for the summer, there are tons of paid things you may be able to do in big offices, especially with the prospect of getting your license, they may sponsor you, in getting licensed. good luck, I recommend starting young, I was 31 when i got my license, wish i would have sooner, and started buying houses way sooner, get out there and crush it!

@Henri Meli I have self funded all 23 houses and 4 lots I currently I have 12 loans, and 2 LOC's (encumbering 4 properties) if you buy right and force equity with a good buy and rehab, its not that hard, I have done this only financing 60% LTV and flipping a couple houses along the way. The key is buying a GREAT DEAL keep your debt low, and your amortization short, I know this is contrary to what all the podcasts preach, but when this market falls I will be safe, I currently owe about 35% LTV all commercial notes at local banks, its not that hard to do if you are disciplined

not sure what you are after, I have never understood the need for creative financing, if you cant maintain a good credit score, save, and find a great deal, i fear you will not do well in real estate long term 

Why do people keep sending me Requests but no message, I dont know who these people are, havent had a forum exchange or anything, I just ignore them, like the beautiful Syrian ladies sending Facebook friend requests.   

What does everyone else do? 

Rant over!

BRRR to the point of Infinite returns and even Free and Clear Properties because you BRRR'ed one so well, (i Have done several like that) Even True No Money into the deal BRRR with cash to boot at closing and only borrowing 57% of Appraisal