All Forum Posts by: Seth S.

@Joe Sadusky thanks for the input; I guess I have to vet/triage better with the letter contents to avoid awkward conversations. 

@Michael Quarles awesome example; thank you tons for taking the time to make that letter! And for the advice! I definitely have some re-writing to do

@Edit B. thanks for the detailed answer; much appreciated! I will make some edits and try no to sound too "buzzword-y", I think your con list all makes sense. 

@Ehsan Rishat thanks!

Hey BP - 

Looking to begin a direct mail campaign to a specific niche I selected. I wanted your feedback on this template I put together. Please be as honest as possible :) 

Hey guys - 

I was wondering if anyone has had experience with getting an income property while on a work visa. 
I am a Canadian working in California on a TN (NAFTA) visa that will soon turn into a green card but I don't want to miss out on a deal if one presents itself.

The TN visa is technically a "non-immigrant" visa type that is linked to my employer; aka I cannot work for anyone else (or myself, as in a LLC) during the period I'm still on TN.

A lender told me this is not an issue as I have authorization to live & work in the US, pay taxes here, and all the shabang. My immigration lawyer said she hasn't encountered this issue before but doesn't see a problem.

Has anyone been through this as an investor/lender/buyer/seller/lawyer??

Thanks!

Hey BP - 

I am coming across a few properties here and there that have a duplex/triplex/fourplex conversions into multiple "efficiency" apartments (studios). Even though the numbers do look good on paper, I was wondering if anyone has has experience with those. 

Some of my concerns: 

- Most of those, the owner pays utilities 
- Smaller units might be harder to rent for decent amount of money (unless well located?)
- Legality of having that many units under 1 roof (aka, did the conversion happen legally or did the owner just do it without any permits/permission)
- If the zoning was for a duplex, and now there is 5 apartments, does that make it a commercial property?

Thanks in advance, 

S.

Thanks for the detailed answer, @Scott D Burrows !! 

I am going for small multifamily units, thus conventional non-commercial loan would do. In terms of the terms you listed, I believe I check off every single line item.

You mentioned that for commercial lenders, they will look at a good plan and be more analytical; do you think that going to a conventional lender with something similar (printed out BP PDF calc sheet, process road map, a detailed plan of action) will help? Or will most of people looking at this that haven't done REI financing just gloss over it and go "mmm k" and toss it?

Also, thank you for the @ links to other members!

Hi BP! 

I was wondering if any investor here (BRRRR), when starting out, has spoken to (and has successfully worked with) a local bank in California?

I am in San Jose, so if possible to have someone in the San Francisco / San Jose / Bay Area in general, that would be awesome! 

Also, any advice on what are some things I should prepare in order to appeal better to potential lenders? 

Thank you all!

@Michinori Kaneko you are absolutely correct; I totally messed up the second part of the calcs. I did it correct on the top of Option 1, then downhill from there :( Thanks for catching that!

Also, I am not investing in TN, nor do I know how properties cash flow there, but it was a simple example. 

@Jeremiah Ratzschsorry for the mess up mate; please re-evaluate the numbers based on the actual calculation method of subtracting the % CAPEX/Repairs/Vacancies/PM from the final amount of Rent - Fees.

@Ryan Rominger

Hey Ryan; thanks for the intro. Indy is definitely one of the markets I am looking at and keeping a close eye on. 

PM coming your way!

@Kenneth Hynes

Yes, I live in CA but am looking for deals in the mid-west. The nice thing about my job is that I have the ability to do some work remotely. That, combined with a lot of vacation time saved up should give me enough time off to handle the logistics. 

Following the guide of doing what you are good at and outsourcing the rest, I will do only work that I know I can achieve good & fast (80/20 principle). Then the rest of the work, I will hire out to a contractor.

Having done some remote rehabbing before, I feel like there is different ways it can work. With contractors, the way I found best is to be there in the beginning, middle and at the 90% mark. Of course, that is with the utopian idea that contractors will not pull a fast one on me, but I think that with reputable references, it can be done.