All Forum Posts by: Sergey A. Petrov

Get a HELOC instead of a straight refi / 2nd mortgage. It'll be there when you need and you pay interest only on what you draw from it. No draws = no interest

@Zack Parkins - that should definitely be a factor in your review of the rental market!

Last known mailing address than turn it over to your State’s unclaimed funds if not cashed or returned as undeliverable 

Your BP Pro membership gets you access to those right here on BP. Or if you don’t like those call your attorney 

From a fellow Seattleite, I love Kelowna. Haven’t visited for a while (COVID border shut downs etc) but it is beautiful. If you are settled on Kelowna that tells me you’ve been there a bunch of times, know the area, or have some other ties. Otherwise Kelowna is a bit of a random place to relocate to. So if you are familiar and know where you want to be, go ahead with the purchase and the rest of your plans. Otherwise I’d still rent for a bit. I know you said those are hard to come by but i am sure you can find something suitable in the general vicinity. Meet people, build a network, see how hard or easy it might be develop a vacant piece of land, if there are contractors (Kelowna is small), local ordinances that might get in the way of your dreams, something else. A life changing event with a major purchase such as this on a whim is a bit too adventurous for me unless i was super familiar and knowledgeable with the area. But you’ll always have Seattle you could come back to since you are keeping your home here!

Get out from under it. It sounds like you in way over your head. Lots of resources on BP. Look for a wholesaler or an investor. Then listen to podcasts, read some books here on BP and decide if you want to look for another deal and if this is for you. A decent amount of work is done well before you close on anything from analyzing the deal to making sure you have the right team and the right legal docs in place. Due diligence, plan, budget, execute. You might have started at the execute part. Rewind a bit.

Or for all I know there still is a ton of money to be made on that property and you’ll come out ahead. But if you can’t sell to a wholesaler or an investor, it is an expensive lesson. Sorry 

Yep sounds like a mess. Why would you write a $59k check if your contractor partner was doing the rehab, labor and materials? Who legally owns the property? You or the LLC that you two formed? If the LLC you might not even be able to sell to get out from under it without your partner's signature. Sounds like a very very expensive lesson unless you think you can pick it up or hire someone to pick it up and finish it. Will there be any money left to be made by someone after your $59k write off? I speculate taking your partner to court wont produce dollars even if you get a judgment.

I think the question here is - I have money but no time, I found something I like and want to just pay the asking price. Is that ok? The short answer is yes. The longer answer depends on whether or not that purchase is a new primary residence or a vacation second home or an investment. If new primary or vacation and you absolutely fell in love with it, go for it. Depending on how much you want it and the comps I might even overpay if i really really want that to be my next home/vacation getaway . Be mindful that while the market is softening and the bidding wars aren’t as frequent we are still seeing people underprice their listings in the hopes of creating a bidding war. If it is an investment (and people with money have money for a reason), I am sure you’ll run the numbers to make sure you are parking your cash properly regardless of how much or little time you have or hire someone to analyze a deal for you.

Depends on the spread (rate with and without points), how many points you are paying, and how long you plan on holding the property. If selling within 1-2 years points likely won’t pencil. But the math is pretty easy. Look at the interest you’ll pay over the holding period with points then without points. If the difference is one point and you are paying two points to buy it down you are going backwards

Connecting with a local property manager will be your best bet in assessing the rental market demand. If you want to do it yourself, you can do a quick search on zillow, apartments.com, craigslist, etc and see how many similar properties are available now vs say September 1. If 20 are available now and only 1 as of Sept 1 you know they are sitting vacant waiting for a tenant. If only 1 is available now and there are 20 in September then 20 in October, etc you know they get re-leased quickly because there is only one vacancy now and none until Sept 1.