All Forum Posts by: Shenice B.

From what I've learned, you can do alot with a self-directed roth Ira. It can be used for tax benefits when using it for real estate investments. You can also do private lending to others and grow the Ira with the interest from short/long term loans. 

https://1drv.ms/x/s!AtxOHcg2m1X1hcUPswo5PpW2hm1M-w

This is the link to the Excel sheet I use. Download it and fill in the purple cells only. Hopefully you can walk through it with the owner. Also, you can play around with the interest rate and years for balloon to see what payment would work out for you and the number you would be comfortable with for balloon payment in a few years.

Jason,

It seems that many people are resistant to finance a property because they don't understand the process and how it benefits them. I recommend showing how much he would make (in interest) over the 5 year period. I think a balloon payment is a good option if he likes the idea of getting monthly payments until then. I have a simple balloon payment sheet that can send to you so you can show the owner the number breakdown. It might be helpful.

 Tony, 

Do you mind sharing where you got this rate? Also, is this a commercial loan? 

I am in South Houston. Feel free to reach out!

From my knowledge, they say cash only to indicate that they don't have a financing option available for the winning bidder to use. I call to verify that I can use a hard money loan to purchase and once they say yes, I place my bid. I have purchased from hubzu and auction.com and once the bid is won, they ask how it will be paid for. It's usually cash or hard money. The title company would then arrange everything so the lender can coordinate and wire funds the day of or  day after closing. Let me know if you'd like to speak further! Happy to help where I can. 

Albert,

Is the property on an auction site? I have purchased properties using hard money loans despite them being listed as "cash only".

Hi Rojan,

Please PM me with more details! I would love to help where I can.

Amazing system! I will definitely have to use this for my next rehab, especially when at a distance from the home.

You have a great interest rate and you will have a lower mortgage from having a tenant, which is great! The knowledge you will gain will definitely be worthwhile. You would have some cash flow if you rent both units. You can also refinance at some point to get rid of the PMI in order to increase the cash flow. If you have enough equity after repairs where the home actually appraises at 130k or higher, you may be able to get rid of the PMI sooner rather than later.