All Forum Posts by: Seth Larson

I think the main issue for me here is the lack of a yes or no answer. I hate grey areas.

from my research:

-VA loan does not specify a 12 month period mandatory occupancy requirement, therefore implying you must occupy for life of loan

conflict: everyone says you can move out in 12 months and be fine

im reading about the "bank police" now that supposedly check up for 12 months on whos name the utilites are in and will go after you if you dont live there

and the VA straight up told me yesterday "dont tell the lender if you plan to move in a year they wont approve you"

no idea what to believe at this point, if theres not a 12 month occupancy rule when you sign the loan (my understanding is there is not) then what is the rule? 3 month? 6? 12? never?

 Ive read a couple of your articles before, good info for sure. Im definately getting alot of conflicting info.

So to be clear.. your saying that these 2 houses you currently own are STILL under a VA loan (not a VA refi) and you are renting them to a non family member and you have zero intention of living in the houses?

if thats the case then all of my research so far is in conflict with what your doing.. now im confused..

Im looking a purchasing a multi family in Kansas City. I spoke to the VA loan office and they said I would likely be approved.

Being that VA is Owner occupied for the life of the loan, not one year like many people like to say, Im prepared to move.

That being said, coming from southern California I dont intend to stay there any longer than I have to

Im having trouble finding any good info on a VA to non owner occupied refi.

I intend to purchase at a discount and force equity in the property by renovating. Im thinking I could refi at 75-80% LTV and get out of the property under a year, No?

thanks for any help 

 Funny you mention wichita, I was stationed there for 6 years at McConnell AFB 2008-2014. I was not upset to leave there haha.

I wish I had all $400,000 at my disposal but thats not the case at all since its my moms propery, il be lucky if i get to use $100k for our first deal. Shes understandably reluctant, not the investing type. I need to make this first deal go smoothly or I wont have access to any of it.

My local area is out.. thats for sure, So Cal.. shouldnt have to tell anyone the reason why.. I may be able to snag a property in the valley in a year or two, depending on if I can make returns out of state

I dont need anymore reasons to second guess my focus haha, KC it is. I know the area a little from visiting 

Indy and Ohio are places 2 and 3, but thats down the road, not even thinking about it yet

 yea ive been through that thread and all threads related to the top turnkey companys in KC.

yea im not sure if its been on the market for awhile because its hard to finance or because of some undisclosed reason

i suppose the next step is to start digging/making calls

thanks for the help everyone

Answering a few questions at once:

I have not begun to dig into this property in depth, just ran the numbers and have a basic idea about the area

Ive ran crime rates all around Kansas city and from a few months getting a feel for the city online and talking to people on the forums I feel I have pretty decent idea about where I want to invest

this 5 plex does need work in one of the units, Im a professional carpenter so I would fly out after closing and take care of it, $20k was the estimate so i could probly get it done under $5k 

mostly im trying to get a feel for if this is a viable strategy or if its smart to take a lump sum out of dead equity to aquire a highly cashflowing asset

yes there will be expenses and unexpected issues but having not ever done this its very hard to know when you need to jump on an opportunity or step back 

great thoughts there, I hadnt thought of a refi to pay off the HELOC before the repayment period.

 - no i havnt seen it

- blue springs KC MO

- turn key company provides management

 - yes my mom would be purchasing with equity, my function would be structuring the deal and ongoing management

- 7,600 does not include maintenance

- why wouldnt it be enough? if i say its enough then its enough.. its my compensation not yours

First potential deal and im looking for advice from the community

5plex in Kansas City area, under 100k, good neigborhood

to get around the commercial loan only for 4 unit and up houses this would be a cash offer from a HELOC

the house with equity is a $400k+ 3/2 in so cal, my mothers house, free and clear

income before expenses is $2,300 per mo, $27,600 per year

after expenses is around $20,000 per year

once the HELOC payment period starts i figure it would be somewhere around $500 or so, that would still leave around $1,700 in cash flow

i would be taking 15-20% for managing the manager and my mom would have the rest because she owns the house with the equity

to me it sounds great and would be a great first step to owning property, please let me know what you think