All Forum Posts by: Lou Croce

Hello all,

I'm getting ready to close on a duplex pretty soon but I have to say, It's pretty gut wrenching!

Its a duplex out of state where my parents live, so I visit alot (about a 4 and a half hour drive). Cash flow is very good for a duplex. All the banks I've talked to said I could NOT title under my LLC, so I was told to quit claim it after I buy it and pay transfer tax. thats part 1 of the headache...

1 Bank fell through (Quicken, Dont ever use them btw) for reasons I'm still unclear about. My agent, who's also an old friend of mine and an investor as well, referred me to Wells Fargo. I had to renew my contract to extend the closing. Part 2 of the headache....

The only way Wells Fargo could do it was to say the Duplex was a "second home" and put 10% down plus closing costs (3% seller concessions). Today I got a phone call from Wells Fargo saying that I have to write a letter stating why it is a second home. I told her that is where I'll stay when I visit my parents and I'll rent out the 2nd unit. She typed it up and said I would have to sign it at closing.... Part 3

Does all of this make sense? Why cant they just finance it as an investment property with 10% down? Is it because of the current mortgage meltdown thats going on? Is all of this going to come back to haunt me?

Any input would be much appreciated!

Hard money for a down payment would probably work well for the properties ive been looking at if its possible. Cash out with a refi or even a heloc after a year or 2 to pay back the hard money lender? Not sure if that would work or even what HM lender would do it...

Hello,

Was just wondering if anyone here has some good creative financing techniques for coming up with downpayments for 10% of 2-4 units or 20% for 5+ units besides the traditional HELOC, personal loans, seller financing, Etc....
Is there hard money for just down payments, does that exist??

Hello!

What part of Jersey you at?

hello and welcome!

I agree, Ive looked at and read through alot of RE websites and most either try to sell you expensive courses or just dont have any good info. This one is by far THE BEST.

Ryan, I like what you wrote. All of my free time AND my drive time has been devoted to learning RE, property analysis, crunching numbers, etc. I havent even made an offer on a prop yet but Im feeling a little "burned out" already. Looks like I might have to chill for a minute and "balance the ambition". I might even just put the audio books aside for awhile and just start sending out Letters of Intent and see what sticks. Also, Im feeling a certain anxiety about the properties Im crunching numbers on because 1. they are 4 hours away from me and 2. they are in a not-so-good section of town. They have good cashflow for the price though... I just dont want to mess up bad and get stuck with something that could screw my life up for the next few years.

Wheres the love? :lol:

Amen to that, brotha! :mrgreen:

Hello all and here's the scoop,

I plan on forming an LLC with my father. Hes in upstate NY, and Im here in South Jersey. I plan on getting my first rental properties in upstate NY closer to my father because the areas/properties in the areas Im looking into there are cashflowing like crazy. SOOOO, should I form the LLC here in Jersey or there in NY? and does it matter that the 2 members of the LLC are in 2 different states? Any input would be greatly appreciated!

Yea it was that "Real Estate Riches" course. Did you buy it?