All Forum Posts by: Sean Kuhn

Single family. Start small and work your way up.

I've had an offer in on a short sale for 9 months now. Its a great deal and if it gets approved, great. If not, its okay because I've been buying other stuff since I offered. We've signed a contract so no one else can come in and offer higher.

I'm almost completely leveraged/spent and have one more house I can buy before I take a break. The home is in high demand and many investors around here have been asking if the deal has fallen through. I don't want to just back out of the contract if I buy a different house, I think I can make money on it somehow. Can I allow another investor to take over the contract without interrupting the process, or can I agree with another investor that if a short sale is approved that he will take over at closing? For a fee of course. Basically what I'm selling is my nine months into the approval process. If I back out someone will have to start it all over again. Anyone done anything like this before?

I agree, walk. Take that 55k and leverage it against two or three single family homes. Looking at your numbers quickly I would think you could gross more monthly with less borrowed.

I had one in a unit I have. I removed it completely. Wasn't too hard. Just less of a headache for me.

Sitting back and waiting is all you can do. Be prepared to wait nine months with your offer of 90k(example) and have the bank counter at 110k or counter with a "no, we're not short selling." I've been waiting for one patiently for nine months now. I'm pretty sure it will get approved though.

Keep in mind your heloc will affect your dti ratio. If you have a 100,000 heloc they use one percent of it as debt. So regardless of the balance they will use 1000 dollars as debt. This could affect your ability to get a mortgage on your purchase.

Luckily the feds decided not to reduce bond buying :)

Were there debt to income ratios to be met on the cash out refi?

It depends if waiting a week is worth 450 to you. "A friend of a friend" always makes me cringe. As far as being uninsured, there are two types of insurance. Workmans comp and liability insurance. I do contracting work without workmans comp as I am self employed, but I do have liability insurance. Make him sign a waver if you want, I've done it with workmans comp. If he doesn't have liability insurance though forget it.

Only true real hardwood can be refinished. Laminate would have to be replaced.