All Forum Posts by: Stephen Flynt

So, did anyone find any actual errors or bad assumptions in the OP's math?  I did not.  

I see some advice to him not to do it (mostly sort of along the lines of "you're just not supposed to do that sort of thing"), some suggestions that he get a solo 401 (but he's not self employed, he's simply changing W2 jobs hence he has the opportunity to cash out), and some mentions of a self-directed IRA (but he wants to benefit from investing in real estate now, not when he reaches official retirement age which for him is decades away).

@Austin Green, if you've really double checked your math, your assumptions, and have the discipline to follow through on what you're saying, it doesn't seem like a terrible idea at all.  :)

Don't sell subject to, it's too risky to your credit. You may be very frustrated with being an out of state landlord right now but at least collecting the rent shouldn't be too tough given your tenants are on section 8. If you could find some local contractors who you trust you ought to be able to make it work. If not, I'd sell for a small loss before considering selling subject to. If you have decent credit and don't want it trashed believe me you have a lot more stress and worry headed your way if you sell subject to, much more than the stress of being an out of state landlord.

Originally posted by @Robert Herrera:

@Denny Moody I also Invest in PUEBLO, CO. It is perfect! I buy houses for around $50K. That's $15,000 down with closing costs. Mortgage is around $350/month PITI. Rent around $850-$950 no problem. There are not enough rentals in pueblo. There are not enough rental in Colorado as it is. This is the cheapest area in Colorado to Invest and be in a Main City. I love the cashflow. Here is a little Pueblo Secret... most people make close to Minimum wage, at around 8-9hr. Since the law is changing, all these people will be making $15/hr by 2020. That's only 3 years away. This will drive rents WAY Higher, and i expect Pueblo to fall in line with property values in Colorado Springs. This will make them worth about Double!... Just my Opinion on it. I own property in Denver that i'm selling to Invest more in This market. i own 11 properties, with 8 of them being in Pueblo, CO.

@Robert Herrera, what lenders have you found that will originate a $35K loan ($50K - $15K down)?  Thanks!

Originally posted by @Abigail Helfer:

Yes, I understand that renegotiating is the normal procedure.

But in this case, we would have to do the work before we even close because the bank will not give us the loan with the mold?

The repairs are going to be around $12,000 and will take about 2 weeks time. We would also need to cover hotel costs for the tenants. That is a lot of capital up front.

I'm curious, how does the bank know about the mold in the attic?  Is it on the appraisal report?  Obviously it's on the inspection report but I've never known of an inspection report being sent to the bank.

@David Goings, thanks for the reply. At the time I made this post I was considering purchasing a portfolio of SFR's in Columbus and was doing my due diligence on the market, but ultimately I did not buy. If there are some great property managers in Columbus that is certainly good to know.

Thanks,

Stephen

Hello All,

Wondering if anyone knows of any programs for refinancing a two unit commercial property that my company has owned free and clear for roughly 4 months.  One tenant has been in place for several years and the other unit is vacant and will be rented soon.  So far the offers I've gotten have been for higher fees and interest rates than I would like to pay with the suggestion that I can refinance after a couple years of seasoning (the issue seems to be both the lack of seasoning and the current free and clear status of the property).

Thanks,

Stephen

Good afternoon,

Can anyone recommend a property manager for single family homes in the Columbus, Georgia area?

Thanks,

Stephen

Good evening,

I've located a multi-family, a triplex, in Marietta, Georgia, and have it under contract. Unfortunately, I've now learned that its location is not zoned for multi-family. The lender I have used in the past has told me that in order to lend on it, I either have to:

1) Have the property properly rezoned to show that it is a multifamily (probably not practical and certainly can't be done in just a few weeks)

2) Convert the property back into a single family home and get all of the current tenants under one lease. This is doable, as only a doorway would have to be opened up to convert it back into a single family, but as I don't own the property yet I really can't do this at this time either.

Does anyone have any financing options they could suggest for such a situation? All three units are leased at $650 each ($1950 total) so it's really a great cash flowing property at my contract price, but I'm in need of a new lender at this point.

Thanks in advance for any and all advice.

Stephen

Greetings, I flip and hold rentals in Georgia around the Atlanta area (Gwinnett, Cobb, Dekalb) and in Alabama in the Birmingham area. Single and multi family.  Looking to also get into apartments. 10+ years experience, looking forward to connecting with other investors. 

I am planning to purchase a SFR in Birmingham, AL for $45,000. It's currently rented out at $825/month and as it sits needs no repairs or upgrades. I could purchase it with cash but would rather obtain a loan to better leverage my cash.

I'm not interested in paying hard money points or rates, but would be willing to do a first lien loan amortized over 20 or 30 years but with a balloon payoff after 10 years (I'm aware lenders are not too interested in standard 15 or 30 year mortgages on this small of a loan).

Does anyone know of any lenders that do the type of loan I'm describing?