All Forum Posts by: Sterling Pompey

Hello All,

I'm looking to buy my second investment property as a BRRR in 2025. It's going to be a 3-4 Unit Multifamily between $450k and $550k. I'm planning to use other people's money for the down payment, a 203K loan to buy and finance the flip, then cash out refinance out into a regular conventional mortgage and repay my private investors.

A few questions:
Am I taking the right approach to financing this project? Should I be using OPM for more than just the down payment?

Does anyone have any 203k friendly contractors in the Chicagoland area?

Zack Karp was amazing in walking me through this program on my first investment property. He's on the BP boards as well so you should be able to find him on here too. 

Hi  @Kristian Demsky,

it worked out well! I actually utilized it to purchase my current place that I'm living in right now. 

@Jason Wray, thank you for taking the time to respond this makes a lot of sense. Are you aware of any lenders that specialize in working with Travel nurses/PTs of the such that we can connect with? Also, if you were in our position, what questions should we be asking the lenders to make sure it is a good fit? Thanks again for your time and expertise. 

My friend and I are planning to buy an investment property (My second his first). It would be his primary residence so most likely a duplex or triplex house hack. We are running into a roadblock of him getting approved for a loan. He is currently a travel PT that makes $37k pre-taxed but after including all his stipends, his annual earnings are  closer to $95k-$97k. The issue we are running into is that lenders are not recognizing the excess amount he earns as income, therefore it looks like he will not be able to afford any loans that he would be approved for. Are there any other Travel PT’s or people that have faced a similar problem like this before? How did you over come it? 

For further context, we are trying to have him be the name on the loan because he would be able to utilize his first time home buyer loan to take advantage of the lowered offered interest rate. Is there anything I can do as a partner in the deal to help in this situation while still having the loan in his name? If anyone has any suggestions, that would be greatly appreciated! 

 @Carlos Ptriawan Thanks for taking the time to respond. This make a lot of sense, I appreciate your insight! 

@Matt RuttenbergThis was a great explanation, thank you for taking the time to respond.

I was approached with this concept recently. From my understanding, it sounds like you take out a life insurance policy and take out loans against it to fund your deals. I haven't heard it discussed on any of the Podcasts so I'm curious as to if anyone in the BP community utilizes this strategy? If so how has it worked out for you? 

Thanks in advance for your insight! 

@John Warren Thanks for the info. I've heard that it was a go to from other lenders in BP too. I'll keep that income bit in mind as well. Thanks for taking the time to post! 

@Chris Mason Thanks so much for the in depth response! During my initial call with the lender, he had mentioned some of these points if not all but as always, it doesn't hurt to hear/read it again as there were certainly some aspects that I missed after reading your review. Thanks for taking the time to reply it is much appreciated.