All Forum Posts by: Steven Barros

Thank you guys! I figured that is the case. I have seen many people get the 75% LTV however I kept coming across all of these 90% stories. I figured I would ask BP members since primarily deal with smaller residential investing at the moment. I have been interested into scaling up and wanted to know what to expect when walking into a bank.

@Joshua Fulenwider

Hello BP, 

I have been looking at small apartment buildings 8-15 units in various cities around the country. I would like to finance the most that I can since I am young and have time to leverage my money. Is it possible to leverage 90% LTV? Are small local banks a good source for commercial loans? I would like to still get a reasonable interest rate.

looking for advice on what to expect when looking for loans. 

Thank you!

Hello BP,

Does anyone know a good property inspector or GC who can look at a property to see what it needs in repairs or if it up to code? 

Cheers!

Steve

@Chris Mason Thanks for the advice! I would likely run under at least an LLC. I currently own and operate another business locally. It does well for me so this would be supplemental income or extra "Investing Money" as I like to think of it as. Do you know any details on LLC's in terms of what lenders like and dislike? I just switched my current company to an S-Corp and put my self on the payroll since I know lenders dislike us "self-employed" folks.

Hello BP,

I have an opportunity to buy an established beer and wine market w/ existing business. Offer is 400K for both. The business claims it nets 120K, the owners are not currently paying themselves rent. The building and property could use some fixing up it is in a neighborhood with home prices from 140K-210K ARV. The area is lower income. I could most likely get a 25 - 30 year fixed loan to purchase the property. I have the capability and wouldn't mind building the systems to turn the operation absentee.

My question is this: Will taking a 30 year loan hurt me in the future for build other property as well as a personal residence? Will banks frown at the debt or will be seen as an asset that brings in revenue when I am ready to get my own home next year? I am hoping to use the income from this potential investment to help pay or completely cover my mortgage. 

I do not want to be deemed over leveraged down the road, however I am not sure at what point one becomes "over leveraged" in the eyes of lenders.

Any advice on this is appreciated. 

Cheers!

Steve

hmmmm hadn't looked into hard money with a double close.... how does that work?

@Brandt Smith

Looking at deals with $200-$250 per door, after PITI, Cap ex, Vacancy, etc...

Now what i cannot speak for is Turns.. when it comes to turnkey, however I am note sure you can account for that with a BRRRR either.

@JD Martin

I am ready to buy my first real estate deal. I have chosen my stragety of buying Duplexes, Tri's, and Quads. I have heart for multifamily RE.

What are BP members thoughts on wether to buy 3 turn key over the next 6 months. or buy 1 BRRRR stragety duplex? I have the ability and contacts to do both.

My goal is to start building extra passive/cashflow. 

Thanks!

Steve

Forgot some :)

@David Thompson

@Matthew A.

Wow! Tons of awesome answers! I knew this would start a good discussion. The fact is am not being paid 300k to quit my day job. However, i am interested in hearing what people do with such numbers of money. Of course 300k is not a lot of money when it comes to RE, However that is where i find this topic interesting. To most investors it is a game or mission to grow money exponentially, that is almost as fun as actually collecting the money! 

**Who here has started from ONE unit and where are you at today? How long did it take?

@Yinan Q.

@Barbara Turner

@Thoai Han

@Nelson Quiles

@Michael Campbell

@Dustin Beam