All Forum Posts by: Stewart VanValkenburg

I usually see 10-15% down 1-2 points and 11-12% rates. 

I think they are a scam. The webpage has them based in Maryland but they aren't listed in the state's business directory. Nobody answered the phone, I called 5 times. The phone number for the 'agent' emailing me is the same as the one for the main business. It's also a barebones google number with nothing in it. No 'press 1 to talk to our sales team, press 2 to...' sort of thing. The terms for a 2nd position loan on a rental is 6%, 25 year term, and 2 points origination fee. The email heading calls the business RAD Diversified Reits inc. The bottom of their webpage says Rad Diversified Capital LLC. The faq page is empty.

I did get a call back after a few hours. The person had something of an accent. They said they'd do it through a title company if I didn't trust them, but they really needed the 2% fee to get everything rolling for the loan. I asked if I could pick the title company and they said they would do it and call me back with the details. So far no call back. If they actually use a reputable title company I'd do it but if not, I won't trust them.

Update. The deal fell through. Couldn't get funding quickly enough. Someone else snatched it up.

I don't know of many others in the area. Zillow will show rentals by the room and only one pops up. Craigslist shows one other rooming house in the area but it's a single family rented by the room. One tax id for the main property. Tenants park in a side lot and I'm checking with the seller if that's included.  You see this sort of set up a lot more near colleges with student housing.

Looking to finance the purchase of a multifamily property being used as a rooming house. That means they are renting it out by the room. There are 50 units with most of those of it being by the room. Each room has a small kitchen but they share a bathroom down the hall. Most of the banks I've talked to have said variants of "we don't finance if they rent by the room." I tried a dozen private or hard money lenders and most of them said the same or that they don't do more than 8 units commercial.

2nd part of qualifying for a loan is how much you make. Do you have a job? Or a relative that is willing to cosign with you? Preferably both. Credit scores do depend somewhat on your credit limit. One big factor on raising your credit limit is your yearly income. 

Update, the tenant claimed to have signed and payed a whole year upfront to this other person, again. The PM told him she called up the city and they have no such person in their records. Tenant said he won't pay until someone takes him to court. I told her to jump on that. For a clarification, the PM suggested letting him stay until his 'contract' was up at the beginning of summer, so 3 months away from it being done. An eviction takes a few months, then you have to hold onto their 'stuff' for 30 days, so it made sense timeframe wise. 

@Nathan Gesner I did check narpm.org but they don't have any members in that area. 

@Theresa Harris I assume he got in when I was firing the last property manager and hiring this one.

@Mackaylee Beach Unfortunately NY treats squatters pretty much the same as tenants. If they stay at least 30 days they legally count as tenants for some reason. I've tried to get the cops involved in kicking out squatters before that 30 day time limit but they say it's not their job, all the squatter had to say was that she was renting there and the cops took her word for it. 

So I have a duplex in Binghamton NY. Switched out property managers last year because the one I had had sticky fingers. Found there was someone living in a unit who said it wasn't the old PM who put him there or the new one, but someone else. Claimed to be paying rent to this other person. Fast forward a year and he's still there. My new PM wanted to wait till his lease was up (Aug 31st) instead of going to court because court is a multimonth process there and it was trickier than usual with his claim. He's still there and trying to collect rent from the other tenant in the duplex. Have you ever had this happen? Anything in particular I can try besides sic a lawyer on him?

I've got a bill of sale. Title is technically held by the lender until it's paid off. 

So I bought a mobile home last month as a flip on seller financing. The low down payment was great and it's hard to get a hard money loan for a mobile home so it worked out. But now I'm trying to sell it and I've run into some issues. The mortgage company holds the title and since it's seller financing the title is still in the previous owner's name. The mortgage company of the new buyers said they'll pay off the old loan but the rest of the proceeds they will send to whoever is on title,  aka the previous owners.  Any suggestions on how to set this up? The current loan company said they don't want to let me assume the loan, getting a new one would delay closing by an additional month or two. Got a full price offer with a 30 day close but the new loan company said they don't do double closes. What's owed on the mobile home isn't a huge amount but most of my money is tied up in another flip I'm working on. Plus, if I paid it off it would take the current loan company 1-2 weeks to send the title to the old owners then 2 weeks for the dmv to issue a new one in my name. Anyone run into this before?