All Forum Posts by: Stewart Wyne

No @Nitin S. Typically a HELOC doesn't expire. It can take months to find a new deal or opportunity. If you re-fi and pull out the equity, you'll start paying interest on all the money on day 1. With a HELOC, you can pull only the money you need out instantly. It also allows you to be a cash buyer, which is more attractive for sellers. Once your new property is stable (leased), then you just re-fi the new property with a new 30 yr fixed loan, pay off the HELOC, and then repeat the process.

If we have a huge decline in values, then the bank "could" reduce your credit line, or even close it if you have no equity left. It doesn't effect you negatively, but you'd no longer be able to use it. 

Hello Jered and others. I'd like to start attending as well. I'd also be interested in presenting a strategy that's working for me if you need a presenter for a meeting. 

Thanks. 

As a landlord, I REQUIRE all my tenants pay rent via auto electronic payment on the first. It's actually in the lease. If they can't, they can't rent from me. 

All major banks have an ACH payment feature now. (chase quick pay, popmoney, etc). I also accept rent via venmo or paypal. All have their pros and cons. And I'll admit I wish everyone used the same app so it would be easier for me to manage. 

Depends what your goals are. If you like your house and can afford to stay there, what does selling accomplish? 

Equity is a great source of cheap money. If you're just looking to leverage your equity to buy more RE, then I'd recommend just getting a home equity line of credit.  That way the money is there when you find a good deal, and you're not paying any interest on it until you use it. 

I personally think your market may be a little hot to buy at the moment, so maybe look at some secondary markets for good deals. Unless of course you come across something you can't pass on. 

Definitely depends on your market. My neighbors just rented their house in Atlanta for 25% higher than my mortgage, and I bought 2 years ago.  

I've recently started short term renting properties in Altanta, but I am now running into problems getting financing for more units because traditional mortgage underwriting isn't recognizing my short term rental income from Airbnb or Homeaway. Even though my properties are all profitable with 1-2 years of history. My DTI ratios are all out of wack now without that revenue.

I'm trying to avoid hard money or private mortgages due to the high interest rates. Anyone else have this problem? Any suggestions? 

Do I need to move to small business loans, rather than traditional mortgages? Anyone know a finance company that has adapted to this business model? 

Thanks

P.O.BOX? That's old school...

I rent to A class tenants. So they all prefer convenience. I use both Venmo and Google Wallet. For both, tenants can pay via their smart phone app or computer. It's free, they can set up automatic pmts, they can belong to any bank, and all they need is my email address. 

This also removes any "I forgot, or it's in the mail"... they can pay anywhere, anytime. 

I then transfer the funds from that app to the appropriate bank account set up for that property. Each property has it's own account.