All Forum Posts by: Andrew Katz

Hi @Andrew Katz, I'm curious to see if you moved forward with the HELOC and your next house hack. As you may have found in your search, there are lenders that will lend up to 80% of the appraised value on investment properties and don't require an appraisal.

Let me know if you'd like me to point you in the right direction.

For late payments, how late are they?  Do they pay within 5 days of the first of the month (in some states that is not late)?  More than 5 days late (or whatever your local laws consider late), give them notice.  Have a late fee in your lease.

@Andrew Katz new construction in a Class C neighborhood?

Why?

Usually the numbers don't work to build in these neighborhoods, unless government tax credits, etc.

Personally, I'm not a fan of enabling bad tenant behavior and in life you get what you tolerate. They aren't going to magically improve and start abiding by the lease terms but I think there is definitely a possibility that the situation gets worse.

Of your choices, #3 makes the most sense, but it doesn't have to be a house hack. Just buy a third property when you have the downpayment and reserves set aside. Why do you think you have to buy this third property in cash? To win? Buying from a wholesaler with only two properties under your belt could be a real problem as their ARV is always too high and repair costs too low, depending on how much you know to date.

I would do the cash out refinance and use the equity you currently have to buy another property. I would buy a place all cash if was an option but the best part of the refinance is that you can use the current equity and the potential new rental income to purchase.