All Forum Posts by: Suzette T.

Hey guys! I know there aren't exactly "cheats" or just ways of going around your DTI but bare with me.

I’m trying to get a pre approval but keep running into the same responses for the most part. Mostly due to my car that I own (which is NOT an expensive luxury car) and my salary (which is between $25,000 - $30,000).

Has anybody ever been in this position of facing constant hurdles with their DTI? Any tips or ways you guys were over to overcome this part in your journey? I'm well aware I could just pay it off completely.

Also to mention I am looking for multi-families

We have a 5% per year increase built into the lease.  It is up to the owner to decide to exercise the increase in whole, in part, or not at all, depending on the tenant, their payment history and individual situation.

If you start giving a reason (they will read it as 'excuse') for the increase, it always leaves room for argument or discord from most people.  If it's baked into the lease, well, there it is.

Good luck!

I have most of my tenants paying me Electronically. For example bank to bank transfer.Zelle bank transfer, Facebook payment and Cash App have not had a issue.I do send my tenants a electronic receipt and file that receipt in a folder I name each month . I don’t think it a big issue if  tenant want s receipt. You should be worried if they don’t pay. Once a month using a software program to actually help your business have a accurate history record is not a big issue with me. I even use Rent Receipt Pro to whip out a fast quick and easy rent receipt you can send it to they’re email or text. I use the dictation feature on my phone and have a receipt in less than a minute. Collecting rent is after all we’re you make your monthly profit. Not giving a receipt I would say is being lazy towards your buisness. If you have all your rents due on the 1st you can even have the receipt ready to send once you confirm the tenant has paid you. It’s to easy you should love sending receipts it’s like counting  your $$$

My personal home is paid off and I am looking to obtain more rental property. I have a HELOC (I am going to switch back to an interest only loan) but all of the bankers I have talked to say I can not use it as a down payment for another mortgage to obtain another buy and hold.

I have used an interest only loan to purchase, remodel, and sell a flip.

What do I need to know?

TIA

@Mike Dymski I appreciate the suggestions! I eventually want to start using the BRRRR method, but I know that typically involves a smaller chunk of capital to begin with. I do like the idea of seller financing and will keep an eye out for those deals!

@Cameron Ysidron I sent you a PM, but the best approach is to look for the community banks that only have one, or a small handful of branches. Those are typically the portfolio lenders willing to get creative with you.  In fact I was on the phone with my banker yesterday presenting a uniquely creative real estate deal involving a paid off Tesla as collateral and he outright told me that this type of deal is why we go to community banks because Chase or Capital One would laugh me right out the door with it.  But it is a good deal and it is fun to me to see what kind of you deal you can craft that works for the lender and keeps most or all of my own money in my pocket.  I'm about to need some bigger pockets!!