All Forum Posts by: Tim Mensch

i am a new agent who just started picking up clients for residential sales outside of Philadelphia, PA. I recently received a buyer lead for a small commercial property.  My broker says it is small enough to take on with his assistance but i am a little skeptical about taking it on. If it was to sell a commercial property i would definitely pass up on it, but working with a buyer sounds doable.  Does anyone have experience with working with a buyer for commercial property?  What are the major differences aside from knowing the local zoning classes?  I have a meeting this week with the client so i wanted to be prepared, even if it is to turn it down.  

That is exactly what I needed to know before going on a hunt for a bank that offers the cash out refinance option. I'll have to look for one with a higher LTV. Thanks again.

@Stephen Chittenden

Stephen, Was the 23k you invested gained back with the cash out refinance? For my particular situation, I could borrow money from a relative (along with some of my savings) for the down payment/closing for the original loan for the purchase/repair. That loan total would be 170,000 (purchase/repairs) on a house with an ARV of 230,000. Could I then cash out refinance for around 200,000 in order to give my relative his investment back along with extra money for his interest and a down payment for the next rental property? The new 200,000 loan would still produce a cash flowing rental. Thanks for both of your answers, I'm just a little confused on the whole cash out refinance process.

I'm currently looking at a home in my neighborhood that would be a great flip opportunity.  I had a private money investor that was ready to go in 50/50 but unfortunately he had some health issues to take care of.  I have been searching for a portfolio lender to finance the flip but as most of the forum posts related to this topic have said, this is easier said then done. I did however find a bank that would finance the purchase price/repairs if I held on to the property to rent.  My question is: Do any of you use a fix and rent strategy on houses that need extensive repairs (50,000+)?  If so, how did you finance these deals without having to put up your a signifiant amount of cash in the long term?  I would imagine a cash out refinance would work but I am curious to see if others used this particular strategy or if this is even possible through financial institutions.  My example would be a 110,000 purchase, 55,000 in repairs with an arv of 230000.  The rent would bring around $2100 per month.

I've been reading many posts on HML's in the Philly area but can not find anyone who has personal experience with one. Has anyone used a hard money in Philadelphia. I recently acquired my real estate license and affiliated with a broker. I have a potential first flip near my primary residence that i would like to put an offer on but i only have a limited amount of liquid assets available. I was approved for a line of credit but this would only cover my rehab costs. I tried finding a private lender to fund the rehab but only found a few people with 20k to invest. The property is listed at 120000 and needs about 55000 of work with an ARV around 230000. After going through my options, I'm thinking a HML is the only route possible to get me into the game. Any connections or advice would be greatly appreciated.

I am currently interviewing brokerages to hang my license. I'm interested in hearing the commission your broker takes on your flips or if you attempt to sell them as fsbo.  Do you earn the commission on reos when buying or do banks usually withdrawal a commission if you are the realtor?  Thanks for any insight. 

Kevin,

      That's great, it's encouraging to hear that being a "part-time realtor" is a possibility.  Eventually I would like to make a full transition to real estate but need my current job to help me obtain financing, among other things.  How do you like KW in Langhorne?  Are the fees (splits, desk, etc.)  fair for using the license while working another job? Also, is there a minimum amount of yearly transactions needed?  Thanks for any information in advance.  Hopefully when the exam is over with and things slow down at work we can sit down and go over investing strategies in the area.  

I'm currently studying for my PA real estate exam and was wondering if anyone has any experience with a good broker in the Bucks County area.  I decided to get my license as competition is tough in the area for flipping and I have found that finding a realtor who works well with investors is easier said then done.   I am looking to do about 4 flips a year while building capital for rental properties.  I would also act as a realtor for my  friends/family part time but my time is limited with my full time job.  If no one has any experience in the Bucks County area, has anyone worked part time as a realtor while working a full time job in another field?  I obviously know that in order to have a successful career as a realtor you must put in the time and effort, but I was just curious if anyone has had success doing it "on the side" for extra income?

A few interesting things involved using heat to sense how many people are in your house at given times.  I found this interesting if you had suspicious tenants who you believe are over occupancy.  Another cool device could send you alerts if fire or flooding were detected.

The big topic at this years CES electronic trade show is home automation and how it is becoming more standard and affordable.  With the capabilities to control water, heating/air, doors, and even monitor occupancy; does anyone use automation products in their rentals.  I personally am curious to see if some of these products have saved owners money in the long run.