All Forum Posts by: Tom Camarda

 Hello Joe,

I have done this on a couple of projects where I have bought all cash, rehabbed , waited the 6 months and then refi'd. Going forward, I would like to get the cash out sooner than 6 months.

Does the Equity Loan achieve this? Is it because it creates a lien on the property and then by satisfying that lien, I am able to refi sooner? Can it be a HML that is opened and closed in an hour? Seems a little dodgy but brilliant if it works.

Tom Camarda

Originally posted by @Joe Villeneuve:

Yes...but only the original cost you put in. To do a cash out you need 6 months seasoning...which is shy I do the Equity Loan out of the gate so I can out my cash back to work ASAP

Hello Joe,

I have done this on a couple of projects where I have bought all cash, rehabbed , waited the 6 months and then refi'd. Going forward, I would like to get the cash out sooner than 6 months. 

How does the equity loan Equity Loan achieve this? Is it because it creates a lien on the property and then by satisfying that lien, I am able to refi sooner? Can it be a HML that is opened and closed in an hour? Seems a little dodgy but brilliant if it works.

Tom Camarda

Hi Augustina,

I would recommend contacting Nathan Lenahan at Redleg Property Managment Group 

They just oversaw a rehab for me and had it rented within a month. Good communication and organization. I am looking forward to the next project!

Tom Camarda

No it was a recommend by an agent...

TC

Hello All, 

I'm putting this one out to the big brains on BP. This is a 12 unit apartment complex in Indiana. I live in California. I have been investing in TX for the past three years with good results and have been looking to expand to different markets. This one looks interesting, at least.

The building is on the market for the first time in 35 years. It is dated and a couple of the tenants have been there since the 80's...  There are two vacant units and there is also an eviction in place!

There are (9) 1BD /1Ba units and (3) 2Bd /1Ba units. The building is close to the University in a C+/B- area. Decent schools and good amenities. 

The Finances:

OK, I own another property outright and the bank is willing to use that property as my down. Therefore, no money out of pocket. 15year Am at 4%. However,  I would have to come up with the 25k in rehab funds.

Asking: 265K

Rehab: 25K

Rent: Avg $440 (10 of 12 current units rented)

Expenses: (2014 totals)

Advert: 800

Insurance: 3250

Yard: 580

Trash: 1240

Snow removal: 610

Reapairs/Maint: 11,100! (previous years were 13k and 12k respectively)

Utilities: 3800 (water, sewer, common elect)

Taxes: 6600

Prop Mngmnt: 12% (no lease fees or renewal fees)

Vacancy rate 10%

______

I look forward to hearing your thoughts and insights!

Thank you, 

Tom Camarda

Please keep me posted on the next one... I'm in Mt. Washington

-Tom

Thanks everybody. It's a little tricky, Fannie Mae wants to see 6 months of reserves for EACH property in the portfolio. Not a problem now but around prop 6 or 7 it might be... That said, delayed financing through FM is probably the route to go, since although I won't be getting 75% of the ARV, I will still be getting a low interest rate and the props will still cashflow...

TC

Greetings all,

I have recently purchased (and am in the process of rehabbing) 2 properties for buy and hold out of my home state. One is a 2/1 and the other a duplex (also 2/1's) Both were purchased with cash at 75-80% of the ARV. Both should cashflow nicely once tenants are placed and after the rehabs are done (this month). My question now is regarding the refinancing. Should I try to refi these together? Should I wait 6 months to season or is it better to get the deal done sooner than later? Would I qualify for a portfolio loan? ( These are rental properties #'s 3&4 for me) Should I try for a Fannie Mae conventional on one (for the low interest rate and then go bank loan on the duplex?

Interested to hear what some of you all might to do pull your cash out in this scenario... Thanks for the help.. 

Tom C

Hey all, just an update on the HVAC, Decided to go with the Mini split system:

Love these in Central America! Seems like the best way to go for the size of the house and works for heat as well!

Thanks for the feedback!

http://www.homedepot.com/p/GREE-Multi-Zone-18-000-...

- Tom

@GregH, no ducting in place... Only a wall unit heater exists currently. Would love to know the name of the company you mention.

Thanks!

Tom Camarda

Los Angeles, CA