All Forum Posts by: Tony R Fox

@Joe Martella

Thanks for the note! There was a great deal of competition for this duplex. The numbers work with both private and conventional. I like the private because I can have the money I want for rehab and not skimp on it.

On the other hand, it does have more points on the originating etc. Which is okay but still adds up.

Hey Team!

Looking for some help on some financing with my contract before closing.

So I was going to buy a duplex with private money. On the contract that the seller accepted, I specified private money and would be able to close quickly. However, people have been telling me to go conventional because I have the capital. My concern is that with the BRRRR, if I go conventional, I do not have enough capital to do the rehab I want and have enough $ as a safety net.

With my contract, if I wanted to switch to conventional, is that possible or do that risk the seller backing out? From my understanding, I would have to cancel my original contract and resubmit a new contract with different terms (which the seller can reject), etc. Opens me up for risk of losing the property and I was not the only bid on this.

Any and all help with this is appreciated!

@Bryan Noth

Thank you for the insights sir!!!

I certainly do appreciate your time with your response!

@Paul De Luca

Great! I'll have to look back into that with my mortgage broker! That can be very fruitful!

@Corby Goade

Very interesting and smart take on this!

I will keep this in mind!!!

@John Warren

Awesome, thank you for the information!!!

Hey Team!

What is the fastest way to scale my portfolio?

When I think about it, I keep coming back to private money lenders to help scale. But is there something else? Besides more capital of course. Eventually my own capital will run out before I can purchase 2 homes within one year.

Any tips for scaling? I am in contract for my 1st duplex now. Now I need to focus on my next purchase but coming up with 20% down for every home is a lot.

@Nate Sanow thank you for the thoughts! This is very helpful for me. I've been struggling with the delayed BBRRR vs the speedy brrrr.

I am using private money lender so its more flexible and they are providing the cash for reno which is why I'm thinking i need to do this asap so i can refi asap and pay off that bridge loan.

But what about the existing tenant that is about $600 under market value for a 4 bedroom unit? Do I renovate while they still occupy? Then do I raise the rent after 4 months? Give the tenant a respectful option--they are MTM and I'm thinking I offer then a lease starting in July/August for the market rate and they have plenty of time between now and then to make a decision

@Joshua Janus thank you for your note! I certainly will take that into consideration. I'm up in the air with what to do so thank you! Do you recommend renovating while the tenant us in the unit?

Hey everyone. Very excited to share that I'm just getting into contract for my first duplex and I'm looking to BRRR. I will not be living in this. One unit is vacant. 2nd unit goes for under market rent but has a stable tenant. Both units need cosmetic rehab only, good bones on the home.

1. What do I do with the existing tenant knowing that I need to rehab?

2. When using a private money lender to help with the initial costs/renovation, when can I refinance? After both units are rented?

3. Any tips/lessons anyone would recommend for a first time BRRR?

THANK YOUUUUU