All Forum Posts by: Tony SanFilippo

done,  How to you notify us of the results?  There was another BP forum that was going to update us and I never was notified.  Thanks

@Ehab Shoukry
How many hours a week would you say it takes to manage the 10 short term rentals?

@Ehab Shoukry

That is awesome, do you manage it yourself?  What is the draw for your six plex location that makes it is so popular?  Is it in a resort vacation location?  Or?

@Ehab Shoukry

Will you share your numbers with us on your six plex that you Airbnb. Purchase cost, loan info, amount of rehab, what the refi looked like and your AirBnb strategy?  Profit from the rental, do you manage and how much time does that take etc.  Thanks.  I have only long term rentals, but it would be interesting to see how Airbnb can increase income!  The Denver market has very low cap rates for multi-fam, maybe this is a way to increase that cap rate.

@Christopher Dorsey

If you reach out to property managers and they found you a deal, ask your self, what is a win for them?  I would think they would love to manage the property for you.  If you want to manage them yourself, come up with a cash payment to them for a finders fee that works for you both.

Or......, you can ask if they need to pay the mortgage off.  Are they willing to keep the mortgage in their name and have you make the payments.  If so, you can do a contract sale, give them the difference in cash or have them carry you on a note (price of the house would have to be higher than the mortgage and Note in this case). 

Benefits:

You don't have to qualify for the mortgage, but will now benefit from the gain in value of the property and can even rent it out to cover the mortgage cost if the rental rate would be higher than the PITI. This strategy is called a wraparound mortgage, beware this could cause the bank to call the note due (but most of the time if payments are made on time, they don't - But be prepared to refi or pay it off with cash if they do). 

https://en.wikipedia.org/wiki/...

In case you want to read more - But different states have different laws on this, so consult a local professional!

If you like my information in this post, please click the up arrows above my vote count "Votes" to the Left of this post!  Thanks for Voting  :-)  I add this because I would like to know how many people benefit from my posts and know how the vote system works to help contributors!

It's feeling a lot like 2007, be careful not to put your self in a poor equity or cash flow position to avoid strategic foreclosure.  When there is a correction.  Also if in vesting in FL google "The Silver Tsunami In Housing"

Cheers

Due on sale is real, the lender may not do it right away while interest rates are low.  They may wait until they can help you into a new loan to fix the issue at a higher interest rate!  You can also get permission from a lender to move the property into a different entity without triggering a due on sale clause (get it in writing), so you have options.  Which is best for you would have much to do with the state in which the property is located.  Seek local advice from knowledgeable professionals Best of luck in your multi-family investing.

Well @Patrick Geers

Did you buy a place to Air Bnb?  If so how is it going?

1st. If you can get 96% of a realtor price opinion, seems like a no brainer, unless there is something we done know! If you use a title company and they can help with disclosures and you can pay a small fee for a real estate professional/ and or attorney to review the contract, in Colorado and a couple other states I have purchased in you would be fine.

2nd. Something is off about this high of an offer, if it is a flip deal.

If a seasoned investor is offering that much, the ARV must be much higher than the current value or they will lose money, not have a healthy profit! Investor offers are usually 50-70% of value, because they will have to rehab the property.(Side note – could be more for houses that don't need much work, but I have never spent less than 25K on a rehab in Denver.) When an investor sells it, over the rehab costs, he will have to pay realtor commissions if he wants it on the MLS, he will have holding costs and more than likely finance costs. Oh and by the way if the investor does this for a living there should be 10-30% profit in the deal depending on how much work is needed. In Hot markets where supply of housing is low and investors compete with buyers who just want a place to live and are willing to buy fixer uppers, investors will always be out bid on MLS deals. Since owner occupants don't need to figure in profit and usually under estimate the cost of repairs or do them with their own labor costs, they have the ability to offer more than an investor that flips a property.Sounds like a unicorn!