All Forum Posts by: Vincent Carosso

I may have an opportunity to purchase a house through owner financing. What should I be weary of, and any recommendations on structuring the contract? Or any lawyers in the area that are familiar with this scenario. It’s LA so I can’t afford to pay cash, i do have the 20% and could possibly go through a bank but that would take too long. Plus this would be the second home I would have purchased this year and I don’t want to push my debt to income ratio with them. I have 2 homes in PA, and was going to rent in LA until I found the right deal, but this all came up so fast and I don’t want to let it slip through my fingers.

@Adeva Edobor Pennsylvania

@Caroline Hardin thanks. I do have a good relationship with my bank; I am purchasing the duplex a few hours away, and wasn’t sure if there was a Benefit to staying with them for convenience or finding a local lender. I will do some research and make the comparisons.

I have a Heloc on primary residence for rehab, and to purchase an investment duplex. Is there a benefit to getting the mortgage with the bank the Heloc is through, or through a local lender. Is one better than the other?

@Lynnette E. She never owned, just lived and took care of the house. Her portion is 220k

@Lynnette E. Thanks for the information. My mom died 6 years ago, but do to circumstances of the unexpected death, it took some time to finally get all the paperwork finished. My sister had lived there prior to her death and since, if that helps fill in the blanks.

I inherited a house with my sister, what’s the best way for me to buy out her portion with minimal taxes taken from her. She has been living there for the last 8 years.

@Jason DiClemente thanks for the thoughts. The reason I am renovating, is that everything needs updating. And I wouldn’t be able to rent as easily or for as much unless I do. Plus, it’s good timing for me personally with my travels for work keeping me away as is. I am new to all of this and continue to read and talk to anyone and everyone that’s willing. In a few years when I have more passive income from future rentals and photography business, I can back and it’s ready to live in. Hopefully.

I own a house with good bones and no mortgage. It's appraised at 500k, I have plans drawn up for a renovation and update between 150-200k. This current house is going to be my long term house, but at the moment I travel so much for work that my home base doesn't matter. I will spend about 6 months this year in Pittsburgh and a few months in San Francisco. My thought is to take out 75% Heloc to have funds available. Renovate my house and set up as full time rental the next couple of years to pay down the loan while I'm not there anyway. I live in a desirable area close to the city and multiple universities. With that money, try and find a SFH in Pittsburgh between 100-150 to live in while I'm working, once my contract is up, rent out that house and hopefully find a multi family to purchase and live in.

The numbers are as follows,

Once my house is renovated, it’s estimated appraisal, from multiple sources, depending on market etc..

Would be between 700-800k. I would rent that house at market value which is at the moment between 3500-4500 for comparable.

Then purchase a house with a passive brrrr for about 80-120. Live in it for 6 months and use my contracts living stipend to pay down that house and fix it up while accumulating equity. And once that ends, buy a duplex and live out of that.

I’m sure I’m missing info, so if you have questions and comments, please ask. And advice is appreciated, this is all new to me but I am about to jump in the pool. No toe dipping here.

Is a Heloc the right loan type for me and this scenario? I want to make my current house a tent pole for the future investments. I live outside of Philadelphia, and have a good team of people here, and have an even better team of people in Pittsburgh, which is why I am concentrating on these areas.

@Brent Coombs thanks for the advice! The reason I was pushing the renovate and invest is that my company gives me a stipend for living and I will have to be in Pittsburgh for 7 months regardless, may as well make it work for me. I have so much to learn.