All Forum Posts by: Zachary Balas

 
I'm not sure why you would need a local bank specifically. You can Google for your local area, and even shop around. If you take Chace's advice and find a good realtor first, they'll have a lender contact for you thst can get you pre-approved. It may be more comfortable to get the personal reference.

When you say you are having a difficult time, is that on the loan?  It sounds like you have a property.  What is hanging you up on the loan?

Doing the house hack puts you into a good spot, because you can use loans for a primary residence. Anything Conventional, FHA, VA is going to get you into a property from 1-4 units. If you are looking for low money down, check your states down payment assistance programs. Ohio has some that allow duplexes depending on the type of loan. When looking for down payment assistance, check to see if it is a grant (don't need to pay back) or a 2nd note (do need to pay back).

When looking at the type of loan, ball park your credit score and how much you want to put down, then the loan will show itself. Conventional above 80% LTV will have the PMI and an FHA will always have it. Figure out your back end debt to income ratio so you know what you can afford. You can use 70% of rent as income. Put all this together and you can have a productive conversation with a lender and feel more confident.

http://www.communitiesfirstohi...

This is a grant, not a second mortgage/loan.  If you are interested, I'm in their portal and I can go over more with you.

To prepare yourself for a conversation... estimate your back end debt to income ratio.  Have an idea of your credit score.  They'll eventually want to see pay stubs, bank statements, w2s, taxes, and an ID.

Good luck, I'm a single dad of 3 trying to do the same :)

I don't see any issue getting financing, it will just be putting in the cash.  To that point, I think I'd put in the min cash to get the deal and save the rest for the next one/expense fund.

How do you target those people specifically? I've been looking for duplexes and the first letters I sent out were to buildings on a street I wanted to live on that were not LLCs. Since then, I've been looking at a list from the MLS. This has more info and I've been trying to drill into the owners who only have one property, assuming that it's their primary and they aren't investors.

What strategy do you use for finding the leads?

That will depend on how much you are looking to put down and on what type of loan. If you have enough money to put down to cover the gap between the appraisal and the purchase price to meet the LTV parameters of your loan and you feel good about the deal, maybe its worth it to you to pay a premium for the cash flow. That's more of a personal decision. Talk to your lender and ask for a preapproval based on that property at $400k, they'll be able to tell you if you can get a loan.