Cory J Thornton
Is the need for affordable housing creating new markets?
18 June 2024 | 83 replies
I'll just use an anecdote to illustrate my point.
Hitanshu Shah
Under Contract - Finance options on a 4-plex
8 June 2024 | 24 replies
I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).
Michelle Chevalier
Confused about conventional versus DSCR
9 June 2024 | 18 replies
I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23DSCR lenders generally let you vest either individually or as an LLC.
Chinmay Patel
Cash out Refi on a BRRR
7 June 2024 | 8 replies
I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).
Antonio Waller
What Tools Do You Use For Market Research
7 June 2024 | 5 replies
If you follow dogma on websites about the “best” property to buy, you are unlikely to get reliable tenants because each location is different.Once you know the property profile for the properties you want to buy for a reliable income, it is time to select the properties.Property SelectionIn addition to conforming to the property profile you created based on income reliability, there are additional considerations, as illustrated below.The rent is the critical factor.
Michael Plaks
Caution story: Cost segregation done WRONG
4 June 2024 | 10 replies
Cost Seg illustrations - even when (1) they're accurate and (2) formatted in a way that fosters an accurate understanding of the potential benefits - only illustrate deductions.
Christian Allred
Flipping landlocked land lot by building access road
1 June 2024 | 2 replies
Realize these are all made up numbers, but they illustrate my point.
Tom Jensen
Whole Life Insurance as a Foundation for Real Estate Investing
4 June 2024 | 221 replies
Every illustration I’ve ever made shows how much of the payment you’ve made goes to cash value (they do also add in your accumulated guaranteed interest).
Irving Rivera
Dog situation between tenants
1 June 2024 | 12 replies
Here is an illustrated chart about dog bite intensities from a Veterinarian.
Gordon Vaughn
The Best Kept Secret For Bidding On HUD Homes
5 June 2024 | 274 replies
Everyone is going to be able to goggle the address as see what HUD had the property listed for and with a little investigation can find out approximately how much you bid for the property(Prior to closing) For example, a property is on the market for $100,000 and you get it under contract for $80000 or so you could illustrate value by wholesaling it for $90000 and an investor might perceive that as a value