Really trying to get my first deal. Talk to me guys
Below is the email I've been sending to Mortgage Brokers. To me this looks like a clear deal. Any thoughts? Ideas on how I can get this deal done in my condition?
Hey Liz,
I am Donnell Durden, and I'm interested in investing in my first home. I was recommended to you by a Banker at TD Bank. He also mentioned that I may be a good fit for the 203K Loan either now or in the near future. I have my eye on a 4 family property in New Haven listed at about 95K. I think we could get it for cheaper because from the pictures it needs work. But at least there are pictures so thats a good sign. So I'm assuming with repairs I'd likely need a loan of about 120K
http://www.realtor.com/realestateandhomes-detail/8...
*If you steal my deal I want a wholesalers fee lol*
So here are my stats
Age: 30
DOB: 03/10/1986
Single
Student: Fulltime
Monthly Income: $1600
Monthly Expenses: $950
DTI: 59%
Student Loan Debt: 35K
Student Loans: deferred
Rent: $0
Car Note: $0
Loan amount: 120K (give or take)
Cash on hand to put down: 7K
Credit Scores: TU 666 EQ 625 EX 656
Income: around 20k
A couple of small employment gaps in the past 2-3 years
I can possibly come up with more money for the down payment if absolutely needed. My credit score should jump a bit soon I recently (like yesterday) paid off a large portion of my credit card debt. I will be under 30% utilized really soon. Also I recently interviewed for a full time position at my current place of employment where I'd be making at least 35K. *fingers crossed*Also my employment gaps are due to my entrepreneurial endeavors.
Here are my take on the house's potential. I believe this area will bloom in the years to come. Especially being so close to Yale. I Could live in one of the 2 bd units and rent out the other 3 unit. This could yield over $400 in cash flow after expenses. Heres kind of how I see it and I like to consider the worst case scenario.
Two 1 Br $700 X 2 ($1400)
One 2 br $850
Monthly Projections
Rental Income: $2250
Expenses $1755
Mortgage: $800
Tax: $200
Insurance: $100
Repairs $100
Property Management: $300
Cap Ex: $100
Vacancy: $155
Cash Flow: $495
To me this seems like a great deal. I look forward to being a property owner and land lord. So what does a guy in my situation need to do to get this house? and if it isn't possible to do in my current financial state please inform me on what specific changes I need to make (boost score, bigger down payment) and I will try my hardest to reach those heights. I realize these houses come and go fast so If this deal passes your information will still be greatly appreciated and utilized for I am on a mission to buy a property so I will continue to search for deals. Thank you for your time and consideration. Feel free to email or contact me via phone. What ever I need to do to make this work.
Best,
Donnell Durden
Help me guys! I texted the agent today that was on the realtor.com page she barely seems interested in selling it. It's in a pretty rough neighborhood but I don't mind it. I've contacted banks and some of them have stopped offering 203k loans. TD recommended me to McCue and McCue recommended me to Merrimack... Thoughts?