All Forum Posts by: AJ Exner

Hey Nathan,

Just came across this feed, were you able to find an answer for this? I've got a lender that a number of my clients utilize that could help with this. 

Hopefully you have found someone by now, but if not, just let me know!

Hey JP,

Sounds like something that you could Quitclaim Deed over to your LLC? I would confirm with a title company and attorney, but might be a way to do it.

Even at a reduced leverage refinance, it is going to be hard to beat that rate, especially 2.5%!

Hey Alonso,

I've got some great clients doing work up there and a lot of good opportunities for sure. Happy to help where I can!

Are you looking to BRRR at first, or thinking more buy and hold?

If you own the property outright, you could approach it with delayed financing. It would use the existing value, or the purchase price, as equity to finance closing costs and then provide a rehab escrow to help fix it up and refinance once you are done.

I have a few clients up in NY that utilize a program that could do that, and their credit requirements aren't too stringent. A lot of your Hard Money Lenders, as long as they are licensed in NY, should be able to help. 

Not a bad idea, the trickiest part might be finding the lender/institution to do it. Shot you a DM and would be happy to talk through it.

Hey Elvis,

This post popped up and I hope you found an answer to your question. If not, there are a few options of doing something like this, but it depends on the type of property, and properties, that you are dealing with. 

I have a few lenders that I work with that do something like this, but they focus mainly in the 1-4 unit residential space. Is that the type of property that you are dealing with, or are they true commercial properties with no residential component at all?

Absolutely,

Honestly, if you can find a little niche in St Charles, that might be the place to start investing into. The initial investment would be trickier, but if you can carve a spot there that could really provide some unique opportunities.

I've heard that the city is pretty tough when it comes to real estate. Make sure you've got a good realtor once you are ready to dive in, I've got a few clients that have struggled up there to get deals under contract because of the competition. 

Definitely makes sense, and all very reasonable directions.

Let me know how I could help. As difficult as the initial financing could be, like you said, it might be even trickier on the back end with the long term financing, especially at the ARV in the 70-80k range. Make sure to ask them about their seasoning requirements as well.

Financing through an LLC is a great way to go. Seems like the best of both worlds to have someone who is supportive of you as an investor, but willing to step aside and help you achieve your goals.

What part of the city are you looking in? Are you in the City itself or looking more in the suburbs?

Victor, 

Congrats on taking the step, hoping that it is the first of many towards building generational wealth.

As for the financials, they certainly can work, but you will be hindered at first by the lack of 'on paper' experience as well as the property values. There are fewer lenders that will lend to that low of property values, and less for the proposed total loan amount. With those factors, it might be a little more difficult to fight financing, not impossible, but trickier.

Any work you can do to find good referrals in that area will be great. Work with your friend there, and maybe even see if he would be willing to jump onto the first deal or two with you (on an entity of some kind) to help get the deals done. It can also help as you find contractors and handy men in the area. 

As for the refis/DSCR potential, that type of price range (80-120ish) is great for a steady cash flow starting out. The idea of utilizing HUD tenants is a government-subsidized stabilized rent that is often times a little higher than what the 'market' rent in the area is. It has its downfalls, but some areas can provide a steady cash flow if you find a good property manager who can help screen tenants.

I hope that helps, it sounds like you have a solid strategy and I know that the BP community is always looking at ways to help and encourage. Would be happy to help in any way I can.