All Forum Posts by: Eric Black

Hi Frederick,

Welcome to BP. I agree with Jeremiah, you're asking a very vague, open-ended question. I would recommend starting with the following:

http://www.biggerpockets.com/real-estate-investing

Cheers!

Eric

Hi Joshua,

I'm not an attorney but I don't see why not. The question is, why would they, or why would you have them represent you? And you may have a hard time finding one willing to. Are you talking on the purchase side, the sale side, or both? If you're going to use them on the sale side you just need to be sure to factor in their commission to your expenses. 

Cheers!

Eric

Hi Angie,

Yes, the market there is very tight. People are paying more than investors are willing to pay, and many investors are paying over what smart investors are willing to pay. We flipped a house in June and have been looking for our next property. We've been working with 3 realtors and wholesalers and still haven't had any luck. That being said, and no offense to the one's we've talked to, but we haven't found any wholesalers who are actually doing deals out there. 

If you find one let me know!

Cheers!

Eric

Hi Mike,

Well, the details are going to determine your exact answer but do you already have your existing property on the market? Is it already under contract? If so then you should be able to provide a copy of the contract as POF. If not then as the seller of the new property, yeah, I might be hesitant because who knows how long it's going to take to sell your property.

I doubt the QI is going to provide you a letter of POF because they probably don't have an exact amount of what you'll have after all fees are taken out.

My advice would be to just talk to the seller/seller's agent and explain the situation. Again, if you're trying to sell your house after you get into contract that may be a hard sell unless things are selling really fast in your market. 

Cheers!

Eric

Hi Eldar,

I would recommend checking your local library to see if they have a hard copy of the book and if so if it has the CD in the cover. I've found sometimes they do.

Cheers!

Eric

Hi Abdulrahman,

No, you do not need any kind of license to flip houses. Some benefits of getting your license are that you can:

1) Get access to the MLS and new properties hitting the market before investors without their license

2) When you sell the property you save on the sales commission you would normally pay your listing agent

You don't need a license though. We are currently flipping properties in Florida but we live in California and do not have a RE license in either.

Cheers!

Eric

Hi Fernando,

I'm not sure I understand your question entirely but I'll try to answer.

You cannot consolidate and pay off debt as part of a home purchase. However if you have owned your home for some time, typically 6 months to a year depending on the lender, and you have some equity you can do a cash-out refinance and pay off the credit cards using your equity.

If you don't currently own your home and are trying to consolidate your credit card debt with your home loan this is not, and has never been, an option. 

Cheers!

Eric 

Hi Cody,

How long are you planning on living in the home, just until the renovations are done or are you going to live in it for some time after that?

As far as I am aware, yes, you have to hire a licensed contractor to do the rehab work. To what extent that applies I don't know. For instance, I imagine you could paint the property yourself and not get in trouble but anything major, for instance that requires a permit, would need to be done by a GC.

I would recommend calling some local lenders in your area, find one or two who are familiar with 203k loans and ask them.

Cheers!

Eric

I'm not a banker, lawyer or CPA but would imagine you're going to be hard pressed to find a bank willing to do that. My thinking is, if you close/dissolve the LLC then the bank doesn't have anyone or an entity to go after if there is any debt owed to the bank.

Again, this is just my hunch but your best bet might be small, local banks. 

Cheers!

Eric

So you want to borrow money and pay interest on that money for future repairs? I can't think of a reason why you would do this and can't imagine why you would buy a property that does not cash flow so you can save some of that income for future repairs. Do you not keep a certain amount of reserves on-hand at all times for unexpected repairs? 

Sorry, I guess I'm just a little confused as to why you would have to, or want to, borrow money for future repairs. If you're buying properties with negative cash flow or spending all of the cash flow (even if it's on other properties) then you are setting yourself up to get burned.

Cheers.

Eric