All Forum Posts by: Alan DeRossett

Quote from @Bruce Woodruff:

Quote from @Alan DeRossett:

We are upgrading properties and adding EV charging in all garages raising the rents and including the car charging zero Tesla owners around here have Pitbulls increasing the rent will discourage Pitbull owners from applying for a lease.

 Or you could just not allow pets.......?

That's already the case we do not allow pets, but the law states we accept people with support animals. The New EV owners will pay $200 per month more for a Garage with Charging plus seldom want a Dog riding on new Car seats.

We are upgrading properties and adding EV charging in all garages raising the rents and including the car charging zero Tesla owners around here have Pitbulls increasing the rent will discourage Pitbull owners from applying for a lease.

Quote from @Michael Ream:

Quote from @Alan DeRossett:

I also tell all our Tenants I report rents Paid on time as it can help them improve FICO scores by 50 points if they make 12 on-time rent payments to me electronically with their bank. All want to improve credit scores to buy a home or even a Car so Rents are all on time. i also show renters this as an incentive to pay rent on time. https://www.businessinsider.co...

 @Alan DeRossett How/what method do you use to report rents paid on time? This would work well for my tenants!

https://www.businessinsider.co...  https://www.fanniemae.com/news...

Quote from @Michael Ream:  Hi  i  tell them sbout ho Fannie mae loans can get them a credit boost if they pay us online electronically via their bank ontime then show them this. all want to raise credit scores so pay us first. https://www.businessinsider.co...

Quote from @Alan DeRossett:

I also tell all our Tenants I report rents Paid on time as it can help them improve FICO scores by 50 points if they make 12 on-time rent payments to me electronically with their bank. All want to improve credit scores to buy a home or even a Car so Rents are all on time. i also show renters this as an incentive to pay rent on time. https://www.businessinsider.co...

 @Alan DeRossett How/what method do you use to report rents paid on time? This would work well for my tenants!

Quote from @Russell Brazil:

Mortgage Lenders do not typically use version 8. They typically use versions 2, 4 and 5. Credit cards are the predominant users of version 8, 9, and bankcard 8 and 9. Version 10 has just been released, but I dont know if any lenders are using 10 yet. To sort of illustrate the disparity the versions can have too, my Transuion Auto Version 10 comes in at 853 (Auto Version 10 goes to 900), 850 Experian Version 10 (which goes to 850)  all the way down to a low of 737 on my Experian Version 3.  That is a huge range based on which Fico version a lender is using. 

Russell Brazil how do we know what version a bank might use? seriously the Employees Banks hire are younger and inexperienced heard one bank Loan officer complain she could not buy a home as she had been paying off Student debt for the last 10 years. So do not think my bank's Employees even know the different versions. they just type our info into a computer provided to them. Have just used Private money as it's quicker and smarter to work with others with experience..

Quote from @Luka Milicevic:

Quote from @Bruce Woodruff:

My worst credit score came after I paid off ALL debt. They hate it when you do that....dropped 125 points in 30 days.....

What a scam it is, but if you know how to play the game and don't care, you can do well....

 EXACT same thing happened to me. When I paid off massive amounts of debt my score plummeted as if I missed a year of payments in a day!

Exact same thing happened to me when we paid off our mortgage obligations zero mortgages, Multiple properties owned with many different sources of income Banks penalized me for not having loans and paying off Car. Currently, I carry zero debt but can still average 30% ROI on properties we renovate. SO no longer willing to share deals with banks.

After 40 years as a third-generation Real estate investor. I gave up understanding arcane Bank FICO rules. I've even had my own Money Service business registration with the US treasury. So only operate on my own money now. What @Russell Brazil has explained makes a lot of sense now. I prefer Debit Scores or how quickly people pay off debt not how much they owe as FICO uses. I also tell all our Tenants I report rents Paid on time as it can help them improve FICO scores by 50 points if they make 12 on-time rent payments to me electronically with their bank. All want to improve credit scores to buy a home or even a Car so Rents are all on time. i also show renters this as an incentive to pay rent on time. https://www.businessinsider.co...

Right now in our area, we cannot follow the 70% rule as inventory is sparse. Also with leaders in turmoil, We can not expect to refinance on a conventional BRRR. So the only strategy we have is to buy a property at near of full-price and then bring the building up to modern Leed 140 Platimum Standards to make the property worth 30% more. New Green mortgages allow us to spend more to bring the property up to standards that require leed Certification for financing. So we add solar Roofs and in-garage EV charging. while rebuilding entire units to become Healthy homes. that people will pay higher rents to live in. on average I can now get $300 per month more rent after a building is converted. and Refinance with a Green Mortgage while creating a 30% appreciation. We include all the incentives like $30k from utilities to go Platinum Some older buildings will no longer work so complete teardowns are cheaper with new larger Healthy Green building materials. I always include a minimum of 5 years carrying cost so appreciation continues in the next 5 years the gap will widen with Renters requiring Garage EV charging and Smart home controls to Save on Energy. Removing Gas from all Buildings and going 100% electric is also needed in 100s of buildings now. I'm finding it's much harder to rent to high-paid workers if units still have gas or gas appliances. and impossible to get  Green Mortgage to refinance if we have old legacy systems. https://www.burbankwaterandpow...

Also use Green finance instead of hard money. it takes longer to get approved but you will make more on the rehab. https://nchh.org/resources/fin...

City Zenith just did a webinar in May. also this article talks about some of the things people will pay more for homes that dont make them sick. https://www.builderonline.com/...