All Forum Posts by: Alan Russell

I don't know a licensed contractor however, I have a Nieces and her fiance lives in Backer, Fl and he works in construction.  

So just to be clear DSL is still a high speed internet service it just runs over regular phone lines.  While it probably caps around 10 mbs (depending on your area) the biggest advantage over cable internet is you dont share the bandwidth with everyone else in neighborhood.  That means that even though your cable company may advertise 30, 50 or 100 mbs, you might not get any where near those speeds it is dependant on how many other households share the same circuit and how much they use the circuit.

So the only two ways I know of to change your DTI is to either change the payment amounts every month or increase your montly income.

I have been able to work with a bank that will let me do a commercial loan (25% down) and then they allow me to use about 65-70% of the rental income when qualifying.  They are less picky if the property is already rented than if it is empty though.

You have to do your number very carefully and they want to see some money set aside for repairs etc....

Wells Fargo will do Commercial Loans for LLC but it needs to be setup that way from the start. They dont like you changing a personal loan (mortgage) to an LLC because of course there is more risk for them.

Why did they file Chapter 13?

When I setup my LLC one of the first things I asked my bank about was if they would count rental income toward my DTI. I was told by my bank that they would count 70% once I had two years of rental history under my belt. From what I have seen on this site lots of lenders do the same thing although the % and rental history length may change somewhat depending on the lender.

 Speaking as someone in the Tech industry for the last 20 years....any time you can get a .com address that is always better.  they may remember the rest of the address but not the extension....

for instances;

houses4sale.com

houses4sale.house

almost always they would remember the houses4sale part but if they dont remember the extension and put in houses4sale.com....they just went to someone elses site

 I think though if she did a re-org BK instead of a complete discharge those payments could still show as late and it would not purge from the credit report for 11 years....

I am NOT a lawyer and would be VERY careful about renting to a lawyer that had bad credit already.....bottom line is they are probably going to know the eviction process law much better than I do and they wont have to pay someone to fight the eviction.

at least thats my 2 cents

Did they charge any type of upfront fees for setting up the loan?

 That depends I think, I a lot of smaller towns 30K houses are relatively available and not in a bad area.  Mostly they are old and in bad need of update.  Problem is the updates make the cost exceed the market value of the home.  This may not be a huge issue if your doing buy and hold and there is a steady rental market in the area.