All Forum Posts by: Alden Cleveland

Josh - Has this been fully funded  to date?

I was just told by a mortgage professional that, 'If it’s a single family home, you can take cash out of the property up to 75% of the original purchase price you paid in cash'.

The questions was, "if I purchase a rental property with my cash, instead of Hard Money, and I decide to re-fi the house, how much cash can I get back out?"

Everything I read about the BRRRR strategy says, 'you can get your money back, and maybe even more, based upon the value of the rehab'd property'...this seems to fly in the face of the strategies efficacy.

Any guidance appreciated - 

Make a plan for 2019, follow the steps, and may your dreams come true.

@Aaron Krawitz - could you post the names of any local lenders you may meet with regarding your financing options, and any details about your interactions?  This would be a list to begin compiling.  Thanks -

Thawda - if you run into another situation where you have small plumbing jobs on your rehabs, let me know.  I’ll take a look to see if it’s something we can take care of.  Alden

We have an existing LLC in Texas for another business (with a DBA). Can any RE Attorneys out there let me know if we can use this LLC and repurpose it for real estate investments, or place another DBA beneath it? We pould prefer saving the $1000 that would be required to start another LLC if it's not necessary. Any guidance sure appreciated.

We have an existing LLC in Texas for another business (with a DBA). Can any RE Attorneys out there let me know if we can use this LLC and ‘repurpose' it for real estate investments, or place another DBA beneath it? We pould prefer saving the $1000 that would be required to start another LLC if it's not necessary. Any guidance sure appreciated.

@Itteahad Zihan - I've been looking at this as well (just to learn). Went to inspect one yesterday in fact, as it was Unoccupied and the Realtor could grant me access...many you can not get into so it's buyer beware. There may also be a "Buyers Premium" associated with the auction - generally another 5% that you have to pay based upon your Winning Bid...so again, if your margin is thin, be aware. These properties ‘may' have liens, judgements, HOA dues, etc. attached so make sure you have a Title Company perform your search for clean title. This auction was a SFR with an ARV of approx $165,000 and the ‘home run' number was probably around $115,000. In the last 30 minutes, it was bid all the way to $155,000 (and add another 5% for Buyers Premium) so this property was not likely an investor, but someone who wanted a small discount on a home for them. I will likely find a Wholesaler in my market who is in the business of ‘finding deals'; it's worth it to me to give them a % as this took all day & I have a full time job! Just some thoughts - hope the input helps.

@Spencer I. - any specific recommendations for buyer’s lists that you might offer?  Any thoughts appreciated.

@William E. - don’t know if you take on partners for these projects, or if you’re a solo act, but if you get any momentum on this I’d like to talk with you.  I have a some capital to invest and a background in commercial/residential plumbing & irrigation (that might come in handy to keep rehab costs down).