All Forum Posts by: Alexander Felice

you're asking for the delayed finance exception. 

you have to wait 6 months to get a refi based on full LTV without the purchase price cap. You can't get both, the quick refi AND the full amount after you have already purchased.

there are ways to get the quick refi and the full amount, but you have to pay for the rehab on the settlement statement at the time of closing. Now that you have purchased, waiting the 6 months is the only option if you want full amount.

What Justin is saying is sound, there is suddenly a lot of volatility in the situation right now. People don't know what's going to happen, and how it'll effect things, and how long it'll last. So any projections one would make about the future become less sound. 

What's sure is that right now is as good a time as any to keep learning and moving forward towards deals. I'm not sure I would be buying anything right now if I were a beginner, for the simple fact that there is no need to buy  right now when one could wait ~90 days before making any decisions, and 90 days in real estate is nothing. 

TLDR: start moving on things now, don't make any decisions until things are less volatile. RE is a long game, rushing it only gets people in trouble. 

Shelby is ok, but there are a lot of other investors and meetups in Fayetteville in case you don't want to joint a cult. 

Antifragile 

Thinking, Fast and Slow

Principles 

Originally posted by @Terry Lao:

Hindsight is 20/20. When this original post was posted four months ago, the SFR median home price in Las Vegas was $307k. The Feb'20 SFR median is $316k, gain of 9k. The significance of reaching $316k is this was the first time has surpassed the pre-recession high of $315k way back in Jun'06. It took 13.5 years to reach it's all time high, while many cities passed their all time high many years ago.

Inventory is still very low, and interest rates for 30 year fix around 3%. Now, the X factor could be Coronavirus. 

As to my forecast below, SFR median to reach $331k by Dec'20 with modest increase of $1.5k per month. With overall, annual gain of 5.8%, which puts growth among top 3 cities nationally.

Terry

https://vegasinc.lasvegassun.com/business/real-estate/2020/mar/06/median-price-for-las-vegas-homes-sets-all-time-rec/

 It's DEFINITELY slowing though right?  :) :) :) 

I sold my house in Vegas, not sure there will be a dip but in terms of gains relative to the ~5 years prior its definitely at a peak and for me equity capture was the right move. 

 I live and invest in Fayetteville. 

great place to learn, and certainly money to be made, but it's a highly competitive like many others at this point in the market cycle. 

Welcome, lots of investors are here. 

There are a bunch of meetups around town as well 

What type of investing are you interested in? 

cash goes in liquid assets (cash), the debt under long term liabilities, and the house itself lists as an asset under buildings

Is this property in waters edge by chance?

Numbers seem ok, I would close a deal like that assuming I liked the location and what it was....but nothing to fall in love over.

My advice is to keep moving towards the next deal, if you find something better you can take it, if not you can hold on for this one. Always take the position of optionality in your investing strategy when possible.

remember that every real estate plan works great on paper, real life doesn't play as nice. this program SOUNDS great but there are a lot of things that aren't going to pan out to these optimistic expectations. It becomes the death of a thousand cuts sort of thing. 

First, getting HELOC's on rental properties isn't easy. Not impossible, but far from common.

Second, HELOC have a much higher debt service than an amortized loan, so your DTI is going to get eaten up quite quickly making subsequent loans harder to get.

This also all assumes you can get great deals reliably, which is becoming more difficult by the day with the increase in real estate buyers.