All Forum Posts by: Andrew K.

I agree with @Jeffrey H., open and honest communication is key to setting the seller's expectations.  I'm sure you've been honest with her to date and haven't hidden anything from her. 

What is her motivation to sell? Could this reason be why she's balking at the extension? E.g. Maybe she needs the money to pay for another expense/life event---that's supposed to happen within that extra 30 day extension. 

Understanding the true nature of her complaint may lead you down a path to find a workable solution. 

Good luck and keep us posted!

-Andrew

@Derrick W. thanks for the recommendation on Fly fishing international, I'll check them out. It's a dream of mine to take destination fishing trips.  I'm getting my kids involved in fishing, mainly to spend time outdoors with them (they're 4 & 2).  I get as much enjoyment out of watching them catch fish then I do catching them myself.

You're also right about making time....life passes you by so quick and before you know it you gave all your good years to your employer!  Mentally I'm there brother, I just need to set that mark on the wall!

I would never have though of OK as a fly fishing destination--I need to look into it! 

I've got 5 & 8 wt rods and am looking at saltwater setups now.  I've got a beach vacation coming up and I'd love to spend sometime saltwater fishing!

Keep us posted on the fly fishing trip!

-Andrew

I'm a huge fisherman at heart, with limited time to get a line wet. Recently got back into fly fishing over the last year. I'm a huge fan of catching anything on a fly rod--way too much fun! I'd love to travel more to fish. I need to get out to the Asheville, NC area to try my hand at trout fishing there. Also on the list of fishing in Key West, FL. An old buddy of mine recently moved there and is living the life, spear fishing anytime he wants. So jealous! Search for the website "Amberjack". They have a great fishing related newsletter and tons of destination fishing related videos. I look forward to their emails everyday! Tight lines! -Andrew

Active duty military.

@Jason Chambers and @Sharika L. thanks for the replies. I'm certainly very intrigued by this strategy and you've provided a lot of food for thought.  I too am not a fan of having cash sitting around not working for me, but I'm even less of a fan of paying 2-3X the price of a house! 

I'll check out the website you recommended.  If I start down this path I'll keep you posted on my results!

A couple more questions for you both: Do you have any bank recommendations for getting a HELOC? So far I've found a number of banks that explicitly say they will NOT do a HELOC on a non-owner occupied house.

Thanks again!

-Andrew

I've heard about this strategy from other sources as well. 

I'd love to see how this works using a calculator that shows you the amortization. Essentially compare the original loan ammoritization to the HELOC's. I think that would make things clear for people to understand and clearly see the difference between compound and simple interest.

I'm interested in more details related to the mechanics of making this happen. How did you set up your bank accounts to pay down the HELOC? Did you set up an allotment? How do you pay your recurring bills/living expenses from the HELOC? (I'm guessing you don't have a debit card or CC tied directly to your HELOC...).

Also, once you paid off the mortgage balance with your HELOC--did the bank send you the deed? Or does the deed now belong to the HELOC originator?

Sounds like you guys are rocking it! Accessing the equity in one of my rentals would give me the boost I need to add to my portfolio.  Thanks in advance.

-Andrew

Matt Bacenet I like your perspective and drive to get the next property. I'm guessing that your job is somewhat real estate related, am I right? (Since you can't be an agent or wholesale). If so, do you the flexibility to work in RE in some other capacity? I'm suggesting that you consider only positions that are the "highest and best" use of your time. Trading time for money just plain sucks. You can offer to help out other investors with their businesses. Go to a REIA/BP meetup and ask find someone that could use an extra set of hands. (Basic book keeping, driving for dollars, lead follow up, contractor scheduling, etc) Maybe you receive some sort of financial benefit, but even if they don't pay you---you'll be getting paid in "knowledge/experience". Far more valuable than a few dollars/hour! Might not be the answer you're looking for, but I encourage you to try. Good luck! -Andrew

Brandon Singer consider not having the current owner pursue renew the existing leases--keep everyone on month to month until after you close. The current owner's tenant screening criteria and yours may be vastly different. Why not make the determination of tenant quality after your close? In my opinion, keeping the tenants on month to month provides you the most flexibility. Ask the tenants you like to renew, ask the others to leave. Thoughts? Good luck with your due diligence. I hope the numbers work out for you, seems like an incredible first purchase! -Andrew

Pat Bruton great idea! I have two friends that are both renting out rooms in their houses to other service members here at Ft Bragg, NC. The TLE rate is an excellent stream of additional income for them. I'm interested in your model and network. Keep me posted! -Andrew

Patrick Madigan I just saw that listing today as well. I live in Fayetteville and am interested in helping in anyway that I can. This property seems ripe for a value play, but I agree with what's already been mentioned--hard to tell if the current price makes it a good deal. I'm interested in touring the place with you. I can't offer the same assistance as Alexander Felice, but I'm more than willing to be your local extra set of eyes and ears. Abraham Saldana could you provide more details on the apartment complex you mentioned? Thanks! -Andrew