All Forum Posts by: Andrew Holmes

@Diane G.

Not sure about the few places in the east cost or the west cost or the miami or Phoenix market but beside the markets that have seen huge jumps in pricing most of the country has seen a relatively slower gain. 

For a bust to happen again in most of the country there has to be a large enough bubble in place. I don't believe has happened. It will history repeats itself if not in one form it's in another. So price will correct I personally feel not yet. Another 4 to 5 years. There will a pandemonium to buy buy buy and the irrationality in the market will come back. There will be news all over the place how people are getting rich over night with real estate. The average American who has never invested will jump into to real estate hoping to catch the market by that time it will be too late and the market will see a tumble. I think there is still time. 

I personally feel what you are referring to it the natural up and down in a market but not a huge crash. Just my opinion.

I tend to personally avoid real estate news. Not on purpose but I don't go looking for it. If you keep listening to the talking heads you end up making emotional decisions. That being said you cannot have your head in the sand either. If you are investing everyday and buying 5 -10 homes a months. You have a very keen pulse of your local market. The talking heads only want a huge boom or a huge bust. So every month either the are jumping up and down that Oh My God it so good. Or Oh my we are ready for collapse. Otherwise no one would watch the news. 

This is the same thing they do with politics. Now a days with a 24 hrs news cycle they need something to report that is exciting. Boom or bust is exciting. Just my observations.  

@Michael Richardson

For b to b- suburbs. All in cost including rehab on single family $ 110,000 Max. To fit the way we invest they need to be worth $ 130 to 140K minimum once the rehab is done for rentals. 

Some of the south suburbs in chicago are great markets. Some you should avoid because price point it low but the taxes are high and the economic future for those suburbs is not positive. 

@Christian Gonzalez

@Harjeet Bhatti

Ms. Bhatti is right. You can call Scott Manint at Platinum home mortgage. 

 Or Jesse Byer at home bridge in Schaumburg explain the situation and they may be able to find a solution for you 

@Allende Hernandez

Yes but since the tax base goes up by increasing the sqfootage you might have a easier time than decreasing. I feel your pain. It sucks. Not your fault be you are stuck in the middle. 

@Travis Hannon

We have a bought a few properties from the IRS never had this issue. After the waiting period when you get your quit claim deed you should be able to get title. If you have Fidelity National title in your area talk to the main guy there. They should be able to help. 

@Alex Stariha

Yes you can do a residental refi and then quitclaim to a LLC.

Commercial refi's would end up being a 5 year balloons. 

There is another product out there where on a commercial loan they will give you 30 year fixed but the rates are at 7%. No need to go there yet in your case. You have other options.

@Christian Stanfield

that is going to be difficult for someone to give average percentage returns because they will vary on a multitude of factors. 

You can have standards based on your area. 

for us in chicago suburbs we have the following standards.

We only buy in B or B- areas

After rehab on rental we want a minimum equity position of 25% 

Single family rentals: Cash on cash return a mininum of 35 -40%

Cash Flow per month after all expenses: $ 350 - 400 per month. 

In the midwest the appreciation is about 3-6% but we consider appreciation as zero. We take a inflation factor of 3%. 

@Desmond Williams

You can use a skip tracing agency to find the owner. Works in a lot of cases. 

Yep. It's pretty similar to Auction.com

Pretty much the same ground rules. We have picked up a lot of deals there but like all auction websites it's not consistent. 

They do proxy bidding (Meaning Fake bids) like Auction.com

You will see a property go for a crazy number. Then it will be back on again in a week or two later. A lot of people get sucked into the trap of thinking there is a lot of demand and end up over paying for the properties on these sites. 

If you know your numbers you can end up with some great deals. You have to be very patient. We have won bids numerous time and the bids were not accepted by the lender after the auction then the property come back. You can bid again. 

@Christian Gonzalez

@Caleb Heimsoth

Christian as Caleb indicated do you show the income on your taxes. If not it's going to tough. There are some stated programs that have come back but will require a higher down payment. 

Are you looking for a personal residence or investment property loan.