All Forum Posts by: Andy Perez

thank you for the input... To clarify some of the unknowns I owe about 415,000 and the property is worth just about 689,000. I live in the property as an owner occupant (house hacking). 

You bring up an new idea which is to take an additional loan on the home. Now would this then be a second mortgage in second position? Also what is more adventagouse, getting a HELOC or getting a new loan?

Ultimatly, I am looking to purchase another multi family and planing to use the money for the down payment in addition to any repairs that I may need to do. 

Hello, Biggerpockets...

I purchased a 4 family building in New York (Bronx) with some equity in early 2016. Now $60K later, I feel the property now has over 180K of equity in it. I've been looking into getting a Home equity line of credit sometimes referred to as a HELOC, but not too sure what the best options I have available to me or even which bank may be more beneficial. I understand that this is money that the bank would give me for repairs/upgrades to the home, but can be used for any other reasons such as to purchase more properties. Has anyone used a HELOC to purchase real estate and if so, what tips can you offer to get started?

I am an agent in the New York area and I agree with Joshua (previous post). The can sign an exclusive with an agent who will work hard to find you something, however if you find something on your own using your own method such as driving for dollars, yellow letters, and others, you would not be sued for money's due. In addition, if you work closely with your agent and you find something that he has not seen, then your agent can help put you in a better position to help you obtain that property. To address your other concerns about an agent working hared because they will double end the deal is usually not the case because most real estate offices have multiple agents and 95% of the time sign on the property will have the office phone number. If someone other than the listing agent answers the phone they now become the buyers agent and the commissions will still be decoded among both agents.

Hello George, I have several buyers who have the right mind set and have a lot of cash, but having problems getting financing. An example is a buyer who has a multi family in he line of sight who has the home, but cannot get financing due to cash income. After using the bigger pockets calculators and analyzing the property from experience, it looks like this home will cash flow very well allowing the buyer to live in the home while giving him an additional $400 each month; This is after all expenses. I know that If a lender took the time to analyze this deal and help finance it, I know for a fact that it will be worth it to them. By the way I failed to mention their excellent credit history. This buyer has more then 100k liquid cash, but the property is worth 379k

Originally posted by @Account Closed:

This might sound like a stupid question but have you inspected the property?  You mentioned that none of the tenants know the property is being sold.  You also mentioned all of the deposits have been used up, and none of the tenants have been late.

If you have not inspected EVERY unit I would expect more damage than the deposits would cover.

 I had a chance to inspect the units during the apraisiel. They seem to be in fair shape. According the my contract with the attorney, they have not security deposits. 

it Looks like I will be asking for the estoppel. I am guessing is something I can ask the attorney for. 

By the way the deal is a good one which is why I would be willing to take on this challenge. I was able to meet 3 of The tenants and they seem to be very nice but because I have Hurd horrible stories about inherited tenenets I am probably over thing this. I know for a fact one of the tenants is a problem because they gave us a really hard time during the appraisal.

I figured that once I have the property I can ask for the apartment for me to live in. If they don't leave I guess a judge would be willing to side with me because I would have just bought a house that I want to live in. 

Thank you guys for the advise, but let me ask... Is it easier for a landlord who owns the building to evict tenants or a new owner. Is it just has hard for both. I would assume it's easier for me as a new owner to get rid of them if I don't collect rent from them from the start.

Logan I appreciate your comments and advise. The property is not rent controlled and the contract I sided with my attorney states that none of the tenants have security deposits so I will not be receiving any securities. When I asked my attorney about this, he said that because the contract states no security deposits I should not worry. However, I still feel that these may be problem tenants and I rather screen my own. In addition, according to the owner they are all on a month to month. None have leases.

I am about to close on a 4 plex (multi family) is that has paying tenants, however I feel that there is a lot of secrecy and things I am not being told about the tenants in the home. According to the listing agent and the owner, the tenets are up to date and paying each month. However, none of the occupants know that the house is being sold. In addition, I asked about security deposits and the owner tells me that most of the tenants used it up when they fell behind on rent, but told me that they have always paid on time. Didn't make sense. This is a great deal, so I still want to buy it regardless of the red flags with the tenants. So, the question is... How hard will it be to get rid of the occupants once I get possession of the property? I live in New York, this will be my first home using FHA 3.5% down and the property is a short sale. Any advice will be helpful.

the money is not the problem. We have the money, but it's currently in our home country which we are getting soon. The problem is actually getting financing. My dad only reports about 20k per year in his income taxes and I've worked my w2 job for only 1.5 years. As its a commission based job the bank is asking for at least 2 years continuous employment to consider me mortgage worthy. 

I was thinking about taking the route of a hard money lender for several months until we have get the cash in a couple of months. I am not sure about how to get hard money or even if there is any other option that is not so expensive. 

Finally, the best part is that the property needs very little work, maybe 5000 at most of that. In addition the home has 3 large units but the C/O states it's a 2 family located in the Bronx.