All Forum Posts by: Aaron Howell

Welcome @Lori Meyerson!  Bigger Pockets is the place to be if you're interested in Real Estate !  Subscribe to the weekly Podcast that comes out on Thursday and check out some of the books available on the site.  The Ultimate Beginner's Guide is another great place to start.  

I just got a random letter in the mail.  I applied and they approved.  If you apply aim HIGH because I think I could have gotten more if I had asked for more.  I did have accounts at the bank previously.

Not anymore 

I recently closed on two separate properties.  Property 1 closed November  23rd on a townhouse in my neighborhood using a Heloc on my Primary residence at $165,000.  I was able to get a line up to 100 % equity on my Primary with a small, local bank that does that type of line with high net worth individuals.  I spent about 4 weeks and $8K renovating it.  It rented this week (after 6-7 weeks on the market) at $1495/month which gives about $480 cashflow after expenses each month.  A similar unit sold for $30K more in less than 30 days after my purchase.  

Property 2 closed December 21st in Parma, OH using an unsecured Line of Credit from Wells Fargo at $85,000 with agent @Brandon Uehlein .  The house needed about $2K in renovations and rented in about 3 weeks at $950/month which gives about $250 each month in cashflow.  The Holton Wise Property Group was on cruise control getting things set up and getting a tenant in.

Along the way I really wondered if I had lost my mind. Both loans were going on simultaneously and neither lender was very happy that I was purchasing the other property. The small local bank drug its feet in redoing my primary HELOC (75 days start to finish) which slowed the local purchase.

With the Wells Fargo line of Credit costing 8.5% interest I did a balance transfer for about 90% of the balance to a credit card.  I paid 3% on the transfer ($550) and took a little bit of a hit on my credit but I get 0% until July 2017.

Get a HELOC, use the equity to purchase the Triplex and then have your paychecks deposited in the HELOC. That way you'll be making at least a payment a month (depending on how many times per month you get paid). You'll pay down the HELOC and pay your bills out of the HELOC assuming your income is greater than your expenses. Its a known method and there are many a website dedicated on helping your learn the method (google: Money Merge Account, Truth in Equity

Usually HELOC repayment is easier and simpler than a standard mortgage. Check around and shop banks.

Hola @Bianca Cooper!!  You'll find tons of info on this site about wholesaling !  Check out the Podcasts and Blog.  I love the Podcast b/c my commute to work is about 30 minutes each way.  I can listen to a podcast per day generally.

Welcome to Bigger Pockets !

Tom Wheelwright has a book through the Rich Dad Series called "Tax Free Wealth".  Very Basic on taxes but its a start,

Check out Podcast 111 with Jefferson Lilly.  Very good podcast.  Might have some answers to your questions.

Welcome @Lonnie Williams!!! You're in the right place for learning about Real Estate.  Check out the Podcasts.  They're my favorite part of the website and they allow you to learn while you drive !

Also, since you're at a distance and using a property management company, I would look at how they screen and their vacancy rate for the properties they manage.  If they take a long time to put someone in the unit it could get expensive.