All Forum Posts by: Billy Au-Yeung
Billy Au-Yeung has started 6 posts and replied 90 times.
Post: Newbie from Woodbridge, VA
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
Welcome Tanya!
Post: Investor From Seattle Area
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
Hi Greg! Welcome. I hang out in the Bothell area a lot. Maybe we can meet up sometimes.
Post: Financing for a abandoned commercial multifamily property
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
Originally posted by @David Dachtera:
I have some local people who are also providing housing under the VA Supportive Housing program.
The points to emphasize to the lender are that rents are guaranteed / subsidized by the VA. You're paid for 100% occupancy, even if there are empty units.
What my people did here locally was they used SDIRA money to acquire two four-flats, a 9 unit building and a 15 unit building. Then, they approached local institutional lenders for money to rehab and to repay the private lenders.
Small, community banks are better because they are more in-touch with the local market and less driven by Wall Street and investor demands.
In this case, after repair, the lender's position is roughly 60% LTV on the package. The properties were REO and that lender kind of "took a bath" on them just to get them off their books. I'm told their attorney had a snit at closing because of it.
David J Dachtera
"Success is not a destination. Failure is not an event. Success is a process, failure is a choice."
- DJ Benedict
Hi David, thanks for your input. May I have the VA Supportive Housing Program contact number? I do not know they would guarantee rents and paid for 100% occupancy even if there are empty units.
What is SDIRA money? What's the interest rate for that?
ThanksB
Billy
Post: Financing for a abandoned commercial multifamily property
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
I would like to get financing on an abandoned commercial multifamily property in Tacoma WA. The property has more than 4 rooms so it don't qualify for residential mortgage. I intended to use it to help the special need or disabled veterans in short term or long term housing need. I visited 7 banks today and most of them do not want to finance property since it is an abandoned property and it requires another rehab loan to renovate the building. I was told the wiring, plumbing and HVAC need to be redo. Does anyone have any idea or can help me to finance this acquisition? Any lender could do this? I am also willing to offer money management or other misc classes for them at no cost. This is the least I can do for these gentlemen to get their feet up again who once served our country. I am also curious whether there is another federal grant I can apply to help out with the renovation. Any advice is appreciated. Thank you
Post: 401K lump sum distribution WASH Trad IRA contribution = no tax?
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
I have a client who is 62 yrs old. He would like to request a 401K lum sum distribution from his employer for downpayment of an investment property sometimes in the year. Say the amount of 401K distribution is $40K and he has the money under his checking account until Dec. If he failed to buy the property, he will create a Trad IRA account and dump the $13000 in there ( annual limit for hushand and the wife) to reduce the taxable income before the year end. In such case, only $27K will be taxable as income. Am I correct?
Post: What happens after an auction if house not sold
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
If the house don't sell in auction, it goes back to the bank as REO properties
Post: Advice for refinancing 5 properties purchased my first year
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
Very impressive!! Where are your properties located? Have you asked about blanket loan or portfolio loan?
Post: When is it correct to maximize rental income reported on taxs?
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
They look at your Schedule E because they want to assess whether you have the liquidity to pay back the loan. Depreciation expense is not an actual cash outflow so it will add back to your net income. Cash flow analysis and Income analysis are two different things.
Post: Advice sought on financing $40K property
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
you may also consider stated income loan for your property
Post: multi family intrest rates
- Lender, RE Broker
- Renton, WA
- Posts 100
- Votes 22
How many unit for your multi family property?