All Forum Posts by: Ben Naughton

It's at a low price but just came on the market.  I believe there is at least one other investor as I viewed the property while a roofer was there to send them an estimate.  Good news is I got the info on the roof without needing to send a roofer myself.

First time offering on an REO. From what I've read and what Realtors have told me you should waive the inspection clause to make a good offer to the bank.

How unheard of is it to have an inspection clause?

Has anyone had experience having the bank accept their offer with the inspection clause in there?

"House Hacked" and moved my wife and 2 small kids into a duplex with 3 bedrooms, 2 baths, and a garage on each side last year to get started in real estate.  SO THANKFUL I DID and thankful for biggerpockets by which I learned and researched the topic.  So far it's working out great.  Finding great tenants to rent to was a plus as well.   

@Scott England - I need to purchase it and rehab it first, but I wouldn't mind the referral information to consider a refi afterwards.  

Thanks everyone for the replies.

@Jerry Padilla- So, umbrella would be holding it in our personal name and then having insurance cover both our property and the rental.

@Matthew Kreitzer - Could you give a little more clarity on how it would reduce the reasoning for the style of funding?  

@Thomas Franklin - I agree. I have been actively looking for seller financing. This deal was a FSBO but they didnt own it free and clear. I'm currently in a duplex going FHA. It's great having our personal monthly living expenses cut to almost nothing but some of the issues you brought up do concern me. One advantage I see is our homestead exemption by living and owning it personally.

@Edward B. - Thanks, I'm definitely going to look into those guys.

I'm in the process of acquiring a loan for a nice multifamily deal I have going.  55k + 15K rehab gets me a 1650 sqft home with 3 rental units in it currently bringing in $1,500 a month.  

This is our second rental property, the first we owner occupied with an FHA. We have now formed an LLC and want to finance this purchase too.

My plan is to acquire the property putting 20 to 25% down, do the renovations, rent it out, and refinance.  In reading many blogs on biggerpockets and the books by Brandon Turner it is usually taught to refinance into a nice 30 year fixed rate mortgage.

SO HERE IS MY QUESTION: How do I go about attaining a 30 year fixed if I want this property in an LLC?

As I've been calling local community banks to get a loan and have the property in our LLC all the lenders are offering loans that are shorter than 30 years. The best so far I think was 20 or 25 years with a 5 year adjustable rate. Are 30 year fixed only possible if we personally finance it?

We've even thought through a couple other scenarios, like using 0% APR balance transfers to get the property, fix it, then refinance, or if we could get a 30 year fixed off the bat, rehab it with our CC at 0% and let the cash flow pay them off over the next year, but the bottom line is whatever strategy we use it would be much better with a long term fixed loan.

Any input is appreciated!

Thanks for all the input.  I talked with the Title Agent and she said that the last months and security deposit could not be transferred to us because there is now technically no tenant.  When I talked with the owners they said that they would only consider giving us 10 days of the prorated rent, but basically were saying there is nothing they can do.  I believe they are planning to give the security deposit and rest of the prorated rent back to them.  I did make the case that our deal had changed since we now are buying a place with no tenants and their unit needs to be repainted, re-carpeted, etc.  Basically I'm not sure if there is anything I can do aside from negotiating with them to still transfer it over.  

Aside from that the side they are currently owner occupying isnt even completely moved out of. (we are planning to owner occupy one side as well). So we are supposed to close tomorrow but they still have their boxes and furniture in there. If anything I suppose this is a great way to be broken into REI.

So, we are getting ready to purchase our first duplex tomorrow.  I was just notified by the Title Company and current owners that the tenants moved out yesterday without notice.  

Im curious as to how this should work out. We were suppose to have last months rent, security deposit, and pro-rated rent credited to us on the HUD.

The owner was suggesting keeping their last month's rent pro-rated until the day they left and security deposit (if unit is left in good shape).  I'm getting ready to do a final walk through as well.  

Since they left with no notice wouldn't they be on the hook for rent until it was re-rented or their lease expires? (March 2016)  Im reviewing the current lease and all it says for Default/Remedies is to see the Florida Residential Landlord and Tenant Act, Part II, Ch 83.

Im reviewing that as well, but still being a new REI and Land lording, Im having trouble figuring out exactly what should happen. Any input is appreciated

Overall I suppose it's a good thing because we can start with new tenants and not inherit deadbeats.  Guess this is my introduction of being thrown into the Land lording world.  

Thanks everyone.  I will be reaching out.  

My scenario is that my wife and I are just getting into REI. We just got our first contract signed for a duplex we plan to owner occupy and own for now in our personal name, though we do have an LLC set up as well.

Just after we signed a friend of mine who is a realtor, and working with owners who are friends of the family, came to me with another deal that I didn't want to pass up. It involves a short sale of a property with a SFH but also has a rented duplex apart of it. I don't know how much I can share on the regular forum ( I posted more info yesterday and biggerpockets pulled it because it needed to be in the marketplace), but I can give more detail on the phone or through email.

The reason Im looking into hard money is because most of our funds are tied up with the duplex we just signed on and this property does need rehab.

Just curious if anyone has any recommendations for hard money lenders in SWFL.  Thanks.