All Forum Posts by: Account Closed

Looking into utilizing Appfolios Premium Leads option and just wondering if anyone has experience with and what their thoughts are. They charge $10 per verified lead and say that each lead is reviewed by there staff to ensure that it is legitimate. Has anybody kept numbers on this to see if these premium leads are panning out?

Hey all, looking at a new contract for deed deal and was hoping to get a second set of eyes on the numbers. This would be a buy and hold.

Asking price = $125,900

Down Payment = $2,900

Annual Taxes = $1,500

Annual Insurance = $1,000

Monthly Payment $1,000 (All goes towards principal)

Rent = $1,200

Tenant pays all utilities

After 3 years I would refi into a traditional mortgage

House is in good shape and and has no major repairs in the foreseeable future. Roof was replaced 5 years ago.

This would be my first deal without using a bank. What kind of closing costs should I expect to incur?

Thank you!

Hey Cole, I just did the same thing as you except about 6 months ago and in Fargo. Purchased a 4 plex here and am currently living in one of the units. I also manage 250 units for a property management company here in town. My brother actually just graduated from UND and I was up there quite a few times. PM me and we can talk for a bit and maybe grab lunch or coffee next time we're in the same town.

@Kyle Davis I currently live in Fargo and am originally from Hawley. I'm down in Ottertail all the time in the summer for the lake though! If you PM me I could give you the contact info for the realtor I use in town. He is an investor himself and found me my last deal on an off market 4plex.

@Daniel Mills I believe Brandon just treats it the same as any of his other investment properties. The only difference is the equity from this property being paid off is strictly for his daughters education. Once it's paid off he can sell it and pay for her schooling or do a cash-out refi, keep the property and still pay for her education. But other than that everything is the same. I'm hoping Brandon jumps in and corrects me if i'm mistaken though!

@Andrew Acuna How long have you lived in the first property? As long as it's been 12 months or the closing for your new property would be at least 12 months after the closing of the first property you shouldn't have a problem. You need to live in the property for 12 months in order to secure a 3.5% down FHA loan or else it's technically mortgage fraud. If you have owned the first property for more than 24 months you can actually use the income from that property to help qualify for the second property. You also don't need an FHA loan by any means for your second property, a 3% down conventional loan would work just fine. Just speak with more local lenders and somebody will be glad to loan to you.

@Joseph Delarosa How in the world did you find a 4plex for $110,000 that appraised at $227,000??? The numbers on that deal are unbelievable. I need details.

@Andrew Acuna You should be able to purchase anything with 4 or less units with a 3.0% down loan as long as you live in the property including your second one. That is exactly what I did

@Andrew Acuna Most of the time if you are going with a residential loan we will do everything we possibly can to get you qualified. We sell the vast majority of all our loans on the secondary market and therefore need to meet the criteria set by our investors. We will lock you in at a certain interest rate with the best pricing from one of our investors and then we need to stick with there criteria. So just because we cant do something doesn't mean we don't want to, it literally means we cant. This will change by what bank or company you use and you may find some willing to put  a loan like that on there own books but I doubt it.

@Jeremy Baker Do you plan on living in the property? If you do you shouldnt have any troubles at all finding a lender for that. If it is strictly an investment property you may need to look into some creative financing options such as partnering with someone or seeing if the sellers are willing to do owner financing.

@Joe Koppel I pay $1205 a year for my fourplex... Other quotes were inbetween $1,400-$1,500.