All Forum Posts by: Benjamin Seibert

@Brandon Allenczy congrats on the deal and welcome to the Hagerstown market!

@Corey Reese set your personal goals for a property first:

-SFH, small multifamily, large multifamily or commercial?

-Price points?

-Target ROI, cash flow, Cap rate, etc...

Once you decide on your personal criteria it becomes easier to apply that criteria to properties in different markets and see which markets have properties that fit them. A good example is as follows: say you want a small multifamily property and want to target properties less than $400K. Places like NYC and LA wont fit due to price point and some places in the southeast wouldn't fit due to lack of small multifamily inventory. The midwest is a good target and places like Cleveland, Cincinnati, etc... have ample inventory to support your criteria.

@Bryan La congrats on the completed deal!

@Brandon Harrison congrats and goodluck on the buy & hold! It looks like it's a solid property!

@Jonathan Bombaci good advice! I always write my goals down and tape them next to my whiteboard that I look at everyday. Definitely is a good idea to start looking at goals now and getting prepared for 2021!

Hey @Abby Braaten congrats on the deal! I recently just sold my house hack/live in flip that I purchased after undergrad and it worked out great. Goodluck on the deal!

@Gail P. congrats on the completed deal! It looks like a success!

@Kay Cook yes there are lenders who will do this. I've worked with @Alex Bekeza before and recommend using him - he is great to work with.

@Dalton W. a lot of your questions have answers that require an "it depends" answer. I'll provide my personal opinion though:

1. No you can still cash out refi. You'd pay off your first lien (the seller's financed lien) when you refinance. It acts like a normal mortgage.

2. I wouldn't recommend credit cards or high interest options in this climate unless you're 100% sure you can safely get all of your money back. I'd look into other creative methods or pulling in another partner

3. You can get a normal mortgage from an off market property. All banks (unless its a hard money lender) are going to require an appraisal though. The fact that some of the property is "uninhabitable" would lead me to believe it will be hard for you to get a normal loan from a traditional bank (FHA, etc...). I would look into commercial loans with a local bank. They are usually 5/5 ARMS but have more lenient terms... and sometimes will lend on the rehab.

4. I've always used a bank that bundles the rehab in their loans... I can't speak to hard money.

5. I'd say it depends on the work to be performed. If all units need similar work then you definitely want the contractor to do all of them at once so it's more efficient for their subs. Now if one just needs paint and others need extreme rehab you can possibly get the one unit turned and rented while the others are rehabbed - I would make sure all major demolition/work is finished first so the tenants dont have to deal with that sort of extreme noise.

Best of luck!

@Patricia Ferreira I would check more into the fees that are going with the LLC. I've refinanced in the past and haven't heard anything about exorbitant fees for closing in an LLC.

I would also recommend @Alex Bekeza for refinancing. He helped me with my BRRR refinance and did an awesome job!