All Forum Posts by: Charles Carillo

@Diego Carranza Anglarill

You could also partner with a US person to achieve those interest rates much sooner.

@Carrol Rhead

It is really important to have a reserve fund that you add to monthly for repairs and maintenance. In addition, a bathtub leak is an unforeseen issue but hot water heaters and furnaces have a life expectancy and should not be a total surprise. Of course, you will get the hot water heater that lasts for 5 years while the others last for 8-10 but normally you will have a time frame when a hot water heater, furnace or roof needs to be replaced.

@Scott Townsend

Have your offer contingent on the place being professionally cleaned before closing or just deduct $500 off your offer.

@Kelvin Fernandez

In regards to raising rents; I would suggest you start doing work around the property before you start to raise any rents. You are able to research your local market to see what rents are currently for similar units. I would not jack rents up; especially with COVID and eviction moratoriums. Maybe raise the rent 3%-5% until they move out or COVID is over.

A note: there is a federal moratorium on evictions that will be extended into 2022. Just because you raise the rents does not mean the tenants will actually pay the new rent amount. They could possibly stay in the unit for another 12+ months without paying any rent if they do not agree to your new rent amount. It is better to get below market rent for 12-24 months than no rent at all.

@Brianne H.

We work with a few lenders that lend to foreign investors. DM ME.

@Max Kimmel

In my experiences, when you are dealing with smaller (under $1m loan) properties; using local lenders is the best route. I would start reaching out to local banks and credit unions to start building relationships. When you reach out to them, ask them if they will lend on your target property types, in your target markets and get some information on rates (spreads) and fees.

@Dalya M.

I would reach out to your real estate attorney (or the PM's RE attorney) and see what the next step is. In many states there are ways to evict tenants; even with the federal eviction moratorium. 

@Gustavo Briseno

Usually when purchasing a property with seller financing, you will submit a LOI (letter of intent) to the owner that lays out the major terms of the purchase, which will include your proposed seller financing. The owner will most likley counter the LOI with different terms. Once negotiations have been completed, you will send the executed LOI to your real estate attorney (that you already confirmed has done seller financing deals before). He will draft the PSA (purchase and sale agreement) that will outline all terms. You would refinance this loan just how you would refinance any loan. The principal will usually stay the same throughout the loan since the seller financing is most likley interest only.

@Dexter Morris

A portfolio loan for this group of properties will most likely be funded by a local bank or credit union. Have you reached out to any or do you have a preexisting relationship with one already? I would then speak to the loan officer and get an idea of what they want to see, normal terms and rates. Since this loan will most likley stay on their books, their underwriting does not have to fit inside a perfect box.

@Brian Sherman

Speak to a real estate attorney that regularly handles evictions before you put an offer in. What you pay them for 1-2 hours is worth it. They will have an idea on what to expect and the potential costs.