All Forum Posts by: Curtis H.

@Jim Cummings Yeah I would get a small ding on the cash flow, but not enough to offset having the cash available to purchase more properties. Obviously what would make a refi worth it is how much return I got on the money I pulled out. So this money would only be reserved for “can’t lose” type deals. Like those deals that cash flow $500 out of the gate and have equity already baked in. Regarding my wife and the house...I’ve been with her since high school and we haven’t even had a close call with a break up. This is why. I pick my battles. This one ain’t worth it. 😜

@Jarrod Covey

Yep I'm likely going to hang on to it. I'm just contemplating whether to cash out refi or leave it be. I just know when a downturn comes to best position to be in is having cash on hand to take advantage of the deals that are out there. So if I have a chance to grab $100K or so now while the market is still afloat, I should do it. Even if I don't use it for 12 months. Eventually I will. I'm just needing to be reminded of why NOT to do that. 

There I go again. I start rambling and am not clear in what I am asking.

I guess what I am asking is not if the mechanics of the Refi would work, it's more about what you would do with a similar property? Meaning just keep renting and get $400 cashflow and do nothing, or pull some cash out to buy more properties? 

Hello BP Nation,

I have a rental in Austin area with about $130K equity in it that I can't get a Heloc on because Texas laws on non owner occupied properties. I get a decent $400 per month cash flow on it, but it's nearly 20 years old and the gremlins are coming out. Just did a new roof for $7K, repainting now, and about to install all vinyl plank flooring for about $7K for a 2700 sq ft house. The house is worth more than it's ever been with all the upgrades, and interest rates are super low right now. I think we all know the market is going to dip in a matter of time. It's already started.I'm dying to get my hands on that equity and use it to buy more property when the market dips and property is a bargain. A HELOC is perfect, but that's not an option. I would 1031 it into something else but my wife wants to keep the house. We used to live there.

My interest rate is 4.5% on it and as a rental that's about what it would be today. So no gain there. Just getting my hands on the money is the prize. It kills me I'm sinking all this money into it, and not reaping any benefits from renting it for the last 15 years.

Curious what others would do in this situation?

Thanks,
Curtis

@Ali Boone

Sent!

@Ali Boone

I also just sent you a PM. Looking for RECOMMENDATIONS for a good small property management company. Lately every time I ask for a recommendation on BP it seems I get bombarded with solicitations. Don't get me wrong, some I have used after checking them out (to mixed results), but right now I would love referrals to reputable companies and people that you have a track record with or heard people talk about them. 

Thanks!  

@Wayne Brooks

That's solid advice. I think the threat of reporting him to the BAR will be enough to get him to back off. I think the attorney knows what he did was unethical, and the juice won't be worth the squeeze. 

Now the last question I had is should he put in writing that he does not want to move forward with the sale, or just verbally call the investor and say after 24 hours I have had an attorney look over the agreement and do not want to move forward at this time?

@Theresa Harris

No there was no money exchanged at all from what I know. Just simply a purchase agreement signed 24 hours ago.

Hello all, 

Basic question here, where I'm hoping there is a basic answer. 

I have a relative who just called and said he signed a purchase agreement with a house flipper YESTERDAY to sell his home for cash, and called the guy today and said he is having second thoughts. The guy told him to sleep on it and let him know tomorrow. 

The deal is laced with shadyness from the beginning and this all came from an attorney he was using to become the executor of the estate to get the house in the first place. That atorney called an investor buddy and then began to pressure my relative to sell the house to him or his buddy. So my question is this...

Since he only agreed to sell the house 24 hours ago, and it's a standard one page purchase agreement (I saw it) but not a CAR form, doesn't my relative have 48 hours to back out? Attorney review? He was surely preyed on since he knows nothing about real estate and is in his early twenties. He basically inherited a paid off house when he was a minor. So he had no clue how bad of a decision it was to sell this house. 

Any advice is appreciated.

@Chet Hileman

Thanks for the input my man!