All Forum Posts by: Craig Jeppesen

Too big of a risk. Get your income up and get rid of the debt. Do not jumps into re with that much debt to your income. You are already over leveraged with out re debt. I would be asking for a raise today,  ask what you need to do to get a promotion in the next few years, get a second job or side business, put all your tax returns and any money you can get and you will be ready in a few years. Sacrifice now for a better future. 

I didn’t read all the comments but I think the most important point has not been brought up. To me it is all about your debt ratios. If you are talking $20k in consumer debt the answer can be completely different depending on your income. If you are making $30-$40 k you better not take a risk in real estate until it is cleaned up. If you are making $200 k then who care about  $20 k. You will take care of that naturally in a few years so why not save up for real estate investing. 

Most over range microwaves vent in and filter back out if you don’t have proper venting. 

What is your expected earnings with the job complete? If she can give you a price that at least meets what you would walk away with the house completed then take the deal, if she is looking for a deal then move on. When flipping a house a quick sell is awesome as you have less carry costs. An example would be you are expected to earn $30,000 with the completed deal . Let’s say your costs are currently 100,000. If she paid you $130,000 plus closing costs then you make the same as you would have you completed the flip plus you get your money sooner and get hundreds of hours of your time back, and with less risk as the market can change in the coming months. It will probably have to be a cash purchase as the home probably won’t qualify for a traditional mortgage in its current state. Make sense?

Now days you can do a no fee 10 year mortgage loan for about the rate of a 15 year loan. It has to be your primary residence and you have to have 25% equity. The bank won’t do a full appraisal to save on costs since they are paying for everything. We did this a couple years ago when we built our current house we live in. Something to consider if you don’t want to pay closing costs.

Get the seller to pay for the repairs or lower your price to work the repairs into the deal. Without the repairs it is a decent deal.

No one knows what rates are going to do in a recession or any other time. They have been artificially low for a long time and really still are low. I would not count on rates going down in a long time, but like I said know one knows and they might. You really don’t want for the fed to start lowering rates because that means we are having some bad times. I am just hoping they are done raising rates and we can stay where we are for a while. the fed will raise/lower rates as much as they can to try and keep unemployment and inflation in check with their acceptable ranges.

It depends on your goals. If you are wanting to get more properties sooner and use leverage to get a higher return then go with the lower down payment. If equity or paying down or off debt sooner go with the higher down payment.

There is no right percentage allocation, but I do believe you should do both. I would at least max out the $6k IRA contribution limit in stocks since you don't have a 401k. I think it depends on your disposable income, cost of real estate in your area and your overall goals.