All Forum Posts by: Darcy Maiangowi

I'm not experienced Isstad but what I would do is proceed on all 3 fronts. At that point, options will delete themselves and other options will become more prevalent.  By narrowing yourself to Option A from the beginning, you are ignoring potential great opportunities in B and C.

Then if you have several viable options you can go with either the higher roi or what meets your long term goals.

@Jesus Garcia

I figured out how to follow but tagging doesn't appear to work for me

@JesusGarcia

Test

Thanks

It was a pleasure to meet y'all tonight.

Jesus

How do I tag someone with the @ symbol? 

Does anyone know how I can follow a thread to get notifications?

Hi Tim,

I'm Darcy and I live in Baytown. I started out on BP looking to purchase my families first home. As I've learnt more about RE aND the Baytown market, I've decided to change directions. I've decided to build and sell instead.  

I'm working with The Loken Group to find a lot to build on. BP has been very educational for me. I've been wanting to go check out some of the local REIA's but the times never work out for me.

Want to pick each other's brains?

I contacted the DIY home builder and talked to him about my situation and he said that I won't need to get cash equity. On a construction mortgage, once the build is complete, if the property is appraised with 20%+ equity, you don't need a down payment.

So all my questioning was for nothing. But thanks for the feedback.

The car note is what is helping my credit score the most. It's my oldest account.

I have a contingency plan if I can't sell it, I will move in it and live there. It would be a good starter house for my family. I currently rent and we want to build our own house but if I can make a $30-40k profit on building and selling this house, I can rent for another year and use that equity to build on a bigger acreage and skip a starter house.

The only debt I have is $22000 on a car note. It is what has helped to build my credit. I also have a partially secured credit card, originally secured for $300 but they increased my credit limit to 600 after 6 months on time payments. 2-3 days before the statement date, I pay it down to 10-25% range. I also have a credit builder loan that I've got 6 months worth of payments at $50 / month. 

I don't want to buy a home so waiting for the downturn won't help me significantly.

Currently there is a $50-60 billion dollar expansion going on at multiple refineries in Baytown. http://www.houstonchronicle.com/business/real-esta.... Also there is a 1000 units of residents to be developed over the next 2 years. So I want to build now to be ahead of the development. http://www.houstonchronicle.com/business/real-estate/article/Mixed-use-development-finds-Baytown-a-market-6627894.php

No I don't understand what your saying. What I want to do is turn the equity from buying the land under market value to cash and owe a note closer to market value.

I should have explained the whole project, number wise.

I found a lot available to buy in the 30-35k range. It is worth probably close to 60k but the bank foreclosed and is selling it for what they have into it.

I want to spend another 90k building a house on it and it will be worth roughly 180k.

So I'm spending $30 000 for the land, $90 000 to build and can sell for $180 000 leaving a profit of $60 000 minus closing costs.

What I want to do is take the equity of the land, let's say I pay $35k and it's worth $55k. There is $20k worth of equity, I want to cash out that equity into cash to use as my down payment on a conventional build mortgage.

The reason why I want to use hml is so that I'm not screwing with my credit with more inquiries and short term loans during this flip process.