All Forum Posts by: Dennis Schramer

Have you had a conversation with your PM to see what she thinks the problem is?

There is always a reason, whether it's the price, condition of the premises, or her not able to handle showings effectively.

If you've used her for a while, try to see from the manager's perspective otherwise find someone new.

Sara, I'm sending you a message now.

You will hit a roadblock during the lending process if you quit now.  Every institutional lender will check your global cash flow based on the taxes you've filed for the last two years. They will look at your sources of income and verify you have income from something similar currently.  So if you don't have two years of rental income, you can't use that to qualify for institutional loans.  That's why you definitely want to get rental income on this year's taxes, but it may not be in your best interest to quit your job until you no longer require it for qualification to get money from a bank.

I bank with several of the ones you mentioned, I'll send you a PM with the names and contact info for commercial loan officers there.

@Ashley Gish You should do both. Not financial advice, but I would do the following in your situation: forget any idea of savings, retirement, etc. Focus on growth and debt pay down; you're not going to gain interest for retirement and savings akin to the interest lost to loans.  

Use a debt restructuring strategy, I think one of the guru programs call it velocity banking. Turn your amortized interest into simple interest by paying chunks of the student loans and mortgages with revolving credit like credit cards or home equity lines to drastically reduce the total amount of interest you'll pay over the course of the loan.  

Also, buy a property that you can live in and make a profit, duplex/multifamily, Airbnb rooms in a SFH, get out of paying rent. Using some strategies, you can also structure your mortgage with the seller however you want as long as they are alright with it.

Make as much money as possible, keep a reasonable living budget that you can actually stick to and survive comfortably, and be prepared to work very hard. You can make a lot of money in real estate, but not if you think real estate is just waiting for the checks to roll in.

I hope that helps a little.

Tony, it's just as Steve said. We have so many valuable resources now to learn what we don't know.  I started out not knowing anything, I just tried to do everything I could and made a lot of investing mistakes that I could have avoided by going to local networking events, but I got a ton of experience from failing. Now some of my maintenance people will come to me to help them figure out odd issues in properties. Don't be afraid to fail, just go for it.

On a cash-out refinance, usually you'll get 75 LTV for investment properties, but you may be able to discuss this with the bank. Waterstone bank or Waukesha State Bank is a couple I've used for refinances.

@Victor Martinez Lazaro, as everyone else said, check out all of the valuable knowledge you can gain from the website.  Most investors are willing to help you learn, but you need to be the one to take action, no one will make you successful except yourself.

Thanks Michael.

@Tim Ingram, I'm sending you a message.

A paying tenant, whether late or not, that is not trashing the place is better than a period of vacancy followed by a new unknown tenant.  You could renew with an increase to rent and/or increase to late fee.  As others have suggested, make sure you have a system available to set up automatic payments and try to have the tenant implement it.