All Forum Posts by: Account Closed

Originally posted by @Jack Bobeck:

@Account Closed I always factor in at least 3% of the loan amount for closing costs. Lenders tell you what you want to hear when chatting with them, then once you get the HUD, they forget to tell you about all the "fees". So I use 3% as my factor. I learned that from my wife who is a Realtor. Hope it helps.

"Don't be worried if you find "secondary" property rates of 6-7% on 30 year products. The cost is so little compared to the conventional loans and often you have fewer hoops to jump through. Good luck with your investment!"

But Jack, you were saying that the costs of non-conventional underwriting is much less and that you have fewer hoops to jump through. What did you mean by that? My understanding is that these types of loans usually cost MORE than conventional/conforming.

Jack Bobeck when you say the PITA factor and costs are lower with nonconventional lenders, does that mean closing costs are often lower? Talking to one of these lenders, but haven’t talked numbers on closing costs.

Originally posted by @Darrin Carey:

For Mom, I'd give her at least 10%, just for taking the financial risk.

On the other hand, if the DTI doesn't cut it, are there other factors that make this a good deal, or should you be looking for a better one? If the DTI is low, who is going to cover any of the potential shortfalls?

10% of the cash flow? That would be fair I think.

On DTI, not sure what you mean. The deal isn't the problem, it's my ability to get another mortgage after just buying my primary residence. Maybe you are confusing my own personal DTI ratio with the net operating income of the property? Must be. I'm speaking about my ability to qualify. The cashflow would be great.

"Let's see @Paul Allen 's card.... Look at that subtle colouring. The tasteful thickness... Oh my God. It even has a watermark." I'm sorry.

Excellent insight as always, @Chris Mason.

For a clarification, what should I look for in the fine print? What sort of "Gets" would you expect?

Thanks for taking a look. I understand most of it, but there are probably some things I am missing. If I can find a cosigner, I would be able to get in portfolio select. Without, I would definitely be able to get the cash flow loan. 

Blocked out the name because I am not here to advertise or sell anyone anything.

Originally posted by @JD Martin:

...like the tenant that dumped a bunch of food down the *other* sink, thinking that both sinks would be somehow connected to the garbage disposal. Where's my knucklehead emoticon? :)

What can you say about this, JD? There are simply those who have it, and those who don't!

I really don't think we will have another crash like we did in 2008. That was not a part of the normal real estate up-down cycle. That crash was caused by a credit bubble, which created a housing bubble. The credit bubble popped and you know the rest. My point is that a lot of measures have been put in place to prevent this sort of thing in the future. Without a doubt, it is harder to get bank money now than it was in 2005.

Source: I watched "The Big Short"

"He also changed requirements for new applicants, denying Section 8 voucher holders, raising income requirements for tenants and requiring photo identification."

OH THE HUMANITY! I can't be the only one who is rubbed the wrong way by this settlement. Making it very hard to stay apolitical on here, which is a goal of mine.

Originally posted by @Chris Svendsen:

Not my house but my brother in law had a bathtub full or cat and dog feces and a closet full of porn and used sex toys in a unit to deal with.  Best part was his mom opened closet and found all the sex toys and porn.  Was quite funny.

 Thanks for that. This is what we all came here for LOL