All Forum Posts by: Dominic Pizzi

Quote from @Cooper Sewell:

Quote from @Dominic Pizzi:

Hey Cooper! You should use a lender. By acquiring a loan you only have to make a down payment on the property and it can be qualified based on its cash flows, if you use a DSCR lender. The triangle in NC is a busy and growing area with real estate booming right now. Try looking at some other up and coming areas as well that you can spend a little less on a MF property and still start your real estate journey the right way!

If i using the VA loan which is 0% down would the lender be necessary? Also can you tell me more about the upcoming areas around Charlotte preferably within 20-25 minute of the city? I would love to know more of your thoughts about this topic?

If you’re using a VA loan then no a lender may not be neccessary! Just keep in mind every program you use has different qualifications, but if you’re familiar with VA loans and can use it to your advantage without the help of a lender, then it’s unnecessary! 

As far as other places that hold value that are 25-30 mins away, anywhere in the triangle is a good place to invest. It’s a growing area though that more people are moving to full time from Northern states like NJ/NY/PA. Charlotte, Raleigh, Durham, and their suburbs are all goor places to look! 

You should be okay if the ADU is legally conforming. You may need to file for zoning variance for a SFR with detached ADU.

Hey Cooper! You should use a lender. By acquiring a loan you only have to make a down payment on the property and it can be qualified based on its cash flows, if you use a DSCR lender. The triangle in NC is a busy and growing area with real estate booming right now. Try looking at some other up and coming areas as well that you can spend a little less on a MF property and still start your real estate journey the right way!

Hey Jose!

Happy to help: send me a message!

I agree with what Taylor said. Many lenders use HELOC as a liquidity requirement to cover PITIA reserves, but can't use them unless you cash them in (nobody really wants to do that).

Second lien position would work well in this case, you've got to find the correct lender or partner who is willing to jump on as second position. Or, you can refinance at 75% LTV, pay off what is owed and keep the rest as investment cash.

Good luck!

Hi Anna! 

I think as first timers, you need to have a plan. Many people who are first timers just jump right in and think about the consequences later. You got to think of what strategy you want to go with: rent ready properties or Brrrr properties, SFR or multi, LTR or STR.

This can be different for everyone. I have heard investing in update NY can be somewhat difficult with high property taxes that kill your cash flow. You both might want to look in an area where there is upcoming growth, places such as Detroit or Cleveland where you could get more bang for your buck. 

Although I am not an investor yet, the best advice I can give you is to form a good team: a realtor, lender, property manager, and contractor. These 4 will be key to overall success in investment real estate no matter what market you choose and what type of property you look at acquiring. 

Best of luck to you both!

Agreed. They will use your long term rent for the DSCR calculation. So long as you have a long term lease you should be okay with a DSCR lender.

Hi Shaniqua!

Social media is your best friend when it comes to real estate leads. Like, comment, and share all that you can for potential clients to come to you and bring their business to you. 

I personally am a big fan of the meet ups as well, and getting to know people within your area is a smart thing to do as well. Get out and talk to people like yourself that are trying to make connections as well. Meetup.com is an excellent place to find these kinds of events. 

Also, the community on BP is very beneficial and you will find that some might just have an interest in getting to know you back! Good luck!!

Hey Anthony! Many lenders will cover the difference with the only requirement for the borrower covering the Downpayment. The borrower will make regular payments depending on the terms of the loan, and will be able to get out of said loan with a cash out refi/rate and term refi by paying off the previous loan after a seasoning period (typically 3-6 months). 

Hey Mickey, send me a PM!