All Forum Posts by: Donnell Durden

If I have a great idea for the site where do I submit ?

James C. I think I have caught a break. I spoke to a mortgage broker and he said I may be able to get into this deal for 5% cash. If all my numbers check out and the rehab isn't too bad. Is it smart to go with a buyers agent that was recommended by the mortgage broker?

Below is the email I've been sending to Mortgage Brokers. To me this looks like a clear deal. Any thoughts? Ideas on how I can get this deal done in my condition?

Hey Liz,

I am Donnell Durden, and I'm interested in investing in my first home. I was recommended to you by a Banker at TD Bank. He also mentioned that I may be a good fit for the 203K Loan either now or in the near future. I have my eye on a 4 family property in New Haven listed at about 95K. I think we could get it for cheaper because from the pictures it needs work. But at least there are pictures so thats a good sign. So I'm assuming with repairs I'd likely need a loan of about 120K

http://www.realtor.com/realestateandhomes-detail/8...

*If you steal my deal I want a wholesalers fee lol*

So here are my stats

Age: 30

DOB: 03/10/1986

Single

Student: Fulltime

Monthly Income: $1600

Monthly Expenses: $950

DTI: 59%

Student Loan Debt: 35K

Student Loans: deferred

Rent: $0

Car Note: $0

Loan amount: 120K (give or take)

Cash on hand to put down: 7K

Credit Scores: TU 666 EQ 625 EX 656

Income: around 20k

A couple of small employment gaps in the past 2-3 years

I can possibly come up with more money for the down payment if absolutely needed. My credit score should jump a bit soon I recently (like yesterday) paid off a large portion of my credit card debt. I will be under 30% utilized really soon. Also I recently interviewed for a full time position at my current place of employment where I'd be making at least 35K. *fingers crossed*Also my employment gaps are due to my entrepreneurial endeavors.

Here are my take on the house's potential. I believe this area will bloom in the years to come. Especially being so close to Yale. I Could live in one of the 2 bd units and rent out the other 3 unit. This could yield over $400 in cash flow after expenses. Heres kind of how I see it and I like to consider the worst case scenario.

Two 1 Br $700 X 2 ($1400)

One 2 br $850

Monthly Projections

Rental Income: $2250

Expenses $1755

Mortgage: $800

Tax: $200

Insurance: $100

Repairs $100

Property Management: $300

Cap Ex: $100

Vacancy: $155

Cash Flow: $495

To me this seems like a great deal. I look forward to being a property owner and land lord. So what does a guy in my situation need to do to get this house? and if it isn't possible to do in my current financial state please inform me on what specific changes I need to make (boost score, bigger down payment) and I will try my hardest to reach those heights. I realize these houses come and go fast so If this deal passes your information will still be greatly appreciated and utilized for I am on a mission to buy a property so I will continue to search for deals. Thank you for your time and consideration. Feel free to email or contact me via phone. What ever I need to do to make this work.

Best,

Donnell Durden

Help me guys! I texted the agent today that was on the realtor.com page she barely seems interested in selling it. It's in a pretty rough neighborhood but I don't mind it. I've contacted banks and some of them have stopped offering 203k loans. TD recommended me to McCue and McCue recommended me to Merrimack... Thoughts? 

Yea guys this is seeming a little risky too many uncontrollable variables.

He's willing to help I'm just not exactly sure how to get started. What are the steps to take to receive his help ?

@sam you make plenty of sense

So I was listening to EP 193 with Steve Garner and he and Brandon mentioned partnering with people that the bank likes when you're just starting out. He would let them get the mortgage in their name and his name would be on the deed or title (whatever it's called) and they would split proceeds as they agreed. Thinking creatively. What if I were to put the 4% down for first time home buyers who intend to house hack in return for a piece of the action. Is this possible? Could it be worth it? Talk to me guys

I believe on episode 193 with Steve Garner And Brandon mention partnering with others that the bank likes to invest. He had mentioned how he would partner with people with more money and better credit. He would let them get the mortgage in their name and have his name on the title or note or whatever it's called. Splitting profits how they saw fit. What if... I could provide the down payment for first time home buyers who intended to house hack. I put the 4% down in return for a part of the action.. Is this doable?

Yesterday I listened to Bigger Podcast EP 192 with Russell Brazil. I really dig some of his strategies. I come from low income housing so I will invest there because I believe I could manage the tenants. But that's not why I'm writing this post.

Since the new year I've been vigorously trying to figure out ways to get in the game and get my first purchase under my belt.

Like Brazil, my girlfriend is a willing participant in my plans. So when I figure out our path she will be right behind me.

On EP 193 Steve Garner and Brandon mentioned something about partnering with people that the bank likes. That got my thoughts going.

My girlfriends grand father may be one of those people. Help me out here guys.

Her grand father is a vet. Has a single family home that is paid for that he lives in. He's in his 70s but is still pretty active. In what ways could he help us get into the real estate game?

I'm at 655 credit score with about 10k currently to invest (FYI) 

James C. Wow, just wow. You just destroyed my hopes and dreams while providing me with such valuable information. Thank You. I have no team in place. Let me ask you this. If you read my initial post explaining my current financial state (650 credit score, first time buyer, 10k to invest, low credit card debt, 30k in college debt/deferred, looking to house hack 4 unit of possible) what would you suggest my next moves to be. I keep feeling like maybe I should just save up some more capital to get a more favorable position in a deal. As for the team. I should get all of them in place before I begin to apply for a mortgage/loan or after I've been pre approved? I just have this stigma that if I don't have cash or work to offer these professionals up from that they will have no interest in working with me initially. I'm sure I can assemble a team but just asking if it's typical that the team works for free until there is some money on the table (aside from my lil 10k)