All Forum Posts by: David Roberts

I think that's awesome and I tend to see it the same way...that rotation in and out of even hold properties is the way to go. Sometimes you just have to take the profit. However you decide when to pull the trigger might be different, whether it's watching your return on equity, ROI, or whatever. But that's great. Thanks for quantifying your statement. And if you're rotating in and out within 3-7 years the ARM definitely seems to make more sense.

What amount will your lenders let you get? Are these 30 year fixed mortgages or some other commercial blanket loan or ARM you can get? Around here most that let you do the quick refi with no seasoning are typically a higher interest rate, or they will only do delayed refinance (70% of new LTV or what you purchased the house for, whatever's less, OR purchase price plus rehab as long as it's 70% ARV or less)?

Also around here on occasion calling around I've found some smaller banks that will do a no seasoning cash out refi with no out of pocket, but it's a 7 year ARM 15 year, and there are strict stipulations (like you can't have more than 3-4 mortgages already).

Always looking for a no seasoning cash out refi at 75% of new appraised value at 30 year fixed...they are out there, but are usually 1+% higher rate. 

I have a few extra llcs that i wish to dissolve in Michigan.   I received the letter for each llc from the state to send in $25 and file annual statement,  and that is due february of 2016.

Since i am going to dissolve a few of the LLCS (which cost $10), do i need to file the annual statement, then dissolve, or can i dissolve the LLC now and avoid paying the 25 for the annual statement? Im assuming just like insurance, you pay ahead for the year.

So i am hoping i can pay the 10 to dissolve and not have to pay 25+10.

Thanks in advance

my first rental i took in smoking tenants,  and agreed they could smoke in the attached garage only.   They were fine with this and i actually believe they stick to it.  The house faintly smells like smoke (trickles in from on them and thru the door.   Great tenants,  had them for 5 years going on 6, never late,  not much trouble at all.  But i won't allow it again.   I think whenever they leave i will need to do alot more rehab than i want, but im planning a substantial rehab anyway.  Luckily i have hardwood throughout!  Since then,  the rest of my rentals are non smokers and its such a difference in the smell of the house,  even just being faint on the one...

Non smokers can definitely detect a smoker.  It eminates off a smoker.   

I actually like the smell of pipes and cigars.  Cigarettes are intolerable to me. 

Disclosure:  ive never smoked. 

that sounds like a very reasonable solution you came up with,  and it sounds like the tenant turned out to be reasonable as well.   Maybe whatever was bothering him wasn't an exaggeration and he really was just that sensitive to the air.

I took out a HELOC, which is interest only for 10 years. This is perfect for me as it lets me use and reuse the money to purchase, rehab, and do a cash out tegi and put all the money back into the HELOC. So I'm only paying juice when im using it. Just an option.

Don't max out 0% credit cards to do the rehab (or buy a house) if you plan on using your credit to cash out within a month or 2.  I did that.  I had 780+ credit, never missed a payment,  and doing this hammered me below 740.  I paid cards down to 20-30% and scores went back up.   Better off opening 3 or 4 cards and using all of them with 20-30% of the limit than maxing one or 2 out...

This was a quick lesson in how credit bureaus judge you,  even if you have never been late.   I don't think they know the cards are on promotion 0% either!  

Im only 37 yrs old,  and this is the first time i remember rates raising lol.  I don't really know what a world of rising rates is like dive ive been paying attention. 

I'm sure at some point it becomes less cost effective leveraging and more important to maybe partner or leave cash in,  but I'm sure we are a ways away from that. 

I'm trying to cash out of a rental i bought with HELOC money and i plan to recycle the HELOC again, and buy more, so im not really happy about the increase in rates but its only a small amount.

We use mysmartmove.com through this website.

You can have the tenant pay directly from their side, so they don't feel like you're making money on their application.  The website then provides you directly with their background check, credit report, criminal and evictions, and their own recommendation rating.

bump