All Forum Posts by: Gunner Cash

Can it qualify for VA?

I was in your same situation about five years ago. My wife and I had been flipping but I was a seasonal firefighter so had w2 employment. We made good money but I wrote so much off that when I went to real estate full time and left my firefighter job I had a rude awakening when I could not finance a loan conventially.  If your determined you’ll find a way. We studied markets nationally because we had just sold our home in Dana point and wanted to use the money to do a flip and move back home to San Diego. We ended up getting a hardmoney loan on a duplex in Minneapolis (while we lived in San Diego) in a up and coming neighborhood, we lightly rehabbed when we went out there and left as soon as it got too cold for my blood.  We rented it out from out of state and went back in the spring and we finished two basements so added 800 square feet, rehabbed the kitchen and baths and made a good chunk on the sale.  That next tax season we established a business and instead of writing off so much we paid self employment tax on our gains. That helped us to afford another Flip which would be our primary in San Diego. We needed to show two years tax history for the business and this provided that.  I’m not saying this is the route you should take as mine and my wife’s was very unconventional it always has been. I’ve lived and flipped in Honolulu, Portland Oregon, and Charleston SC. I like to to nimble and make money while I do it.  We live in San Diego because it’s home and I enjoy it more then any other place I’ve been been. I invest here and the Midwest.  I’m not encouraging the Midwest (st Louis)  it’s not  for every one and you’ll have to I figure out if your One if those people yourself.  I do also invest in San Diego  and i prefer that because I’m very hands on and that’s where I live so I can do what i do a lot better because it’s my backyard.  You’ll have to take some chances that may mean hard money  I don’t know your finances but whatever you do you need to first map out where you want to be and figure out what you need to do to get there.  Feel free to reach out,  best of luck.

That's not Kensington proper hence the price tag being so low, I would call that more city heights.  Will you be living in one of the units? Are the utilities separate?

I got the guy for you Tim. Pm you.

I own a four family in St. Louis that I bought cash, rehabbed it and put renters in it and now that I added that value to it I want to pull my cash out. The problem is I also purchased a four plex in San Diego before I was able to finance the St. Louis property. That's not necessarily a problem actually, the problem I am seeing when I run the numbers is that my debt. to income now won't let me finance the St. louis property. The St. Louis property has a DSCR well above 1.35 and it is the subject property so I would think I wouldn't have an issue. The San Diego property because I got an owner financed loan only has three out of four units rented so it appears like it doesn't cash flow that great and of course its california so the numbers are different. Here is where it gets a little more interesting. I tried to finance the property with one bank, a big one many of you know of them they are advertised on Bigger Pockets constantly. They said I needed an entity to finance the property, I have been avoiding the LLC, LLP or Corp. because I am trying to avoid the 800 dollar fee annually. They said one of the entity options was an Illinois land trust. We looked into the Illinois land trust and that seemed to be a good option for us, so we had our lawyer set it up. 1000 dollars later when we are about to get the appraisal ordered the bank says they want to see the entity paper work. I send them the paper work and they say they can't do the loan if the entity is a land trust. They apologized to our Lawyer for telling us that was an option but this is where we are now. What should we do? I need to pull that money out of course to move forward. Thank you for any advise.

Thanks Chris I will definitely look into them. 

Thanks Justin what's the cost of a sub meter BTW? I have thought of just doing the RUBS calculation myself as I have just put a new tenant under lease  and their new lease says they are responsible for all utilities.  An actual sub meter sounds more concrete. Easy to install I would imagine. I will let you know my findings.  

Does anybody have any knowledge of a sub metering company in San Diego? There is one I know of but they charge 150$ monthly which isn't cost effective when the most units I have on one property is four.  That would be 150$ per property, that seems way real steep.  Thanks

I use Eric Knutson, and am currently in escrow on a four plex with him now. He's very thorough, goes above and beyond and is very knowledgeable on the rental/investment market. I'll send you a message with his info.