All Forum Posts by: Derek Simkins

 I appreciate you reaching out to your friend. Means a lot especially with moving to a new area. 

I'll have to look into a bridge loan. The deal has a bunch of meat on the bone, I can meet those terms.

If there any partners with $250K cash, I'm more than happy to talk numbers. I haven't had any luck so far. 

I have been trying to convince seller to wait for me to get the mortgage and have already started the process.

These are all really great ideas!

Thanks for your insight, Mitch! 

I think that may be the puzzle piece I was looking for.

Also, thank you for the warm welcome and I will definitely be at the BP meet ups! I look forward to meeting y'all

Thanks everyone for your input a suggestions!

I have tried a handful of residential hard money lenders but none of them want to do owner-occupied. My private money lender network is very small but the couple that I did contact said they were not interested before seeing the numbers.

I see the negative and why they wouldn't want to do that. On the other hand, I feel like there should be local investors that lend on these types of projects to better serve the community. 

You make a great point, the seller and I have built a great relationship and he really wants us to live there to continue his family's legacy. Maybe I'm over-thinking this whole situation and just need to convince him to wait a couple months for us to get financing. 

Thanks Scott! 

The property is not habitable right now but could be with about 20K. I can get the process on an FHA/203(k) loan started but the seller is ultimately wanting cash soon and wants to avoid seller/buyer agents.

What about owner-occupied flips makes a lender turn the other way, even with a high return for them and instant equity for me? Seems like a win-win 

I am badly wanting to get out of Tampa, FL and move to the greater Asheville area to be closer to family. I found an incredible deal with a high ROI but not a single lender wants to lend on it because it is going to be owner-occupied after the flip. I have a few properties in Tampa, FL with a considerable amount of equity and have offered those as collateral but still no luck. Local banks seem confused by my plan. Is there any other way to get cash/hard money for this deal without selling my portfolio?

Thanks in advance!

That's exactly what I did! The only catch is you have to live in one of the units for a year when using VA, FHA, or primary residence conventional loans.

Thanks everyone! 

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $590,000
Cash invested: $52,000

- Plan to live in 1 unit for a year and turn the other 2 units into short-term rentals by 15 March 2023
- Currently under cosmetic renovation and stocking short-term rental necessities
- Projected Cash Flow first year: $299/mo
- Projected Cash Flow after 1 year: $1,549/mo
- Has a beautiful mural of cats on the front

Lessons learned? Challenges?

Y'all are not joking about it getting harder to get traditional lending as you get more properties. Luckily my lender was very knowledgeable and motivated. I learned so, so much about the financing and what it takes to start, not only 1, but 2 short-term rentals at the same time!

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

- Jeffery Nietupski, Real Estate Broker at Sunbay Real Estate
- Lucie Tighe, Short-term Property Management at Grand Welcome
- Tommy Whitehead, Florida Licensed Contractor\Renovation Management, REO\REIT Rehab, & Property Preservation Contractor at TomCo Solutions Inc
- Drake Beaulieu, VP of Mortgage Lending at Guaranteed Rate
- Frederic Llana, Licensed Insurance Agent at Goosehead Insurance Agency

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Clearwater.

Purchase price: $285,000
Cash invested: $10,000

Solid duplex 10 minutes from Clearwater Beach.

Monthly Cash Flow: $349/mo

Lessons learned? Challenges?

A tree fell in the back yard and pulled the electric meter and all the wires off of the house and thank goodness it didn't hit the house! I learned how to deal with tenants in an emergency.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

- Real Estate Broker: Jeffery Nietupski
- Long-term Property Management: Jeremy Kloter