All Forum Posts by: Account Closed

Thanks for the feedback.  Any other ideas out there?

Harrison

I agree that the cash flow is not good.  I'd want to either try and wholesale or flip this one, but there has to be value that I'm having troubling finding....

BP Experts - 

I've got my first motivated seller from direct mail campaign and I'm wondering if there's a way to unlock value from the situation.  The owner is retiring and moving to the Philippines, but I wouldn't call him a "motivated" seller.  He's interviewing realtors next week so I want to make a move, I have to soon before it hits the market.

Location: Houston, TX (West U)

Fair Market Value: $650k

Asking Price: $650k

Owner open to subject to (me paying his mortgage): Outstanding balance of $270k, 3.5% 30 year mortgage with monthly payments of $2350

Market Rent: $3000-3500

Owner also open to Owner financing at 5%

Is there anyway to unlock value given the financials?  Or is it too hard given that he wants to get exactly market value?  I'm thinking maybe I can convince him to come down 6-10% bc of realtor fees and closing costs, but it's still not enough spread, unless I can come up with something creative finance-wise.  I definitely feel like there's something here, but I also don't want to fall in a love with the deal and want to walk away if it doesn't make sense.

Thanks in advance for everyone's help!

Harrison

All - 

I have two residential investment properties in College Station I own debt free (value is $180k each) and am looking to do a cash out refi into my LLC to free up cash to invest in Houston. I'm looking to build a good, long-term relationship with a local bank that is flexible and easy to work with. I'm also looking to setup a line of credit for flexibility for future investments that need quick cash.

Does anyone here have a good bank recommendation and contacts at those banks?

I have a great credit score, very strong balance sheet, etc.  I've called probably 20 banks (both large and small) and have found two that seem to know what they're doing (Icon and Prosperity), while the rest say something like "we don't do home equity loans on investment properties" and I try to explain what I'm trying to do and how the houses should be able to secure a loan.  Maybe I'm just not doing a good job of explaining it, or most banks really don't do stuff like this, but it seems pretty straightforward. 

Given all this, I figured I'd reach out to the experts here for some recommendations.  With the impending rate hikes, I want to lock up as much debt at a low rate as I can.

Thanks in advance!

Harrison

thanks for all the input! After doing research it still looks promising, but HOA fees are killer

Hey Houston BPers - 

I've been doing a lot of research on utilizing Airbnb for your rental properties, rather than a traditional lease and wanted to start a thread for those interested and have experience in the space, particularly in Houston.  I'd like to talk about regulations (existing and coming in the future), numbers, areas, tips, etc.

The first big question I have is around regulations, are there any big ones and are there any regulations coming in the future that could impact this business model?

I'm thinking about building a portfolio of 1/1's around the loop and utilizing Airbnb.

Harrison

I'm new to BP and I found this thread entertaining.  John Thedford - you keep using an example where an uneducated out of town owner sells their house to a wholesalers as "unethical", etc. but in my mind, if someone is dumb and doesn't know what their OWN property is worth, how is that anyone's fault but there own?  I'm personally not the biggest fan of most wholesalers either but in a lot of cases, if the buyer from a wholesaler or seller to a wholesaler did the tiniest bit of due diligence they wouldn't get "taken advantage of" but I see it as just a part of business...