All Forum Posts by: Vijaianand Thirunageswaram

LOL @Ethan G.

@Jerel Ehlert I think you missing the point. @Umair Alam wants 6k return per month for 100k investment not for 300k investment sir!!

@Umair Alam wow! 6% monthly I never seen it. Even private lending you can do 12% yearly with 3 points which won't even come close. Let us know if you find any way to hit your jackpot, we will all follow suit.

Howdy Houston folks,

I am sure many of you are looking forward for a great holiday break. Thank you all who able to attend our Holiday Party last Tuesday. It was great to meet so many of you and talk in person. Will do it again next year.

It's time to share your 2019 success and plans for 2020. We had a great year, made some good deals happen, built a home and plan to build more homes next year. We did 1 Wholesale, 3 Flips, 1 New construction, 5 Rehabs, 2 Owner finance and 1 Rental. 

More importantly, I was fortunate and grateful to help out and work on deals with many BP Investors whether its to build their portfolio or capital growth. Thank you all for trusting me with your investments. 

Let's hear it from others... Even if you haven't made any deals this year yet, what's your plan for 2020?  Shout it out loud so you feel that you own it :-)

Wishing you all Happy Holidays and Awesome 2020!!

Vijai

@Umair Alam $100k is good amount but not enough for private lending on your own unless you want to lend for small project. You can only lend for someone who is doing project less than $100k which is not a bad start. Also what's expectation on your return? 

@Adam D Rinehart @Michael Barry There are legitimately good wholesalers out there who I work with to find my deals. They know me personally so we make the deal happen. I avoid working with big sharks like NWA, Networth etc., who always have the upper hand and doesn't work with you on numbers. They care for their numbers not yours and not for long term relationship. So watch out.

@Adam D Rinehart brought up pretty important topic in real estate investing. Exit Strategy which is really important in any business including real estate investing before going into it. Depending on strategy it gets tough and let me share and also correct/add few things what Adam mentioned from my experience. Experience is best teacher :-)

On the BRRR strategy, cash out refi is critical and your lender is important. Never ever use Chase, BOA or Wellsfargo for your investment properties. They never can understand your importance of investment and they always play by books. Always try to work with local mortgage brokers who deal with small lenders. There are plenty of them around in every state and city. Even among them, work with someone who works with investors not just with home owners. They know the rules and limitations.

As per seasoning, it's 6 month seasoning for FNME not 1 year and it's only needed if you refinanced earlier with another lender. If you used Private lender who is on the lien, you don't need to wait for 6 months. If you used all your cash funds, using delayed financing, you can refinance anytime. They used to within 1 month but recently I heard you can do it anytime. So it all depends on the lender. FNME gives guidelines and some needs to be followed and some are just recommendations for the lenders to sell their loan in the secondary market. If the lender is very strict they go with 100% what FNME says and most of them they are not. So it's important to know who is the lender and whether they worked with investors in the past. 

Local banks are good but there are not many who are willing to work with residential investments. Most of them like to do Commercial. You can try and see. 

Coming back to exit strategy, you need to be fluid about it and change according to the strategy so you don't get stuck and regret about it. For example, I started project this year on flip and we couldn't able to sell it after waiting 2 months so we switched to rental & owner finance. We refinanced the property and paid back the private lenders and rented out immediately so we have funds coming instead of accruing interest every month. We might do owner finance later to tenant or put back in market later point.  

Make your way out before entering... 

@Swetha Narayanan I see now you have clear idea and asking right questions and many suggested good avenues to venture. You just need to decide whether which route is better for you and whether you really want to take that route instead putting money somewhere else. 

Many people bought condos and Townhomes in Disney World florida area during downturn and thought they will use it often as family as well. Is it really worth an investment wise instead of renting a place whenever you and put money somewhere else? I have both ways. It depends on many factors. I would request you to put things on the paper instead sorting through in your mind. It always helps to see it in black and white..

@Michael Barry You are on the right track sir!  As I learned from experience, I tell investors that in Real estate, "Action trumps Knowledge". 

Let me know if you need anything. I can refer mortgage broker which I use and few investors used in this forum.

@Michael Barry Welcome to BP Houston forurm! I see you have sketched out your short term and long term plans. That's great to see. You also mentioned what you need to do next to get going.. Good job on that as well. Now you just need to put down some milestone and start hitting them. Like getting preapproved for conventional by Jan/Feb, make offers by end of Feb. That way you are not shooting in dark and going against the goal. 

Let me know if you need any help with running numbers.