All Forum Posts by: Matt T.

There is FNMA financing for up to 10 properties but they place additional burdens on the borrower for the loans. My understanding is loans 1-4 only require you to show 2 months reserves for PITIA (pricinple, interest, taxes, insurance, association dues). In order to get loans 5-10 you must show 6 months PITIA for all properties financed. They will count funds in checking, savings, money markets, etc. Retirement and 401k type assets will only be counted at 70% of their current value.

Again, not an expert, but that is my understanding. My local credit union holds all their NOO loans in house but still underwrites per the FNMA guidelines. So, yes, I am continuing to obtain cash out financing in this tight market, but no, I have not found any ways around the guidelines.

My current residence was a foreclosure and needed a lot of work. I was a first time home buyer. If I had it to do all over I would have done it years earlier and purchased a duplex or triplex. Overall I'm extremely happy with the results as I was able to choose every interior detail.

Another great benefit is that in my area it is MUCH easier to pull permits for a personal residence (no GC required for most things). The only potential issue I can see would be getting financing if it needs extensive rehab.

I currently have nine properties and hold them all in my name. I have a fire policy on each of the occupied properties (two are vacant for flips) with $1,000,000 liability. I also have a $4,000,000 umbrella policy. I've kept them in my name because it's easier for me to get favorable financing terms. I'm not in anyway saying this is a good idea, its just what I've done so far. I'll be setting up an LLC on my next trip to the US and moving properties I don't intend to finance to it.

Joel, I was a Deputy Sheriff until 2006 and received a 50% discount from the complex in which I lived. I did a few laps around the parking lot, checked offices and took care of any issues I saw along the way. Did it stop crime? Not by a long shot. Did it reduce it some? Probably. It did not stop cars from being broken into and other crime that happen anywhere you have a large group living in close proximity.

I'd say, more than anything, it gave some residence a sense of security; whether real or just perceived. Without knowing how many units the complex is and the neighborhood it would be tough to determine whether or not it would be worth while. My complex was about 200 units so it was probably worth it to them. In a complex of 20 or less units I'd say, at least in my area, it probably wouldn't.

I never ran into the dangerous dog situation during an eviction but dealt with it on other occasions. At my department, if the eviction was scheduled it was going to happen, dog or no dog. We would have called out animal control to deal with the dog while we dealt with the tenant and you dealt with moving their belongings to the curb. If the tenant interfered with the process they would have been arrested (IA has a great charge of "Interference with Official Acts"). Could be a totally different situation in your area.

I have (well had until yesterday) a credit card with B of A. I live out of the country so rarely check statements; however, routinely pull my credit report. I noticed a $50 plus balance on my card. Called and found out there is now a $50 a year charge for the privilege of having their card. Also found out my interest rate is 19.9%! Asked for a lower rate and they said, "nothing lower is available at this time". 800 credit score and that is the best I can get? Account closed....B of A sucks

Bryan makes an excellent point; patience may be your best option. Do you currently have a job that will qualify you for a loan? If you will be staying in the area you can look for a duplex or triplex. Live in one unit and rent the others to offset expenses. Only having a "few thousand" in reserve would make things pretty tight.

Is this for a flip or buy and hold? Your budget and whether or not you have someone to pull permits for you could be factors. If there is no discoloration in the water and the plumbing is not leaking, you can get by without it in my area. Personally, I change everything to pex. PVC doesn't work for me due to the cold winters and I got tired of having the copper stripped by thieves.

As others have already stated, many people are having a difficult time finding lenders willing to do cash out loans on non owner occupied (NOO) residences. Do some leg work ahead of time to see if you can find a lender willing to do it. I've found one specific to my area but they require ownership for a minimum of six months before they consider it.

Also, the fact you are focusing on condos could make for additional problems. Many condo projects are "off limits" for bank financing. Banks often require a minimum percentage of units to be owner occupied. The number of vacant units and investor units will hurt you.

Sorry you are stuck in this situation. Maybe try throwing out a post in the networking section of BP looking for recommendations for Atlanta area property managers. I personally would cut your losses with this group. It seems paying them the commission for the remaining ten months and paying a competent manager might turn out cheaper than continuing to get gouged. I've written off a lot of my mistakes (and there have been plenty) as life lessons. Hopefully more experienced posters stop by here soon and have a better solution that I'm overlooking.

I pay a $50 call out for the first hour and then $20 an hour. Are you local or an out of town investor? Could make a difference in your options. I'd probably tell that "turn key" operation where they can turn their key.