All Forum Posts by: Jake Williams

Thanks @Amber Gonion! I just reached out to them to inquire about their line of credit that they offer.

Thank you for that info @Andrew Postell and @Chance Love.

I am hearing that HELOC is intended to be used on your personal residence and that a Line of Credit can be used in a similar way on an investment property. Is this a generally accurate statement? Are there other differences between a HELOC and a general LOC?

Does anyone have a lender recommendation in Minnesota that regularly deals with lines of credit on an investment properties?

Hi @John Gauger welcome!

I am also a newbie real estate investor in the twin cities area. I would reiterate what @Jeff Schemmel said about meetups and networking in person. I am trying my best at both of these to get the connections with folks that will help facilitate my investing goals. I am not going into each conversation looking for a mentor but instead going in thinking how can I add value to them and how could I leverage their skills to assist me along in my career as well. I would love to connect and chat more about what's happening in the metro area. I know that there is a very small meetup/flip tour happening tonight and I can share that with you if you'd like to send me a message. 

Meetups are coming back, some virtual and some in person, but its important to put yourself out there and surround yourself with people who are doing what you'd like to do.

Hey Brent,

It sounds like my wife and I are in a similar position to you. We have some capital but not enough to fund an entire deal. We are also considering taking on partners in our first formal deal, but my wife is hesitant, rightfully so. I am putting in a lot of the leg work to clarify all of the details of partnering or doing a joint venture with some of my close personal connections and I would be happy to connect and share what I learn as I go along.

We are hoping to buy a property in the next 12 months, ideally a multi-family for the cash flow, but maybe SFR since that is our comfort zone. We are nearing completion on our live-in flip of our personal residence and will likely utilize a HELOC of the equity we have created to fund our first deal.

@Daniel Anshus & @Donna McMenamin

My wife and I are newbie real estate investors and are looking to take the next step in our investing. We are planning to finish renovations on our current live-in flip and make it a rental here within the next 6 months. We are currently shopping loan products to determine the best way to make this happen. 

I am always looking to network with other local investors through BP and have been hoping to find some meetups to start attending as well.

I look forward to speaking with both of you!

I should clarify that our intention was to get a HELOC against our equity and purchase a new personal residence, likely with the HELOC money as a down payment.

My wife and I are nearing completion on the renovation of our primary residence in Eden Prairie Minnesota. We planned to get our home reappraised and take out a HELOC against the equity (~$100k). I am having conversations with lenders about HELOC rates and I am hearing that they require us to sign an Occupancy Statement that agrees that the home is and will continue to be our primary residence. I can't in good faith sign something like this with my intention being otherwise. We could pivot and go for purchasing a rental property next instead of making our current home a rental, but that would change our trajectory and probably take some convincing on my wife's end.

Is this a one off for this bank or is that common for the HELOC loan product? We may need to look more seriously at a cash out refinance in our situation. How do closing costs compare between a HELOC loan and a cash out refinance? We refinanced in April of 2020 when rates were dropping like crazy and our plan was for a HELOC, so another refinance would be costly from a closing cost standpoint.

Thanks for any advice!

Welcome Anthony! I have been a member here for a couple years now, but am probably in a similar stage in my REI with my wife. We are nearing completion of a DIY live-in flip in Eden Prairie Minnesota and are now pursuing options on where to go from here. We are getting quotes for HELOC and Cash out Refinance with the hopes of holding the property and take advantage of the appreciation we are seeing in the Twin Cities Metro. I am by no means an expert, but I may be able to provide some insight into my DIY renovation experience, refinancing, SFR rental in the west metro, and I am happy to share details about our current situation and how we end up exiting/holding the property. DM me and I'd be happy to talk more.

@Tim Swierczek

Thanks for the advice Tim. That is definitely my intention if all goes well

Trying to find a respectable property manager in Minnesota, the twin cities.

I am faced with a career change and I think finding a consistent job at a reputable property manager or another real estate business would be a good next step in my real estate investment.

Any opinions on a good field seek entry into or a good company to inquire into would be much appreciated.