All Forum Posts by: Jared Sanderson

@Tom Canterino

Hi Tom - question, what disqualifies you from FHA given your investment properties? As long as the FHA property is owner occupied for at least one year, I didn't think there is a problem. Many people house hack with FHA, live there a year, refi and do another FHA house hack for the next. May have missed your point, sorry if so!

Jim Wilcox thanks Jim! I’m looking into private lenders now as well based on feedback here. If you can believe it, the hardest part so far has been able to get into the building. Tomorrow will be the 4th call to the realty company that has the listing. Her guy never showed up on Friday to let me in.

Great job, Kurt! Question: I’ve been interviewing a few HML to do my first deal I hope to dive into soon. How was your experience with Groundfloor?

@Kris Wong apologize in advance of slightly hijacking this post.

I was reading it and wanted to ask you a question: I’ve been analyzing my first deal and at my exit strategy point. I want to do the same thing you mention - buy with hard money, rehab, place tenants, refi. What has been your refi strategy?  Without having >2 years of rental income to count, what options do I have?

@Timmi Ryerson This property is on sewer.  Great point on checking the lines and connection!  Wouldn't have thought about that since I've never done it on my personal homes.  Knowing the property has been vacant for some time, I'm going to see what kind of prices I can get on electric and plumbing redo.  Electric for safety and probably insurance, plumbing to remove copper to prevent...or probably minimize...any damage trying to get the copper pipes.  I'll have peace of mind knowing those two things are done and won't have to be touched for a very long time.

@James Wilcox I'm probably going HML to fund this. I'm trying to figure out the best exit strategy as I want to keep this property. Any thoughts/have you done something similar? Because I don't have >2 years of rental income under my belt, what options are there to refi the hard money into long term financing to make this bad boy cash flow?

HVAC guy will be coming for the walk thru, I'm not expecting much in terms of functional anything on property, just need to get the rehab budget accurate for everything involved.  I've done 2 rehabs on my own personal residences (current house closer in shape to this 4plex), definitely not afraid to take on the risk...I just need to know what those risks are.  I'll take a listen to #234, thanks!

Jim Wilcox More info would have helped out! Sorry I️ missed in my original message: property is vacant and not in rentable shape. Rehab would bring it up to snuff and need CO from the town. It’s not a complete dump - I’ve seen worse in my search, but it will be a fun renovation! From what I️ know right now, there are no common areas so I️ was projecting keeping the unit(s) climate controlled while vacant. Is that reasonable, too high, none of the above? Building has separate utilities so tenant pays all. Appreciate your other thoughts, thank you. @Roy N Didn’t think about the trash pickup, I’ll have to research that answer, not sure if it’s included as part of the property taxes number. Agree on bumping to 10%. Thanks on the CapEx explanation, missed that one!

Evenin' BP! Looking to purchase my first rental and found a 4plex I'm interested in. Rents are $800/unit...probably fetch a bit more with updated units but using $800 for my analysis. C- neighborhood, only looking at it to cash flow. Price is $63k, will need good amount of rehab. First glance estimating $40k but going to walk thru with contractor to know with more certainty. Assuming that rehab budget...are my other numbers reasonable? Since units will be rehabbed, I feel I'm assuming too much in repairs and CapEx. I've got a management number, may do it myself but have it in there. What else am I missing?

Appreciative to all opinions, constructive and otherwise.  Am I bat**** crazy on this one?

Anyone else already investing or looking at Gloucester City? I’m out of state but have family in and near-by that invests or rehabs some. I’ve been flirting with getting something there strictly for cash flow. A bit scared due to the area but I’ve found a few that the numbers would work assuming decent tenant(s). Any other towns nearby?

@Allan Rosso

hey Allan!  I used SoFi twice in the last year or so: student loan refi & recently to fund my personal residence renovation. I’ve since refi’d to pay it off (I needed funds faster than a refi due to a huge plumbing problem, ended up remodeling half the damn house - opportunity called!) but SoFi was incredibly easy to work with. Everything done online, a 47 second phone call (literally) to confirm everything, and funded extremely quick.

One thing to note: I’m pretty sure the terms of the personal loan state it cannot be used to purchase real estate, but I could be mistaken!  I don’t quite understand because you’re loaning me a personal loan, it’s for me to decide...

Either way, no complaints for SoFi.  Their CEO just did leave unexpectedly so don’t know what their future holds.