All Forum Posts by: Jason G.

Hi Jason, great review and updates! Can you give your input on sorting out initial properties that work on Roofstock.  

What I’m doing is narrowing my areas to cities I think have potential (i.e. San Antonio). I then drag the down payment to 20% and see if the property still cash flows according to Roofstock numbers.

Last step is to do my own research in the area and make sure the current/projected rents are accurate along with the other numbers.

If it still cash flows a couple hundred a month, would that be considered a winner?

I guess my main question is, how do you narrow down the properties (once you choose a region such as ATL for yourself) enough to consider making an offer.

To be honest, so many houses look profitable on the website but I didn’t get too deep into verifying rents, etc.

Has anyone been successful in getting an Equity Line of Credit approved on their Homestead when owning more than 4 investment properties in addition to their Homestead?

... I own my homestead and 11 rental properties and Wells Fargo told me that in the industry no one will approve me an ELOC when I own more that 4 properties in addition to my homestead. 10 properties have conventional loans.

Any experience with this or comments will be appreciated !  My plan was to establish an ELOC on my homestead to make more investments.

Thanks.

Adriel Ramirez.

Thanks for this thorough, detailed accounting of your experience with Roofstock, Jason. Coming from someone who appears to have experience with other deals through more traditional channels, it's even more useful. 

How has the experience been since purchase? Any surprises with the tenant, or with any local rules/regs that have offered a learning experience for you and your partner? 

Has anyone tried Roofstock as a rental property strategy? If so how did it workout for you?

@Jason G. Also, would you suggest local credit unions or online banks to get the HELOC?

Thanks, @Ed Matson!

Another question for clarification: what does it mean for a commercial loan to have a 10-year term and a 20-year amortization? Does that mean that the payments for 10 years are based on a 20-year amortization schedule, and then at the end of 10 years, the balance of the principle is due?

@Jim Truman There are a couple of way people are getting that cashflow on a monthly basis. Either by buying under market value, and adding value through renovations, by paying cash for the property, or self managing. 

If you are buying a property on Roofstock, chances are 1) You are paying full market value for the property, with no opportunity to add value yourself 2) You are buying the retail property with a traditional mortgage 3) You are an OOS investor who will need to pay for a Property Manager. 

That is why you aren't finding higher cash-flow deals. Buying a property at full retail value (on Roofstock), the cashflow you are gonna get is hopefully just enough to cover all your expenses and leave a reserve for when bad things happen, at the same time, the rent is paying down your loan so after 30 years you have a free-and-clear asset. 

Hi,

Given recent environment of wild fires, hurricanes, etc. What is best strategy to identify gaps in insurance coverage for landlord ? 

Some where I heard that named storms may not be covered, etc.

Insurance agents only explain what is in policy but in my experience havent been able to tell what is not covered.

How do you identify coverage gaps in your landlord insurance ?

@Larry T. The only thing that intimidates me with a HELOC is that its not a fixed rate. Also, because it cancels out the income from my first duplex, it only makes my passive income coming from the one I just bought. So I am breaking even on the first duplex tell I own it or tell I can raise the rents. Is that normal?

I've been doing research for a while now, and there is some awesome info out there. Alot of the advice is "Do the deal". 

Step by step guides are all the same: Find property, make offer, get contract, find buyer, close.

If someone needs specifics, that'll be $20,000+ with no guarantee of success. 

I'm all for splitting a deal with a mentor, or even working for free for a while to learn, but no one seems to see the dichotomy.

Create a business with no money, no credit, etc. Buy my program for $xxxx.xx and find out how. 

I'm not creating a business with no money, I'm buying a very expensive franchise. 

So, Finding property, not too hard. Make an offer, use Zillow/ don't use Zillow for info. Get contract, guess what that means. Find buyer, talk to anyone, anywhere/ don't talk to just anyone. Close with cash/hard money/CC/IRA.

Seriously. I paid for the "seminar". Everyone says the last guy I talked to is a crook. A lot of experts with nothing to say. 

Anyone else see this?