All Forum Posts by: Jason G.

From their website: 

"What are HomeUnion Fees?

Since HomeUnion handles the whole process of identification, acquisition, and property management, our fees are broken into two – Asset Acquisition (3.5% of the purchase price) and Asset Management (10.5% of monthly rent). These are minimal fees for all the time and effort we save you. Each property in our investor portal has our fees built into the Yield."  

Leaseholding means that you do not own the property, but can use it for a certain period of time, after which is reverts back to the lessor.  So whether it is beneficial or not depends on how long is the lease for, how the market is, and if you need financing, whether you can obtain it or not since it is a leasehold. 

Also with the HELOCs, my understanding is that they are typically ten years of interest only payments and then twenty of principal + interest, so just make sure that if you aren't paying back the principal during the initial ten years on those properties that once the ten year mark hits you can afford the additional principal payments that will kick in.

I would take the one million.  The cash flow that could be obtained by putting that into investment properties will likely be more than the $5,000 a month and you are gaining appreciation of the properties.  

I am using Tru Mortgage to finance my first SFH in Georgia.

With respect to Roofstock, their properties listed are not all tenant occupied, but within each property profile page it clearly states which are vacant and for the ones that are occupied there is detailed information relating to when the lease ends and what the tenant is responsible for.  They also do not list a typical neighborhood class grade (e.g., A, B, C, and D), but rather have a five star rating system for the neighborhood.  While they do not rehab a property or manage the property, their certified properties are in fairly good shape and their inspection report lists expected costs for anticipated work that needs to be done and they also have connections with property management companies that they can connect you with to manage the property for you.

Survey Complete.

It all depends on what your risk tolerance is and comfort level.  A property management company will charge 6-10% of your rent plus other fees associated with placing tenants, evictions, maintenance, etc.

@Zach Evanish, thank you.  

@Zach Evanish, I understand that.  I was never under the impression that Roofstock influenced the outcome of the third party inspections.