All Forum Posts by: Jason Shackleton

You would more be looking for a private investor or JV partner here opposed to a hard money loan to supply the down payment.

Hey @Jacob Hufford The biggest challenge is likley going to be getting that down payment. You will need a 25% down payment on a commercial deal.

Hey @Leticia Camunez-Hanby Yes most private money lenders need the properties to be at least 75k. However I know a lender that has no property price minimums. They would need to do the properties individually and not in a portfolio. The rates are higher but no one else I know of does this. 

@Jennifer Roberts That really depends on what I am trying to achieve. The strategy and answer becomes clear when you work back from a well defined goal.

If I were looking for high cash flow, likely a few STR's, If I wanted cash and to stay liquid I would look to flip, If I want equity growth I would likely do a few single family to legal 2-unit conversions for forced appreciation in a growing market. Could also BRRRR the new 2-unit at the end of the renovation If I wanted cash now and future equity. If my financing position (job) was expected to change in the next few years I would do one larger MF property so I will more easily be able to refinance in 5 years time.

@K Johnson I would for liability and asset protection reasons. From a taxation stand point it may not make sense if you ever only inted to have 1-2 properties as there are additional filling fees etc I believe for an LLC. I have heard that if you really intend to grow your portfolio than an LLC makes more sense.

From a financing perspective I would just have it for additional financing options. Many hard money lenders require you have an LLC to close a deal. You can still close in your personal name with most deals but why not also have the option to close in an LLC opening up additional lending options for youself?

Hey @Lea Hong I know of a lending company that does 25% of their business with foreign investors. They would know everything a foreign investor would need in order to close on an investment property. 

Hey @Jeffrey Long I don't know any lenders that fund down payments but there are lenders that do low down payments for fix and flip deals. Lenders will at times also fund up to 100% of the rehab costs. You may have equity in one of your three rentals that could be used for future down payments too. 

@Samir Patel I agree with what Jody said. With your very high income and ability to secure amazing financing you should consider larger multifamily properties. You mentioned not wanting to do the day to day tasks. Simply hire a property management company to do that work for you. 

You already have a great income from your business so you don't really need a highly cash flowing property. You won't be living off the cash flow from the property anytime soon. In your position you can focus more on wealth creation opposed to receiving max cash flow. 

@Cheryl Alarcon For an air bnb property you will be looking for a commercial loan. You do not need to pay cash. Paying cash will really hurt your ROI.

Hey @Sam K. I know of a lender that does ground up construction loans.