All Forum Posts by: John Broussard

The income is what determines what the value of the property is, to calculate you need to know the NOI and cap rate. NOI divided by cap rate = property value. Commercial properties require 20 to 25% downpayment.

Hi Krystal,

I would also suggest attending several of the meetup functions, you can go to meetup.com and see when they are meeting. You will meet other wholesalers, lenders, real estate investors and investor who will partner with you on deals. As far as a website you can go to wix.com and set up a free website to get started. Business cards are a must along with postcards and letters.

Welcome to the community Tina,

This is a great place to learn and create a successful real estate investing career. I am on the financing side of the business, if you have any questions feel free to ask.

There is no such thing as 100% financing, you may want to partner up with someone on your first deal or going the wholesale route to build up capital for a  down payment or to do a couple of fix and flip deals.

Cash is King and with cash you have options. Not sure what your credit is but if your sitting on 250K you could take out a LOC for up to 1MM to acquire properties and keep most of your cash. OPM is a strategy that works well. Another option instead of multiple closing is to obtain a blanket mortgage on several properties, LTV's up to 75% and no limit to the amount of properties you can put under one mortgage. You can also do the fix and flip route or the buy-fix-rent option where as the hard money acquisition and rehab loan converts into a conventional loan.

I would recommend the Jet Lending meet up at the Texans Grill, great networking event.

Welcome Alvin,

You are in the right community to gain a wealth on knowledge from experienced, successful real estate investors. I am on the financing side of the business so any questions you have in that regard feel free to ask. Good Luck!

There are numerous options when it come to fix and flip loans, terms could range from 75 to 90% of the purchase price and 75 to 100% of the rehab cost or 70 to 75% of the ARV. Loans are usually 6 to 12 months with interest only payments. Finding the right fit would depend on how much cash you have in the bank, experience and credit score. Adding your name to a mortgage is not required to qualify for fix & flip loans.

Hi Desian,

Welcome to the community, you are in the right place to learn and network with successful real estate investors. I am on the financing side of the business, if you ever have any question feel free to ask. Good Luck!

Buying under a LLC does provide a level of protection and most investors prefer to do business under a LLC. Using a LLC will require a gurantor on the loan as well. There are a few non recourse options available for blanket loans starting at 500K, term are from 5 to 10 years with stiff penalties if you refi out before the 5 or 10 yr term. This penalty is called yield maintenance. There is also the 3/1, 5/1. 7/1, and 30 yr fixed rate options available un a LLC.