All Forum Posts by: Jeff Dulla

@Michael Nosbaum Where specifically in Will?

@Kurt K. - Welcome and yes - find good agents that know the city and will be in front of properties before they hit the market. Just PM me if you want any contacts.

@Josh Sniegowski Welcome Josh and good luck starting out! It is a fun and exciting time in real estate for sure. 

@Sal Mazzone Curious as to the solution myself to see if I was on the right track. I was thinking that it shouldn't matter if they hit you with those debts as they are going to give you rental credit for them. 

Conforming rules allow for you now to convert your primary to an investment, regardless of your equity position.

As for the Duplex, they should be able to utilize a rent schedule, done by the appraiser, included on the appraisal, in order to offset a large percentage of the PITI.

@Devin Jhon Any type of installment loan, especially a secured installment loan, is an ideal trade line and should definitely help your credit score. Credit cards are easy too but you just need to keep the balance at  a threshold of lower than 33% of the limit. 

@Nick Zias That is something that is situational and needs to be assessed. If cashing out after everything is done, kills your cash flow, then you probably shouldn't do it or you shouldn't pursue that property if you are pinning your strategy on the BRRRR method.

@Nick Zias if there is nothing wrong with the property to stop you from financing, then I would finance up front. That will allow you to conserve cash - which you can read a bunch of the posts on here as to why that's important - but very simply, then you can pay contractors with the cash you have on hand. 

I think you are also mixing this up with why you would potentially refinance again when it's all done. That is because the value then would have hypothetically increased allowing you to pull more or all of your cash back out of the deal. Allowing you to line up your next investment purchase.

@Gary Krautwurst the answer isn't always that simple. It has to pass the "smell" test of an underwriter. Does it make sense? How nice/big is your current home in town? How does the multi-unit compare? Is your wife willing to move in? Will you put the current home on the market or turn into a rental?

To me, how many days a week you use it is an issue but not quite as big as the fact you are saying you have another home in town that your wife is going to stay in. For your primary, as long as your company allows you to live there, you are truly living, you don't have a home in the location you are working in, etc, then it could your primary. 

But I couldn't imagine an underwriter being ok with this unless your wife was planning to move in and you were getting rid of current primary or show them you have a lease on it.

@Richard Florestan I am a pretty busy originator and I still find time to respond. I allow my clients to text me so I am particularly quick through that. I guess I would start by asking the LO what the best ways are to communicate with them, what times they are available and for them to lay out the entire process for you - one day for preapproval, three days for loan submission, five days for underwriting, seven days for appraisal, etc.

People typically find the LO most responsive up to the point your loan is submitted. If they aren't all over you up to that point, I guess I would worry. A lot of times they get more silent as your loan enters the processing and underwriting process because your loan is sitting in queue and there is no update or the work being done is incomplete and any update would be superfluous and lead to non productive questions.

But a good LO should be all over you on the front end, regardless of volume of work.

@Zach Shatto I am not qualified to answer the legality of anything so I would seek out an attorney to talk with. However, I can tell you that I have seen many investors who choose to personally sign for the loan and then quit claim into LLC. An attorney can explain to you the clause that could be initiated and what that means.

The advantages of doing it your names and moving it are lower/stable rates, lower down payment, typically lower costs. I would guess that many people on this website got their start in that manner.