All Forum Posts by: Jeff F.

That is awesome! I wish I had that sort of responsibility and foresight when I was your age. Are you looking for another rental or what is your current focus? @Erick Michael Ford

hi @Rich Baer 

what is this called? I talked to an attorney this week about a warranty deed to do this exact thing, but he said it may trigger the due on sale clause. 

I wont be selling the property, I will be just keeping the loan in my name, but would like the tenants and the property held by the LLC

@Don Ireland 

Just name your LLC something generic for this property.

hey @Stephen Hundley how have you been financing your other deals?

Hi @Anna N.

If you are planning to live one one, I would suggest using FHA financing as it only requires 3.5% down. This will allow you to use the rest of your savings for other units if you need.

As for the 8-10 unit property, you wont really (I dont think) get any interest breaks for living in it, as it's considered a commercial property and you will need a commercial loan for it.  

Since you wont get better terms if you're living in the commercial unit, you can use your savings for that if you like and purchase the multi unit on FHA financing.

just keep calling banks and mortgage brokers until one says yes. You can use FHA on up to a 4 unit property if you plan on living there.

I had a bank tell me no so I called one who would do the deal. It didn't take me long to find one 

the market here in cheyenne might be worth looking into as well. 

I agree Corey, and it was nice to chat with you a bit last night - Great work on that property as well.

@Cheryl Packham I didnt get to chat with you last night - next time.

Jeff

Do you have a reserve account for repairs, etc?

I'd put it there first. 

HI Corey -

Im in a similar situation, so I'll be following this thread but here are a few things to consider.

Im not sure what your lump sum is, but you mention that you're looking to live in one of the units in one of the properties that you select. If this is the case, try for an FHA loan so you'll only have to put 3.5% down. This will free up a lot of cash and allow you to get into more rentals if thats what you choose.

With FHA, you can get up to 4 units.

Also, I'd recommend keeping clear of 4+ unit properties, as those are considered commercial and they typically want more down. 

Just my advice.