All Forum Posts by: Jeff W.

I have found a commercial property where the owner is willing to finance 20%. My question, as I am unfamiliar with commercial properties, is whether a bank will accept this, or will they require the money down to be directly from me?

Just to be clear, I'm trying to get the bank to finance 80% and the owner the other 20% (or 75% and 25%).

Originally posted by Arlu Tejada:

Hey Jeff I have a quick question. I am also trying to work/volunteer in a real estate agency or mortgage company.
I want to be exposed to that environment. I feel like you are really learning a lot from your job. Can you tell me how you got that job? or a process to it. What should I do?

I have been thinking about that for a while now. I about the same age as you and I am trying to get involved in the real estate investing game. But I really want to know more about real estate agency or mortgaging. Bottom line is I want to do somewhat what your doing. I want to file stuff, I want to know how the real estate works. lol. Suggestions??? Thanks man.

Sure! I'd be glad to. Well, I actually worked at a dead end job at a pool supply store, when I started wanting to earn more money, so I scoured the ads (craigslist, newspaper) until I found a job at a Land Development firm, the description being for a runner (meaning basically I'd pick up and drop off documents). Well I got that job, and as I got more used to it, they started giving me more and more responsibilities. Soon enough, I was getting blueprints approved by city officials, going to city council planning commissions and meeting with engineers. Well, I stupidly quit that job for a job at a waterpark the next summer and when I wanted back they weren't hiring, so I went back to the dead end pool supply store. Soon enough I found myself scouring the ads again. Then I saw the job as an "Assistant" at a brokers firm. I applied, told them of the experience I had making invoices, meeting with city officials, and doing general real estate research at the other company and BAM, I got it. Within the first week I started they asked me to get certified as an Assistant Realtor (basically taking a 2 hour class) and then I had MLS access. Now I am comfortably into the job (about a month and a half in) and I have the ability to research my own properties, handle closings, and am familiar with many documents and loan processes.

My next plan is to attend my local community college (in my spare time) to get an Associate Degree in Financial Management and work as a Mortgage Broker (or at least work my way up there).

So the bottom line is find a job in the line of work you want to be in, no matter how far down the totem pole you will be and make it known you want to work your way up.

Originally posted by Jon Holdman:

Who owns the home? Banks typically leave electricity on, at least around here. But they turn off water and gas. Usually, you can get the utilities turned back on for an inspection. In the winter, we get hit for a "dewinterization fee", typically $200-300.

If that's impossible, it gets more complex. You can hook up compressed air to the water system. You can use a portable generator and hook up to the electrical system. That's how the HUD inspectors do it.

Department of Veterans Affairs owns the home. All utilities are off. I put in an offer today. I plan on getting the inspection in the next few days, so I guess I need to call them and ask turn on utilities. Thanks!

So I'm looking at a foreclosed home. All utilities are off. Well obviously I want an inspection before I buy. The air conditioner looks bad, but I don't know for sure. How do I get it tested to see if it works with no electricity, or how does the inspector test other aspects if the utilities are off?

Thank you.

Originally posted by Kirk B:

I do believe that the sale of a house supercedes a lease agreement. You can terminate that leade agreement when you buy the property. I would consult with a lawyer first, but I would take the risk.

It is very difficult to prove intent.

It doesn't. But I did look at the house yesterday, and even though it is rented out to one individual, there are 5-6 people (who I believe to be illegal) living there, which is easily grounds for lease termination.

Even though you have no overhead, you won't be able to get approved for more than 800-900 per month, which will not get you much of a house. Then you have to deal with if you get called away all the sudden. How are you going to receive rent (what if you rent it out to an airman and he gets sent away?), and how will you pay the mortgage, and how will you sell if you get shipped away suddenly?

Also, will you be stationed in the US? It will be very hard to get a loan outside of the US.

Originally posted by Josh Green:

oops, must occupy within 60 days....

http://www.hud.gov/offices/adm/hudclips/handbooks/hsgh/4155.1/41551c1HSGH.pdf

Thank you so much for the information. What if I agreed to just rent a room from the people renting one side of the duplex? Would that work?

I read over the document and from everything I can tell, it would work.

Originally posted by Josh Green:

this is more of an ethics test and less of a 'can i get away with...' one.

Ok, well ethically I intend to live in it. I just can't break the current leases in place. If I am upfront and honest with the lender and still try FHA, will they allow it if I won't actually live there for 6 months?

Ok, so I know the rules on FHA state that I have to live there. Well, I've been looking at a few houses/duplexes, that are currently rented out, but the lease expires within 6 months.

Can I buy these FHA and then proceed to live in them after 6 months? Will anybody check up on me to make sure I actually live there or will changing the address on my drivers license be enough?

If you want to do this 100% legally, then the home must be zoned as commercial as well as residential. Check with your City to find out what it is zoned, but if you are in a neighborhood, the chances are good that it is just residential.