All Forum Posts by: Jeremiah Lewis

I’ve posted about this before but never really landed on I guess a persuasive answer? Anyway I have a primary residence that I may have shot myself in the foot with. I refinanced to a 15 year @ 2.375% when I had the opportunity to save myself over $100,000 in interest. At the time I thought “well the payment is $1,710 if I can rent it for $1,700 I plan on just rounding off to $2,000 so I can pay it down quicker and move into a bigger equity position”. Equity position is currently about $60,000. Now I’m rethinking and had I went 30 year I could have pulled $500-$600 cash flow. I considered a refi back to 30 but rates are back up to 3.5%. On top of this I’m almost finished with a complete remodel that should push me into the $300,000 mark according to the appraiser. I’m wondering if I should just roll with the $1,700 plan, I get my number from my mortgage payment and Rentometer said $1,700 which I think is doable maybe. Or should I just finish my remodel and take the whatever it may be $85,000 after associated fees and reinvest it elsewhere? My big problem with this is the market where I’m at, a multi family that used to cash flow $1,000+ is now barley paying for itself. Just some thoughts I’d love to chat with y’all about more. I lean on renting it for the $1,700 and hoping I get a good renter that stays in it for a few years and loads my pocket with more equity, free money right?

Not sure if I put this in the right category. Anyway, I read, all I do is read and I have recently stumbled into something that sparked an idea but I guess I'm not sure if it works the way I interpreted it? Scenario: I have my SFR I owe $200,000 on, it last appraised at $257,000. I want to turn that into a rental, however I want to form my corporation first and sell my house to my corporation. Can I do something like okay corporation is buying the house from me, I require

$10,000 down payment on closing from the sale price, and then just keep buying houses in my name and selling them to my corporation? Obviously the $10,000 thing would only work if there was known equity in the home. How does that work with a bank? Would you basically walk in and be like hey this is my corporation and I want to buy my house from me, would they just use all of my tax returns etc to qualify my corporation to purchase from me? So confusing. Thanks y’all

So how is a person supposed to make anything in this inflated market? I live in Alaska and multi family are going for 600+ (4-plex) 450+ (duplex) and SFR are going for 250+ for anything decent. Hard to say how you can make any profit off rentals right now other than taking the equity position.

I’m in a pickle. I recently shot myself in the foot and refinanced my primary to a 15, made sense at the time but things have changed. I should have left it on a 30 and cash flowed it. At the current market value (was appraised) I’m sure I could walk away with 75-100k after realtor fees, or sell myself and pay to have someone do the paperwork. I was going to turn it into a rental and let it just pay for itself but now I’m considering selling it, taking that profit and investing into multiple properties/multi family homes that I can make a decent amount cash flow from. Other thought is keep my house, pull a heloc and buy a multi family, move into that and then make that house a rental. The biggest thing I’m scared of and maybe some of you have some advice is, what do you do when you buy a house or something and it just won’t rent? Especially with the moratorium just passed, wtf am I gonna do if I spend $500,000 on a big unit and get 4 tenants that don’t pay rent because they can?

@Adam Kruse So if mom comes in from out of town for a week she’s required to be added to the lease? Seems like quite the policy, no offense. I’m as right wing as it gets but all in all she is playing in the boundaries of your lease agreement. I’ve seen campgrounds do it where you can use passport America for 2 days in a 30 day period, I’d recommend next time putting that in there, 48 hours over a week span or something.

@Robert Delgado Yessir, I’m in Alaska and just went with a local credit union. The thing is they never mentioned anything about it that it was an option, I just happened to have my thinking cap on and it dawned on me and I thought “hmm if I have that much equity why do I have to have a down payment?” 2 other local banks didn’t want nothing to do with it but the one I went with when I went in and presented my math on the whole deal after the mortgage officer looked it over I got the thumbs up and me and another guy who bought adjacent lots ended up getting away with it. Definitely worth a shot.

@Robert Delgado I’m a noob but I literally just did this a few months ago, my property was $95,000 but it appraised for $135,000 and my lender (Local) waived the 30% down that I had originally intended on paying and all I had to pay was closing cost and associated fees. Look into a local lender.

@Daphne Wielunska I'm right there with you and will be following! I have a similar scenario, mines a SFR and it's my primary and I need to move out of it and buy another but I'm scared I'll move out and it won't rent so I'm a little guy shy.

So what’s the deal with the eviction protection crap? In Alaska it’s all ended since July 31st but I mean say that gets extended, what is an owner supposed to do? Just let some low life live in their units for free and pay the bills for them? I read that there’s no protection once it ended from going after them for missed payments but I mean they’re obviously not going to pay you. This information was pulled directly from the state court website so it is legit info. It just makes me weary of my rental plans, would hate to start out in rentals and end up losing everything because I have to pay all my tenants rents for them.

@Joe Villeneuve oh okay I gotcha, thanks Joe!