All Forum Posts by: Jerry Padilla

@Carson Plant

It all depends, on what your intentions are. Are you looking to grow your portfolio? If so, I would hold them for the cash flow and to avoid capital gains. That is great that they are cash flowing so well! A SFR you can cash out up to 75% LTV, and if they are a MFR than you can cash out refinance up to 70% LTV for investment properties.

@Alexander Reda

Do you own a primary residence? Have you considered house hacking, if you don’t? 

@Jon Hill

@Ken Rodgers

As long as you can support the mortgage payments and it is a single family residence, you can purchase a second home with 10% down. 

@Sebastien Carriere

I agree that house hacking with a multi-family residence and taking advantage of your VA loan is a great option. One thing to just keep in mind is that VA doesn't allow you to use the potential rental income from the other units to qualify without a landlord history, unlike FHA. So you will have to qualify for the entire mortgage payment.

@Helene Vanderhaeghe

There isn’t enough info here on why you don’t qualify for traditional financing? 
I wouldn’t put yourself in a position of negative cash flow. 
What are you going to do to get yourself qualified?

@Oleg Enik

A loan officer won’t turn you down because you are young. 

My wife got her first mortgage at the age of 19 turning 20. 
*Some things you will need to qualify for conventional is a 2 year work history that is consistent - or two years of schooling and a job in that field. 
*You will have to of established credit. 
* You will have to have enough in savings for the down payment
* You will also have to qualify for the mortgage payments. 
*Going FHA with a multi-family residence may be your best option as you can also use the rental income to help support the mortgage payment. You will be required to have a 3.5% down payment and you can ask the seller to pay up to 6% of the closing costs when negotiating a deal.

@Trevor Cox

Are you looking to cash out refinance or just refinance an existing lien? 
As long as the lien against the property is recorded, there are no seasoning requirements for a refinance, with no cash back.

If you are looking to get cash back....

And you initially obtained financing, you have to wait 6 months for conventional. You can start the process prior to 6 months, but have to wait until that Mark to pull the cash out. 

@Lamontis Gardner

Why so specific, of an in law suite in the basement? You can also do a duplex, or even up to 4 units as a primary. FHA allows you to purchase up to 4 units with only 3.5% down and you can count 75% of the rental income on the other units to help qualify for financing.

@Jia Liu
The credit will need to be re-pulled and income updated. 
For conventional, you are going to want a lender experienced working with investors over shopping for rates.  It doesn’t matter how great the rate is, if they can’t get the loan closed. Investor Financing is different and can be more complex than primary home buyer financing. 

@Jacquelyn Dockery

Don’t do the crazy expensive workshops - that you will be getting taken advantage, and charge you a lot of money. BP is a great place to start learning. Become a plus or pro member and take advantage of all the resources they offer, listen to podcasts on BP. You will get a lot more from this site than you will a workshop and for pennies the thousands. There are so many ways to start investing. Let me know if you have financing questions.