All Forum Posts by: Joseph Coleman

@Keegan Schaub how much do you need to put down on the property? Do you think the seller would be interested in an earnout structure or seller financing? $80k seems to be relatively small compared to the amount they will make from the sale. And an earnout could help you offset a lot of risk associated with a business purchase. 

@Nana Sefa I would check out the BP Property Manager Finder Tool under "Build Your Team" on BiggerPockets. I know a lot of great PM companies are on there. I would still recommend doing due diligence and spending time up front to make sure they are a great fit because PMs are such an important part of your team. 

Hi BiggerPockets Community!

I wanted to reach out to connect with fellow BP members who are either currently using or interested in starting the 90 day Intention Journal - By, Brandon Turner.

About the Group: We host a weekly call on either Saturday or Sunday with a small group of 2-8 people. The first half of the meeting is dedicated to individual weekly planning, while the second half focuses on reviewing each other's progress. It's a fantastic way to stay accountable and overcome any roadblocks together.

If you're interested, feel free to send me a DM with your email, or fill out the sign up form here so you can join our next meeting to see if it's a good fit for you and your schedule. 

Let's support each other in achieving our goals for 2024! 

-Joe Coleman

These are the sources I reference. But you need to calculate your own monthly payment with PITI and any other fees.

https://www2.optimalblue.com/obmmi/

https://www.freddiemac.com/pmms

@Caroline Gerardo 
Craig is an expert on loan assumption. 

They have processed a myriad of loan assumptions through their company that specializes in assumptions.  

To quote him - 
"The only assumable mortgages that exist are government backed mortgages, so FHA, VA, USDA mortgages can be assumed."

@Caroline Gerardo
Could you elaborate a bit more on what is incorrect information? I am not sure if you meant to tag me but understanding what you are referring to could be valuable for the discussion around loan assumption. 

@Chris Martinez any updates on your VA loan search?

@Carlos Malaver Jay Hurst (above) is a great resource on this.

You can also search for Home Equity Loans in Lender Finder
(^^^see toolbar above^^^)

Aliyyah Carter 
I agree it depends on your situation. But here are a couple of things I have learned, 

-A full gut remodel is harder to estimate because you never know what is hiding behind the walls and what is required to bring it up to code. You could run into electrical problems, mice problems, water problems, foundation problems, mold problems and plumbing problems. Having a large margin of safety is a good idea. For a gutted remodel, I would strongly prefer to purchase a property that is already gutted as opposed to one that is finished.
-A cosmetic renovation is very common with the flips I have seen. I purchased a live in flip that looked great only to discover the original work was covering up a lot of problems. For this reason, I think I will steer away from purchasing remodeled properties in the future unless I can knock down the walls to see what is underneath.
-It seems there is also a personality component to this question. Thinking like a flipper is hard for me. I have a hard time using substandard materials and doing anything that I know is going to cost more in the future. So, it is hard for me to add value in a way that is profitable in the short term. 

 

@Chris Martinez

I have heard that local title companies may be able to get you a list of properties with VA and FHA loans. I have heard this is "public information" and there are a lot of companies that use loan information to try and market scams and various services to new home buyers. So I would think there is a way to get a list.

You may also want to target loans within a certain age so you can target those with a reasonable assumption gap. For example loans from 2019 - 2021 could be more likely to have lower principal that you will need to pay off and a lower interest rate than loans originated in 2022 - 2023. 

If you can get a list, you will also probably want to cross reference this with homes active on the market. 

Not all agents know that they should select the loan type when listing on the MLS (it is an optional field).

It also takes longer to close when you assume the loan, so it's usually best forsellers who are willing to wait a little longer to close. 

https://assumptionsolutions.com/ is a company that could help as well  for understanding how the process works.