All Forum Posts by: Joe Timko

Does anyone know a good inexpensive stagger in the Inland Empire?

@Jenna Walker Hi Jenna, it would not be possible to use hard money at a foreclosure auction. It normally take a minimum of about 5 days to process and fund a hard money loan. The other option would be to setup a line of credit on a property you already own or a personal or business line of credit. Depending on how much money you need I’ve also heard of people using credit cards to fund a purchase and can then get a hard money loan to pay off the credit cards.

@Erica Larence. Erica, the prices you have appear reasonable but you didn’t mention the slopping floors/porch. Are the underlying foundation issues that will also need to be repaired? The property appears older maybe 50’s what is the condition of the plumbing and electrical? Most likely walls are plaster. Sometimes people install paneling over old plaster because it is damaged. Just do a good inspection so you know what you are getting into.

@Todd Wheatley yes the foundation issue can be repaired but need to consider the underlining cause of the damage to the foundation. Is the soil unstable, are the drainage issues, etc. check with the neighbors to see if they are also having settling, foundation issues. I have seen areas were the soil was not prepared properly, filled incorrectly and the entire neighborhood has issues. Also remember when you decide to sell this property you will need to disclose this issue to the new buyer.

@Andrew McManus Andrew, I'm getting a HELOC on a SFR rental through Bank Of The West.

@John Halverson Hi John, send the info I’d be happy to help you with it. If you are wholesaling it and it a good deal I might be interested in it.

@Andrew Atakpo Hi Andrew. I would invest near where I live within an hour or so. There are still good properties to invest in located in Southern California. The Inland Empire and High Desert is still affordable. 2-4 units in the High Desert are between $90,000-$120,000 per unit and the rents are between $800-$1000 for the average 2 bedroom unit. You can also find a 3 bed / 2 bath SFR in the High Desert for between $175,000-$220,000 and can rent it for $1,200-1,400.

@Christine Sparks. Christine, I'm looking at single family homes in the High Desert between $160,000-$200,000. That are between 1200-1600 sq ft. Have an offer I'm waiting to hear back from in Hesperia that is an REO for $168,000. As a flip should sell between $265,000-$275,000 not a lot of profit but could also rent for about $1250-$1400. I'm very hands on and could not see myself going out on state.

@Christine Sparks. Christine, first off if the primary home is owned by both you and your husband you will both be named on the HELOC unless you quit claim your husband off title. The HELOC will affect your husbands ability o qualify for a loan on an investment property.

As far as areas to purchase an investments property in Southern California. Right now the best areas I've found are he inland empire and high desert. The prices in those areas haven't appreciated as much as the LA, Orange, San Gabriel Valley areas. Especially the High desert (Hesperia, Victorville, Apple Valley.

On a side note I'm doing some flips in the San Gabriel Valley and inland empire and sometimes need a good electrician. Would like to connect with you guys.

@Mike Moran

Mike my understanding is a flip is considered a on going business venture. A 1031 is designed for more long term income producing properties. If you held the flip for a year or so and then sold it you would be justified to use a 1031 exchange and defer the gain.