All Forum Posts by: Joseph Weisenbloom

@Mak Sharma Since you are in SF maybe look in nearby Stockton CA or Reno NV? 

@Aran Shinaar If I am hearing you correctly you bought the house in Atlanta with cash meaning no mortgage? I would personally refinance the paid off house in Atlanta and buy the England house cash.

I dont know how loans work in England but I know the terms on US loans are much better. Getting a 30 year fixed is easy. The terms you stated above dont seem enticing. 

You might as well get good financing where you can and pay in cash where you cant.

@Mak Sharma You won’t find cashflow deals in Austin unless you get creative. I think it would be difficult for an out of state investor to pull it off.

You need to find houses that are in deplorable condition being sold for a discount and then fix them up. It also helps to rent out the rooms individually to get more rent.  Make the rooms fully furnished and that will bring in even more rent.

@Luis Peguero During the period of a PML you will be paying the 10% of the loan amount every month or 10k in this case. At the end of the 12 months that is is when the 100k is due. It is an interest only loan meaning your monthly 10% payments dont deduct the principle amount due after 12 months. 

The goal is to raise the value of the property by fixing it up that way when you refinance it will pay off the PML. 

So for example if you aquire the house for 100k with a PML and you put 30k of your own cash into repairs. Lets say after fixing it up and adding value your new value is 185k. 

Well if you refiance that at 70% of the 185k valuation then you would get a refinance of 130k. That 130k would pay off the 100k PML and reimburse you for the 30k of your repairs.

After refinancing you esssentially have none if your money left in the deal. This is why the BRRR method is very popular it allows you to recycle your money and scale quickly.

@Mila Andy I could see investing in San Antonio from out of state being tough. There is plenty of opportunity in SA but you need to add value. There are rarely turnkey opportunities just sitting on the MLS. If you get creative and you aren't afraid to rehab you can find good returns. That being said that is very difficult to do from out of state. I live in Austin so i can drive down to monitor rehabs and meet with my PM.

Maybe visit here to investigate and find someone you can trust to be your feet on the ground?

@Ara Jo San Antonio is interesting. It is very working class so there are a ton of B and C class neighborhoods. Proximity to downtown is important. Many areas seem run down but most places are relatively safe. Property crime is more of an issue than violent crime. Really only area that scare me away are some east side neighborhoods. 

Northside is the best neighborhoods. A to B class. All of the neighborhoods between I-10 and 281 are good. Even west of I-10 into Woodlawn Lake, balcones heights and Los Angeles Heights are nice neighborhoods.

West San Antonio is more C class with moderate crime. There is a large inventory of run down houses for cheap that can be good rehab and rent opprtunuties. 

Same deal with South San Antonio between I-35 and I-37. Lots of rundown single family and multifily properties that can be fixed up and rented for a good return. As mentioned areas like Harlandale and Mission San Jose are relatively safe and will produce good cashflow.

I dont really like the Southwest quadrant of the city near Lackland AFB. Its just too far from downtown and the demand isnt as high.

If the bank wont lend on it to the price its under contract for then I would think twice. If your bank and appraiser thinks its overpriced it probably is.

Search “Houston mortgage brokers” and Im sure you can find a list of reputable mortgage brokers in the area. Not sure if you will get approved or not based on your income and credit score but it doesn’t hurt to try. Find some lenders and make some calls. Dont stop if you get rejected keep trying.

Id reccomend a small multiunit property to live in one of the units and rent the others out. You can get a owner occupied loan for 5% down. If the numbers add up you will be able to live there for free. This will help you get your feet wet and save for your next move.

@Boyang W. If you want some B class properties in DFW  look at grand prarie, arlington, mesquite, lancaster. The areas north of Dallas have seen tremendous appreciation and have become less appealing. If you look south, east and west of Dallas you can still find some properties that havent gone up so much but can still cashflow. 

@Lynn Cornell Frisco and Mckinney wouldnt be bad choices considering they are the 2 fastest growing cities in the country. That being said I dont see investing for appreciation alone as appetizing me for me.