All Forum Posts by: John K.

Looks great! 

With I could make it! Looks great. 

Hi Alex, I'm sorry to hear about your father. You've gotten good advice already--every situation is unique so you'll want to consult a lawyer and CPA on how to do things correctly. 

Those are some great points Calvin. I would just add that people should be cautious to only buy properties that have a legal, properly permitted ADU. In Tampa there are so many that are done without permits, and it can mislead a beginner into thinking they are getting a great deal when in reality it can be a big headache and money pit to legalize after the fact.

Hi Pete,

I'd say it totally depends on you and whether you have the time to manage another property. Long term I think you can count on making more than 6% on the investment in a 3rd property, but of course it's not as easy as simply making extra payments. If you do work to pay off that primary home loan early, make sure you request that the lender recast the loan to reduce the amount of the payments. Otherwise, it'd be better to put that 3k in a money market or mutual fund until you can pay off the full mortgage, as it won't earn any interest being simply equity in your home. Feel free to reach out with any questions! 

Hi Jex,

The property looks great! I'm surprised there's not more interest as that price. 

What type of private money loan was used to buy it? A 12% interest rate is understandably going to leave you with no cashflow on any property--what's the penalty for early payoff? I'm surprised the rate was that high, as even with a no income loan such as DSCR the rates I see these days are 9-10%. You could also refinance to an interest only loan if cash flow is the priority. Feel free to reach out if you have any questions!

Hi Tom,

Alicia gave some great info above. I would add that it's important to consider financing requirements as well. Not all construction loans are the same--make sure you look for a "single close" construction loan, that will allow you to avoid two sets of closing fees with the construction and then long term financing. Feel free to reach out if you have any questions. 

Hi Jeffrey, I know Solera National Bank offers self directed 401k checking accounts. I don't believe they have a local branch, but it might not be necessary with everything being done online and over the phone these days. 

 Hi Rodney, 

Welcome! Using your VA loan to get a 2-4 unit property is a great strategy. You just have to make sure that any ADU has its own separate utility connections (water, electric and gas). There has to be separate shutoffs/breaker boxes for each, and the number of units on the county website must match what is on the property. This is important as there are a lot of ADUs in Tampa that were done without the proper permits and thus won't be able to close with a VA loan. Feel free to reach out if you have any questions!

Hi Haylee, I'm so sorry that you're in this situation. The first thing to recognize is that performing certain work as an unlicensed contractor is a criminal offense in Florida, and the penalties for that are far more severe than for having unpermitted work on your property (this can be corrected after the fact). Also, from what you have described there may very well have been fraud involved, which would be an even more severe charge. Knowing this, I highly doubt that he will follow through on any of his threats, and even if he did it would not be the end of the world. I would start by filing a complaint with the Florida DPBR here for unlicensed activity: http://www.myfloridalicense.com/dbpr/file-a-complaint/

It goes without saying to not pay a dime more, and make sure the keys/codes to the property are changed. If you want to attempt to recuperate some of what you paid, I would bring all the documentation you have to a lawyer and see what your best options are. I'm happy to give you a contact for one if you need it. 

I know it must feel overwhelming right now, but trust me that you will get out of this OK and with a lot of experience to take forward! Feel free to reach out with any other questions or if you need any local contacts as well.