All Forum Posts by: Jose Perez

Wow, @Giang Nguyen I had no idea that the program had some many fees. I got preapproved today for a $215k loan ($115K purchase price and $100K reno). The broker got it to me by 7:20pm and said the rest of the details would be sent in the morning. I'm sure I will be floored tomorrow when I get the details 😱. Question: does a regular FHA loan (non-203K) have similar fees? Or they are higher for the 203k program?

I got approved with HomeBridge for a 203K today. So I guess tomorrow I will find out if it will work out. Its for a quad so it might be still worth it.

Thank you so much for answering my questions and sharing your experience! You rock!

Sorry to ask so many newbie questions @Giang Nguyen but were the fees with homebridge high? Or is it just that the 203K loan program have high fees anywhere? I ask because I went to the site of AnnieMac and saw that they too do 203K loans and was wondering who has the high fees, the lender or the program. Thanks in advance.

@Giang Nguyen interesting. So how did do the renovations? Or what you are saying is that you cashed out of another property and used that money to do the reno?

Hey @Giang Nguyen, did HomeBridge work out for you? I just submitted a form with one of their agents in a different area but wanted to know if you were able to work with them.

Thanks!

@Christopher Phillips since I would be doing this for a small multi family (a quad) and would like to be the sole proprietor after the refi... wouldn't an LLC make things harder to dissolve/terminate?

Here is a scenario that I'm contemplating and would like to know if is doable:

There is a small multi family that is listed at say $200K. It will need about $50K in repairs and the ARV will be $260K. I negotiate the price down to $170K. The whole project will take $220K. I can come up with the $50K for renovations from my end but take on 3 people as investors each who is willing to put in $56.5K. Since I'm not going to sell this but refi and hold... I promise each 10% APR on their money payed at the time of refi. The question is how can I structure this? Is the answer still a real estate attorney?

VARIATION

If they want to receive their interest payments every month, how would that change the configuration of this deal? In this case that would mean me paying $471.66 to each investor every month that the project is ongoing (till refi). Any partial month will get prorated based off the daily rate of $15.48.

Hello BP!

So there is a small multifamily that I'm analyzing and I don't want to get a bank or a hard money lender involved. The banks take to long and the HML charge a lot. Plus, I want to learn how to raise private money. My wife's aunt has money and is interested in investing with me. She isn't a credited investor or anything fancy like that but can fork up $50K. How can I get her in the deal and then pay her off once the project is over? Is it as easy as having a partnership agreement for the project that dissolves once I sell or refi and pay her off? Or can she just give me the money (wired to my account)? What if I have two people that want to invest with me. What then?

Thanks in advance for helping me with this.

Thanks @Daniel Hyman!! That is great advice. I see you are a virtual CPA. I will check out your website and shoot you an email.

Hey @Account Closed! Thanks for your response. I'm doing that but figured members in the Pro area, who are investors, could help me out without having to wait till the next meeting.