All Forum Posts by: Josh Darley

BP,

I need some information regarding what the actual requirements are for the condition of a home so that an appraiser can complete an appraisal.  I purchased a house for cash in OKC last month that needed a little rehab.  Our intention was to immediately start the cash out refi process once we closed on the cash purchase.  There was a shower that the previous owner had DIY'd that we thought we could salvage.  Eventually after talking with a couple contractors we realized that we were better off removing the shower and starting from scratch.  The contractor started the work and progressed fairly quickly.  The appraiser ($675) happened to stop by the house in the middle of tile going up on the walls.  He contacted me afterwards and said he would need to go back once the shower was complete, and the visit would cost another $175.  I said ok, and told my contractor to let me know when he would be finished so that I could reschedule the visit.  Long story short, the appraiser showed up again on the day my contractor was finishing installing the fixtures and had a small piece of grout to complete.  Yes, I know the contractor shouldn't have told me he was going to be finished but that's a separate issue.  The appraiser once again said he would need to come back to ensure the grout was complete, and the fixtures were installed essentially another $175 visit.  I asked him to appraise it as is, and he insisted he could not.  He would not accept photos of the completed work either.  My lender said I had no recourse other than to pay the fees.

My question is, was he in the right that he could not complete the appraisal in that condition?  Or was he just looking for another reason to charge me a trip fee?

Secondly, we just bought another house that is in need of flooring, paint, and some other minor repairs. Should I not even schedule an appraisal until the work is complete? I am not concerned about the value coming in low, because the house was bought wholesale and will come in at the LTV we are looking for.

Thanks in advance.

Josh

BP,

My wife and I are in the process of buying our 7th buy/hold. The lender suggested that I get the loan in my name only since I have the W2 job, but include my wife on the title. She is a stay at home mom, so it doesn't really affect DTI etc. Thus far she has been on every loan with me. I'd like to know if there are any distinct advantages/disadvantages to only getting the loan in my name only.

I realize that once we get to 10 FNMA/FMAC loans we will forced to get look for different loan options.  Since she doesn't have any formal income beside rental income, is there anything we should be thinking about now from this perspective?

Thanks!

Josh

 Not at all.  There are so many people trying to rent out in Maricopa these days it's ridiculous.  Market rent for this property has gone from 1400 to 1800 in only 2 years.

BP,

I'm looking at buying a SFR for 75-100k range in Texas for cash and then doing an immediate cash out refi on it. Does anyone know of lenders in Texas that will loan less than 75k? Less then 50k?

Thanks

Investment Info:

Single-family residence buy & hold investment in Maricopa.

Purchase price: $156,000
Cash invested: $32,000

Buy and Hold

Where are the homes that are making 100k a year?  Gross right?  What about net?

I definitely believe that inventory is the biggest issue, but after a few months and after expanding the criteria multiple times, I was kind of hoping that she would throw something our way.  I do think she is a good realtor in all other aspects, it was just this one issue that I wanted some external feedback about.  Thanks for the reply!

Thanks Scott! I was kind of thinking the same thing about MLS being almost impossible. I just had to hear it from someone else that I have nothing to hold against her for not bringing me anything over the last few months. I will see what REI groups are out there and see what I can get into. Thanks for the reply!

We've bought 8 properties with her over the last three years. Nothing has never been offered off market. The market back then was definitely not as tight as it is right now, and there were plenty of good offerings even through MLS. I will have to ask her about the 'back on market' and expired listings. Thanks for the reply!

BP,

I'm curious to know how much your realtors do for you in this market, particularly in finding good deals for you.  Aside from setting up an automated search, I have yet to have my realtor reach out to me and say, "hey i think this property is a great deal" or something along those lines.  I know it is very competitive out there right now, and I also know that the criteria I've given her should dictate what comes to me on the automated feed, but I was hoping for a little more help.  I am struggling to find a good buy and hold, and I'm also pretty flexible on price point, location, etc.  I am not trying to bash on realtors here, I just want to know if I should be looking for something more out of my realtor.  Aside from this one concern (which may be nothing to be concerned about) I think she is a great realtor.  We have purchased multiple properties with her, and I will likely continue to recommend her to other people.

Thanks in advance.

Josh