All Forum Posts by: Joshuam R.
Joshuam R. has started 40 posts and replied 257 times.
Post: NAVY Federal (no more heloc or hel)
- Specialist
- Florida
- Posts 270
- Votes 91
Today 2021-02-25 message on Navy Federal website
"Due to unprecedented market conditions, we have temporarily suspended accepting new applications for home equity loans and home equity lines of credit. This update doesn't affect applications that have already been submitted. You can track your application's progress in HomeSquad. "
Post: Best cities for multi-family investing
- Specialist
- Florida
- Posts 270
- Votes 91
Orlando FL and surrounding areas. Also Fort Myers, FL the county is giving good tax incentives (more info contact them) for new developments.
Post: I have $150K and want to start getting a property every 6 months
- Specialist
- Florida
- Posts 270
- Votes 91
Keep your 6 months sense of velocity on, and also take @Joe Villeneuve point of focus on getting deals not properties, deals can come in many different ways, solo or partnerships that fit your current financial buying power. Life is worth living get into action!
Post: Process of buying a large multifamily (5+ units)
- Specialist
- Florida
- Posts 270
- Votes 91
@Aaron Van Curen Hope all is well. I am curious how did this property and the process turn out, any lessons learned you would kindly share. Thank you.
Post: My First BRRRR! With Pictures!
- Specialist
- Florida
- Posts 270
- Votes 91
Congrats! You put Repairs and Holding cost together, would you be kind to split it up and share how much was just the repairs, and how much if any you had to sub.
Thank you
Post: HELOC Investment Strategies
- Specialist
- Florida
- Posts 270
- Votes 91
Originally posted by @Tim Kaminski:
Sorry for my delay, here is a better breakdown:
| Return (IRR): | 47.69% per year |
| Total Profit when Sold: | $507,869.64 |
| Cash on Cash Return: | 1,539.00% |
| Capitalization Rate: | 14.39% |
| Total Rental Income: | $673,908.99 |
| Total Mortgage Payments: | $145,925.37 |
| Total Expenses: | $94,046.31 |
| Total Net Operating Income: | $579,862.68 |
First Year Income and Expense
| Monthly | Annual | |
| Income: | $2,200.00 | $26,400.00 |
| Mortgage Pay: | $608.02 | $7,296.27 |
| Vacancy (5%): | $110.00 | $1,320.00 |
| Property Tax: | $125.00 | $1,500.00 |
| Total Insurance: | $66.67 | $800.00 |
| Maintenance Cost: | $83.33 | $1,000.00 |
| Other Cost: | $16.67 | $200.00 |
| Cash Flow: | $1,190.31 | $14,283.73 |
| Net Operating Income (NOI): | $1,798.33 | $21,580.00 |
Breakdown Over Time
| If Sold at Year End | ||||||||
| Cash to Receive | Return (IRR) | |||||||
| Begin | -$33,000 | |||||||
| 1. | $25,080 | $7,296 | $3,500 | $14,284 | 43.28% | $33,310 | $21,200 | 7.53% |
| 2. | $25,832 | $7,296 | $3,605 | $14,931 | 45.25% | $36,721 | $24,500 | 33.07% |
| 3. | $26,607 | $7,296 | $3,713 | $15,598 | 47.27% | $40,237 | $27,905 | 41.31% |
| 4. | $27,406 | $7,296 | $3,825 | $16,285 | 49.35% | $43,864 | $31,419 | 44.76% |
| 5. | $28,228 | $7,296 | $3,939 | $16,992 | 51.49% | $47,606 | $35,046 | 46.36% |
| 6. | $29,075 | $7,296 | $4,057 | $17,721 | 53.70% | $51,467 | $38,792 | 47.15% |
| 7. | $29,947 | $7,296 | $4,179 | $18,471 | 55.97% | $55,452 | $42,662 | 47.54% |
| 8. | $30,845 | $7,296 | $4,305 | $19,244 | 58.32% | $59,568 | $46,660 | 47.72% |
| 9. | $31,771 | $7,296 | $4,434 | $20,041 | 60.73% | $63,818 | $50,792 | 47.80% |
| 10. | $32,724 | $7,296 | $4,567 | $20,861 | 63.21% | $68,209 | $55,064 | 47.82% |
| 11. | $33,705 | $7,296 | $4,704 | $21,705 | 65.77% | $72,748 | $59,482 | 47.82% |
| 12. | $34,717 | $7,296 | $4,845 | $22,575 | 68.41% | $77,439 | $64,052 | 47.80% |
| 13. | $35,758 | $7,296 | $4,990 | $23,472 | 71.13% | $82,290 | $68,780 | 47.78% |
| 14. | $36,831 | $7,296 | $5,140 | $24,395 | 73.92% | $87,308 | $73,674 | 47.76% |
| 15. | $37,936 | $7,296 | $5,294 | $25,345 | 76.80% | $92,499 | $78,741 | 47.75% |
| 16. | $39,074 | $7,296 | $5,453 | $26,325 | 79.77% | $97,871 | $83,987 | 47.73% |
| 17. | $40,246 | $7,296 | $5,616 | $27,333 | 82.83% | $103,432 | $89,421 | 47.72% |
| 18. | $41,453 | $7,296 | $5,785 | $28,372 | 85.98% | $109,191 | $95,051 | 47.71% |
| 19. | $42,697 | $7,296 | $5,959 | $29,442 | 89.22% | $115,154 | $100,885 | 47.70% |
| 20. | $43,978 | $7,296 | $6,137 | $137,477 | 92.56% | $121,332 | $106,932 | 47.69% |
| Total | $673,909 | $145,925 | $94,046 | $507,870 | 1,539.00% |
Post: HELOC Investment Strategies
- Specialist
- Florida
- Posts 270
- Votes 91
@Tim Kaminski Glad you asked this question. I just bought my primary this November for $135K, and is appraised by bank appraiser at $208K
Strategy will be the same, use a heloc as down payment on a good deal, will eliminate mortgage insurance using 20% down. The property will need to cash flow enough to pay the new loan plus the heloc.
So I should get approx. $50K in the heloc ltv numbers.
looking at a duplex that I can buy approx. $150k, and rent each side for approx. $1,100
I should be cash flowing worst case scenario $700-$800 after loan payments , expenses, etc.
Thank to all who are sharing answers, is helping me also. Good luck Tim.
Post: SFH with $73,000 Equity - Now onto MFH
- Specialist
- Florida
- Posts 270
- Votes 91
Investment Info:
Single-family residence buy & hold investment in Orlando.
Purchase price: $135,000
Cash invested: $5,752
$235,000 Market Value
$208,000 Appraised Value
$135,000 Purchased Price
$0 Down Payment 30yr fixed Conventional
$5,752 Escrow/Survey/Pest&Home Insp./Appraisal/Cash to Close
$0 Repairs
$73,000 Equity (compared to appraised value)
$100,000 Equity (compared to market value)
No agents involved in the transaction.
Contract from excuted signed to closing 30 days
What made you interested in investing in this type of deal?
This purchase was the result of developing a great Landlord/Tenant relationship
This was not ever an option lease.
It is now our primary home at our long time established community since 2014
We are skipping the moving boxes shenanigans for now, yazz!
How did you find this deal and how did you negotiate it?
Be crazy enough to always share your dreams and ideas with people.
I am enjoying for the past 2.5 years the results of self development and Grant Cardone's teachings, knowledge of Bigger Pockets, Eating up all the books recommended by guest.
How did you finance this deal?
Zero Down 30 year fixed
What was the outcome?
Seller gets to enjoy their retirement.
We get to continue our daily routine as usual, no moving, no nothing.
Next is to utilize the equity as a down payment for the next MFH property, hopefully merge another equity partner together to expand the opportunity for my next deal.
Lessons learned? Challenges?
I had up to $13,000 saved up at the beginning of the year, after a few tries through out previous year in making an offer, I tilted the balance and decided to take that money and invest in "Great Memories" with family and friends, and oh boy we did like rockstar's!
I wish I can say I regret spending that savings, but I honestly don't, it was the right time to enjoy our self's. But If I knew they were going to so quickly change their minds, maybe I would of done a little less fun ;-) YOLO!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
No agents involved.
Post: What's holding you back from buying large apartments?
- Specialist
- Florida
- Posts 270
- Votes 91
Amazing thread everyone!
few questions I do have on a few of these abbreviations and that others may be wondering also. What are the meaning for these:
BD
BD Services
RIA
bps
NAL
PPM
any other ones not mentioned you would kindly share will be great!
Post: Loan assumption
- Specialist
- Florida
- Posts 270
- Votes 91
Sub2 and Loan assumption are two different things.
As a buyer same results you still paying down the existing loan be it through the seller/sub2 which seller is still responsible for or once loan is assumed you the buyer are responsible for.
Assuming the loan, the seller needs to contact their bank and find out if the loan can be assumed by a new buyer.
I have a current deal that owner of the home is with a $40K mortgage. Offer purchase price is $100K
reparis $7K
ARV is $200K
so the move is I assume the $40K and seller finance the remaining $60K with them.
Banks don’t usually allow assumptions so these types of transaction are usually handled without involving them.