All Forum Posts by: Katie Smith

Hey Anthony, welcome to BP! That's quite a number of passions in real estate! Happy to connect & see how we could work together.

Hi Dolev. Instead of selling - have you thought about doing a cash out refinance? You can pull up to 80% out (depending on credit score). You'll most likely only need 25-30 days to do the refi. If they are currently listed - you may just need to take the listing down before starting the loan. I'd call around and get some quotes. 

Hi John! Are you working with a broker or direct lender? This is when working with a broker comes in handy - as they can get creative with other lending channels. Some lenders will only use the monthly rental income on the 1007, and others will allow a variance if you have a current lease. I recently had a similar situation occur with one of my clients. They had a lease in place for $2,350, and the 1007 came in at $1,995. The channel we originally were going with only takes the 1007 number - we tried to dispute the appraisal with supporting comps and the fact that the appraiser completely missed a bathroom but they wouldn't increase the 1007 amount. We then moved the borrower to another channel that allows a variance AND an appraisal transfer, so they did not have to pay for another appraisal. I would try an explore another option.

Hi Ty. Hard money is a great tool for fix & flip loans. Pro tip: make sure the rehab budget is non-dutch, meaning you are not paying interest on the rehab budget until you begin to use it. 

Hi Jose. Congrats on making your leap into REI! Have you looked on your local REIA websites to see what lenders sponsor the monthly events? I recommend looking at reviews as well, and if they're BBB accredited - then that's also a green flag. Happy to connect.

Hi Erica! A lot of investors prefer to use OPM (Other Peoples Money) even if they have the capital to purchase it all cash. If you have all of your cash tied up in one deal, what will you do if another deal comes along? If you're looking at a property that needs rehab - look into a fix & flip loan. You can get up to 90% of the purchase price and 100% of the rehab budget. Happy to hop on a call to go into this in detail! 

Hi Seth, I'd be happy to hop on a call and go over some basics with you. You mentioned you are worried about time and money. Do you have any capital to put into a deal? Lenders will require you to have some skin in the game. If you're looking to do a fix and flip - you'll need to come to the table with at least 10% towards the purchase price + closing costs. Cash and credit are key when it comes to fix and flip loans.

Hi Sean! Do you prefer to have the purchase in your personal name or an LLC? There are lenders that do not require seasoning on the LLC, and like someone else mentioned, you can pay a little extra to expedite the process. Depending on how long you have to close, you can definitely go the LLC route if that's preferred.

Hi Diana, these are pretty common problems that investors run into. I wouldn't necessarily let it steer you away from investing in FL as a whole. You can look into smaller FL towns - such as Lakeland and Winter Haven. The good thing about investing in Tampa - you will most likely never have an issue finding a qualified tenant. Higher rates & insurance = higher rent. 

Hey Andrew. Where is the property located? Are you planning on it being a super quick flip and don't want to pay the rates on a bridge loan? Would like to know more about the scenario.