All Forum Posts by: Kevin Boyd

@Andrew Postell Thanks! I definitely will.

@Dan Wallace Thanks. I've been trying to figure out what the prepayment penalties would be for SBA. It said I needed to contact the debenture? So, the 3% in year 2 and the 1% in year 3 are standard?  Is it after the 3 year mark, or between 24 months and 36 months?

I believe the value is around $2.6 million.

@Guifre Mora The property is in Poway.

I purchased a 17 unit, 3 building retail/warehouse space for $2.15 mil. about 16 months ago. At the time it was about 65% occupied. It appraised for $2.3 million. I've done some remodeling, I have it fully rented, and have increased rents a bit. I purchased with an SBA loan with about $450k down. 

I'd like to refi into a better rate and potentially capture some equity. This was my first commercial deal. The previous owner recommended I get a new loan through an insurance company. Anyone with a recommendation? TIA 

Thanks Brian!

I'm having trouble pulling enough money out of my rentals. I'm running into only getting 70%LTV or a $483k Fannie Mae limit? Before I spend a lot of time talking with lenders, anyone with advice on a product I should be looking for?

There's been more talk of negative interest rates. Allen Greenspan said today they will be coming. I assume this would mean a great opportunity to refinance existing loans. Would it be more or less difficult to refinance in that type of environment. Are there any other strategies to prosper with negative interest rates? Is there something that can be done to be ready to take advantage of or protect oneself for this scenario?

I know a lot of this would be theoretical as we haven't experienced this in the US before.

Of course any business has risks. Not sure how it's "the province of fools and the uninformed" when there are people making a fortune in that business. My friend owns a house in La Jolla, CA he rents to a company for $30k/month. The arbitrager is bringing in over $70k/ month. This company has a ton of homes and is clearly making a killing. So, maybe the uninformed are those who don't understand the potential.

Nothing wrong with that! 

I think rental arbitrage can be a fantastic business. A great way to get into the STR business if you have enough money to furnish a house, but can't swing buying one. However, like wholeselling, it's not real estate investing, it's a business.