All Forum Posts by: Kelsey T.

I should also mention- the property we would like to improve is financed by the seller we purchased it from. 

My husband and I are looking to sell a property, and invest the proceeds into the renovation of a property we already own. Can you do both a reverse and an improvement exchange combo? We purchased the initial property for $225k and can sell for $450k. The property we would like to improve is a very run down little house, fixed up would be worth about $2M.  We are in the process of getting the permits lined up and everything in order, so the 180 day time frame would be doable. I would like to know:

1) Is this even possible?

2) How much would it cost? 

3) To make this even more complicated, could we use the proceeds to improve two different properties? Both would have a higher value than the sold property. 

Thanks in advance for any help with this!

We have a rental in a college town and students are booking rentals for August now. She may very well be planning on staying until her lease is up. 

@Tom S. glad you mentioned that. Both Montecito B & T and American Riviera are doing construction loans again!

@Tom S. thanks for the advice! I talked to Montecito Bank and Trust and American Riviera Bank several months ago, and at that time they were not offering construction loans. I believe this was a COVID thing, so I will reach back out and see what they say. 

I like the idea of working with people who know the property, since it is in Montecito, which is kind of it's own little world within SB. 

@Jo-Ann Lapin and @Jared Rine, thank you for your insight!

@Will Fraser, thank you for the recommendation! Would love to hear any advice from @David Greene. Especially taking @Tom S. suggestions into consideration- how to structure a seller finance deal with future plans to build. 

My husband and I are under contract to purchase a property in Santa Barbara, California with seller financing and are looking to get a construction loan. We purchased the property with 23% down to seller, and are looking to build. Some important details include: 

My husband is an architect and contractor, and will be doing the design and build. 

Cost to build is $550k. 

Current plan is to split the property into two pieces, build and sell one, then build and hold the second. 

There is a run down existing structure on one piece of the property. 

What are our financing options? Any recommended lenders in Southern California? 

@Tim Richter congrats on your purchase! We did/are doing a live in flip. We didn't have ANYTHING done before we moved in due to time constraints. It has taken us quite a while but breaking things up into small manageable tasks really helps. Also, when I get really frustrated, that fuels me to get things done. Best of luck, and feel free to reach out with any rehab questions!

Another vote for paying down student loan debt. It simplifies your finances, plus that interest rate is pretty high! I know it's not a very exciting way to spend the money, but getting rid of my student loan debt was the best thing I did with regards to personal financing.