All Forum Posts by: Kesete Thompkins

Thanks Chris. In speaking with the seller, I think that we are going to go the route of me assuming the mortgage until I can get the financing I'm looking for with the terms that I want. Time is on my side in this situation, so I'm going to take my time to ensure that I get it right. Either way, it looks like a win. 

Thanks for the time and insight. Once I have the deal settled, I'll come back on with an update. 

I need your help on thinking through strategies to acquire a property via seller financing that still has a conventional mortgage on it. I've heard of wrap-around loans and situations where you take over someone's payment directly to the lender, but I'm not sure if that's the only way to get this done. Here are some particulars on the property:

• - 3bd/1bth SFH
  - Currently vacant and needs work (amount unknown)
  - Seller wants what's owed on the property
• - Would receive market rent
• - Good equity

Based on my analysis, this is a can't miss deal and I want to be creative with how I acquire this property. I've used seller-financing before, but never with a traditional mortgage. Any ideas or strategies would be helpful. 

Thanks in advance. 

@Patrick Houlihan you are in a position of power because you have options and you don't have restrictions in CT or FL. Once you narrow down your search, you'll be fine. Honestly, you may want to rent when you first move to FL because you may not truly love the area you are in. I'd say to rent for about a year before purchasing so that you get exactly what you want. There are few things worst than living in a home that you don't really want or see yourself in for an extended time. 

@Patrick Houlihan your need to sell a house to purchase another depends on your financial situation at the time. First things first, I think you should narrow down your initial search for your move to Florida.  Once you have nailed down a city, then you start to make contact with people in the area (mainly a realtor). Any house you purchase should be thought of as an investment property, so be sure to speak to your realtor about your future plans to invest in real estate.  

At some point you should make a trip down there to see everything for yourself, but you will have tools at your disposal via the internet to gather any pertinent information you need before you move. 

@Tina Herman, did you ever receive any answers to your questions on relief? I'm thinking about applying for relief through my LLC but I'm not sure if I'm eligible for the benefits.

Thanks for asking that question.

@Anthony Martin, I agree with most of the thoughts on this thread. If this is your first deal, I say walk away. Here are my thoughts...

You have the right idea for sure, but you seem like you don't have a clear idea on exactly what you want to do. You can make money in this game in various ways, you need to identify how YOU will do it. I think that you need to reach out to someone in this thread or find someone who knows what they are doing and pick their brain. No matter what strategy or market (neighborhood) you are interested in, there's someone doing this work at a high level. Link up with someone who has more experience and build that relationship. Don't be seduced by 'diamonds in the rough' if you don't know what you'll do with them when you get them. I've made that mistake already and I'm imploring you not to do what I did. It will only cost you time, money, and energy that could be spent on a true asset. 

 Stay away from this deal and anything like it until you know what you want to do. When you do jump in, be steadfast in understanding your strategy, your market, your limitations, and your team. I'm always available to chat if you need help navigating the Pittsburgh market. 

@Deniqua Antoine that's a great question! I think that every investor would do things differently if they could start over. If I could start over again, I would...

1. Find someone who is in the market I'm interested in. No need to invent the wheel. There's always someone to assist you in this game. Don't be shy to ask for help.

2. Tell EVERYONE I know that I am interested in buying homes. The best marketing starts with your inner circle. My last name gets in me to the door of opportunities in my market and my first name keeps me in the room. If you want details about how we are handling things, let me know. 

3. Develop a clear plan with my wife. Because you are going to work with your husband, I advise that you two have a clear operating plan. Your partnership is only as good as your ability to share responsibilities and stay in your lane. 

4. Read, listen, and learn. There's never a time when you shouldn't be learning. I'm a disciple of Rich Dad Poor Dad and BP, so I stay close to those communities. 

Keep grinding. My wife and I are always available as resources as you start your journey.

Kesete

@Terry Louwerse, I agree with the thoughts in this chat. I'm an investor in Pittsburgh as well and I think that your $110k can go a long way, depending on how you want to use it. If you are willing to use that type of money for a down payment, you may want to look in Oakland where the universities are (Pitt, Carnegie Mellon, Carlow, Chatam, and Duquesne is close by). I currently invest on the Northside where I'm from and there are some good rentals in the 15212, 15214 zip codes. For example, theres a duplex on Massachusetts on the Northside going for $125k. Brighton Heights, The Mexican War Streets, Bellevue, and Avalon may also interest you. 

If you want to purchase homes free and clear, you can walk away with two properties for that type of cash. Either way, you are in a position of power for our area. 

@Javonn Musgrove good luck with your transaction. I hope that you can close that deal and get jump started with your investment career through house hacking. I entered the game that way and I recommend that all new investors use that strategy if you can. 

Good luck fellas. 

Thank you all for your insight. I'm in the process of thinking about a refi vs. HELOC on an investment property. Based on the current times and the insight shared by the group, I'm thinking that the refi may be my only option. I'm working on talking to various banks this week, so I'll see what they say. Either way, I am looking to use the equity in my current portfolio to complete three outstanding projects and to acquire more properties.

@Evan Polaski,  I agree that now is the time to be contacting lenders and talking to them about their products at the moment. I am in the process of contacting lenders for a refinance. I want to use this time to position myself better with my current portfolio.