All Forum Posts by: Kevin Bellavance

@Jason Mak, This is very impressive! Would you mind explaining the financing behind it? I know you paid all-cash, but where does this cash come from? Your personal wealth, private investor, fund, private loan, so on so forth? 
Feel free to decline to answer.

I'm just really interested into the financing behind such a monster building.

Thank you and awesome work!

Kevin

@Lisa Lavie, It's great to hear success stories like yours Lisa! Very motivating! If you want to, I'd like to talk to you more about how'd you find your deals, how is it with SFH, etc @Daniel Methven, Thanks for the hint ! I’m currently listening to BPs podcasts from first to  last. I’ll make sure to not skip #83 ;) !

@Kim Jeane, Thanks for the great advices! Unfortunately, I’m not investing in the US yet since I live in Quebec, Canada. Therefore, I’ll invest in my town (or around) for now. It will be much easier and less stressful for a begginner like me. Also, I do not plan on being owner-occupant since I’m enough lucky to live in a house for free right now. On the other hand, finding another investor and learning with/from them would be an excellent idea.

@Danielle Hammond

Alright, thanks for the correction. Sounds a much better plan then! I would say go for it as long as you can secure low interest and long term financing to get out of the private loan as quickly as possible :)

Also, you want to tag people's ''full name'' like --> @Kevin Bellavance . I didn't get the notification of your answer to my post because you didn't tag my full name. Had to come back to check myself. Just a tip. 

Regards,

Kevin

Thanks for the awesome tips everyone!

Getting great responses is very helpful.

@Matthew Cole, Sorry for not being clear. I speak french. Therefore, english isn't ''natural'' for me. but yeah, I have people (family) who will ''sponsor'' my loans with the bank. I can't have a loan myself right now.

@Ben Leybovich, Thanks for the feed back! I would say I've been studying for quite a while now, almost 3 years. I read dozens of books, watched and listened for about hundred of hours of informational content and I'm studying Business, therefore I know (theoretically) how the system works (Bank and everything around financing/debt, leverage, ROI, etc). But now I would like to get started. I'm ready for it, knowledge wise. My question was just to get some advice or feedback on people's opinion. Not because I have no clue where I'm going. Also, our market is hot, that's for sure. But our bank system is more strict and risk averse than in the US. That's why our Real estate market (in Quebec) didn't crash in 2007-08 when everything out there was falling apart. Our banks don't lend to everybody and you have to have some good money to invest. In our market, putting no money down is impossible with our bank system. They do not accept seller financing more than 12.5% or less. Therefore, when we want to invest long term, buy&hold, we can't use the ''no money down''. Of course, we can use private lenders or creative financing for flip and short term, but for the long term, we need raw money. I'd be glad if you could elaborate on how you are able to invest long term (apartment complex) with no money down. I've turned this question a thousand times in my head for the last few months and I've found nothing (out of about 15 solutions that I disscused with my mortgage advisor)

@Engelo Rumora, I'm not getting in Real Estate to brag or something... I want to build wealth for myself. If I wanted to impress, I'd take my 30K and buy a brand new BMW, but I'm not. I like challenges, I have big dreams and even bigger goals. I'm not doing it for the ''chicks''. But thank you!

@Limo Jeff Martino, very great advice! Didn't thought of it. Could force me to be creative. Nice, love it.

@Danielle Hammond

Hi Daniel!

This looks like a great opportunity. However, I would really make sure to be able to secure a bank loan. My point is, you don't want to get caught not being able to refi and get stuck with a 12% private loan (that's what I understood). If you can, let's say, get a private loan, rehab the property over 6 months, refi with a bank and payback the private money. That would be a great scenario to me. Also, if it was mine, I would not live there since you lose that 700$ rent coming from somebody else. But, that's just me. You do as you wish :)

Best hopes for your project,

Kevin

@Siddharth Shastri

Congratson the duplex! That's great work.

Keep posting your journey in real estate, very interesting!

Best regards,

Kevin

Thanks all for your helpful responses ! I appreciate it.

@Kyle Penland

@Edgar Pejoro

@Dmitriy Fomichenko

@James Wise

 Thank you for your response! 
Any thoughts on why Option 2 looks better to you?

Hi all!

I'm a new member and I've been listening to BP podcasts for 2 months now. I just love it. I'm from a french province (Quebec) which is close to Montreal in Canada, my english might not be perfect (and i'm sorry for that) but here it is :

I am a full time student but I'll most likely get a full time job by the end of the year. I have about 30 000$ sleeping in a trust fund. I've been waiting to start in real estate for a while now (almost 3 years) and it is time to get started. I would like your advice on these two choices I consider :

Option 1: Getting a first SFH below market (under 150K) which would consume almost all my cash, rehab it, rent it and refinance it (we don't have seasoning period here) and repeat. Problem is, the market is quite tight in my area and homes are an average of 120 days on the market. There aren't many ''deals'' and only a few foreclosures (under 5). Next taxes sales is only in September. Therefore, I am scared of not finding great enough deals to do BRRR. Plus, I don't wanted to get involved with private lenders yet since I have no experience.

Option 2: Waiting for a couple months because one of my family member will most likely be able to loan me (interest free) another 25K then I could get into a bigger building and buy my first MF building (5-6 units) around 400K.

Do you think it is better to get started now with, let's say a 150K SFH and perharps not being able to buy another property before getting another 20-30K for a down payment (which could take me 2 years) OR wait a bit and get into a 400K MF building. The 400K would be financed 75% bank, 12.5% seller financing, 12.5% me. The SFH would be financed 80% bank, 20% me.

I'm currently setting up a Real Estate Investments company and looking for an optimal growth strategy.

Any ideas ideas or thoughts or experiences would be very appreciated.

Ho, also if you can rate my ''english writing'' on a scale of 1 to 10, 1 being awful (ah ah). I'm trying to improve.

Thank you,

Kevin

Hi all!

I'm a new member and I've been listening to BP podcasts for 2 months now. I just love it. I'm from a french province (Quebec) which is close to Montreal in Canada, my english might not be perfect (and i'm sorry for that) but here it is :

I am a full time student but I'll most likely get a full time job by the end of the year. I have about 30 000$ sleeping in a trust fund. I've been waiting to start in real estate for a while now (almost 3 years) and it is time to get started. I would like your advice on these two choices I consider :

Option 1: Getting a first SFH below market (under 150K) which would consume almost all my cash, rehab it, rent it and refinance it (we don't have seasoning period here) and repeat. Problem is, the market is quite tight in my area and homes are an average of 120 days on the market. There aren't many ''deals'' and only a few foreclosures (under 5). Next taxes sales is only in September. Therefore, I am scared of not finding great enough deals to do BRRR. Plus, I don't wanted to get involved with private lenders yet since I have no experience.

Option 2: Waiting for a couple months because one of my family member will most likely be able to loan me (interest free) another 25K then I could get into a bigger building and buy my first MF building (5-6 units) around 400K.

Do you think it is better to get started now with, let's say a 150K SFH and perharps not being able to buy another property before getting another 20-30K for a down payment (which could take me 2 years) OR wait a bit and get into a 400K MF building. The 400K would be financed 75% bank, 12.5% seller financing, 12.5% me. The SFH would be financed 80% bank, 20% me.

I'm currently setting up a Real Estate Investments company and looking for an optimal growth strategy.

Any ideas ideas or thoughts or experiences would be very appreciated.

Ho, also if you can rate my ''english writing'' on a scale of 1 to 10, 1 being awful (ah ah). I'm trying to improve.

Thank you,

Kevin