All Forum Posts by: Ko Kashiwagi

Hi Anna,

As Bryan, mentioned, building cash by renting out the rooms all the time would be ideal. Otherwise you could finance by credit card, bridge loan (use this property as a collateral) or HELOC.

How much are you looking to put down? DSCR can typically go as low as 20% down. If you're looking to put even less, you'd have to get creative somehow - house hack, second position seller financing, etc.

Hi Nilufar,

Hard money for first time flippers is certainly out there! What kind of projects are you looking into? Most first time programs will qualify you based off of FICO and may limit you in terms of leverage/scope of work (usually no heavy/structural rehabs).

Hi Mateo,

The ideal would be to use cash and then do a cash out refinance into a long term mortgage. If you want to leverage, you could use the property as collateral, take a hard money (bridge) loan, rehab, then refinance, which also makes sense.

^this is assuming you want to refinance based on the full fledged value after rehab/value add. If you're okay with less returns but lower risk/work, you can simply cash out refinance now without doing any work since it's rentable.

Hi Mayuresh,

What are you priorities (cash flow, appreciation, competition, etc)? Cleveland is a very popular place for cash flow and some cities in Austin has done well in appreciation

Hi Charlie,

What is the seasoning requirement of that lender? Some lenders have a longer season period than others. It looks like your lender is unable to use the newly appraised value even at month 3. There are programs out there that can use newly appraised value at month 3 or even week 1 as long as rehab has been done. Happy to discuss further.

Hi Matt,

What are your goals and preferences? Asset class, price range, neighborhood type, cash flow/appreciation, whether you want a rental portfolio or get into rehabs...

It's easier to start from the goals and work backwards. Personally, I'd pick a tenant friendly state and choose states that don't have barriers to entry (insurance, financing, weather, etc). AZ, PA, TX, OH, WI, AL, FL...

Hi Charlie,

Why are you looking to transfer ownership like that? You can do the refinance in your name and pay off the line of credit with the cash proceeds after the funds come to your bank.

Hi Ugo,

No, it's not a requirement for most programs!

Hi J,

Personally not, but it looks like they have many reviews online so I would reference that. May be smart to get another quote just for sanity check if it's your first time.