All Forum Posts by: Kushaal Malde

all these are great suggestions. in essence...

-trade your time right now via w2 --focus on faang, do you what you do best hire out the rest. faang for a few years will prepare your war chest and dry powder for taking on real estate where a big problem for newer investors is not budgeting enough/keeping reserves

-invest passively meanwhile (LP in syndications/PE and start to at least network, build your team-OOS STR needs a good BOTG, your geographical focus etc)

-househack while you live locally, from day 0. this will add tremendous experience to your future projects. get preapproved, explore your options. sfh rent out rooms if dti is no issue. or 2-4 unit fha 3.5% or conv 15% etc

you're in a great position! congrats. would be great to get your feedback and see how goes your journey

@Ryan Lam this is not an atypical situation seen here in the bay area. the easy part is selling, the hard part will be buying. would need to know a few more details, but here are some raw thoughts on both scenarios...

-sell first, buy later: sale can be quick, can buy next home competitively with cash and then just take out delayed financing up to 80% ltv. that is assuming the next home is less than or equal to the net proceeds from the sale. otherwise you could use it as 10% down payment and not have to worry about DTI limits. again need more details like what are our dti limits?

-buy first, sell later: again, dti may be an issue. but can use HELOC, fund at 10% (even jumbo). recast after sale proceeds applied. also don't have to worry about moving and living somewhere else in between home ownership.

are you buying similar value home or lesser? do you have a place to stay in between? dti limits? would love to get more details and hear your thoughts overall!

@Josh Raikin Welcome to BP and the south bay area. I'm a mortgage broker based here in the peninsula always looking to grow my network. I also invest OOS in Northeast Ohio. Feel free to reach out, would love to connect and be a resource however I can!

Hey @Michael Lee sorry to hear you have had much trouble connecting with an agent. Are you looking for a primary or a rental? You mentioned you are already preapproved, does your lender have any realtor partners they can refer? Have you asked any friends or family for their real estate agents referrals?

Referrals sound like a great way to shortcut your frustration! 

Hey @Carlos Perrault/@Daniel JongMin Kim any updates on your situation with all these great suggestions?

@Derrick Van Dyke you must use as Owner Occupied for at least 12 months and you must move in within 60 days of signing the Note. If the tenants are on M2M and current, that is positive. Are they willing to move out or will that be a problem? I'm also curious why you're choosing FHA route on this as well if it's a townhome/1 unit. Feel free to reach out if you have any financing questions or need a 2nd opinion on anything!

As you're under contract already, time is of the essence!

Hi Sid and others, I too am interested in vacation/2nd home rentals in the Groveland area. Loan programs are also attractive with 90 ltv and good rates. What kind of properties are you searching for?

275k equity + 150k debt = 425k FMV.

What's your current interest rate? What can you rent your current residence for and will you manage the tenant? What will the interest rate and terms be on the line of credit? Have you considered 80% LTV cash out refinance?

Let management do what they are paid to do...get to know, trust and like your PMs...unless you want to be in the business of managing. 

Even though you're looking for move in ready you will want to keep some funds in reserves, usually denoted in months of payments for sfh or $/unit for mf. Rule of thumb would be 6 months of reserves or $250/unit/year but depends on climate, age, condition, etc. 

As far as actual capital to get the deal done (for a house-hack), 5% is reasonable. Try to find a lender who does not charge lender closing costs!