All Forum Posts by: Lianna Mae Smith

 Not me so far. But they broke contract with me by attempting to get my credit lines increased after I specifically declined it on the contract signed 

Just a note- I confronted them with their suspended license multiple times and the squirrely agents sent me a new business license that they have in -  I believe Delaware? They claim that the suspended license is for their "loan deparment" and since they dont OFFER loans anymore it doesn't matter that it lapsed.  I have yet to confirm if it's legit because the license details are behind a paywall.  Has anyone ever actually been sent to collections by them? I haven't paid. They keep calling (refuse to  email) and "tacking on fees" and then begging to call back to we can "settle". 

Sorry to resurrect an old thread but just to add my experiences- I feel so betrayed and scammed and like a fool despite having the same though process as Heath Jones did

I just got taken in by this. I did a cursory internet search when they contacted me and the relatively high ratings and apparently legitimate business structure made me unwary of them being dishonest. I looked at their fees and thought OK I would pay more for a hard money loan anyway and could use the help to get funding. here I am with a bunch of crappy consumer credit cards flying out to a house I don't even live at. I am filling a complaint with the BBB because this is unacceptable, they arent even operating as a legit business. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $375,000
Cash invested: $30,000

Purchased a duplex for owner inhabited STR or corporate rental

What made you interested in investing in this type of deal?

Better profit margin, than long term rentals and higher turnover (not "stuck" with any person for too long)

How did you find this deal and how did you negotiate it?

standard search via redfin site

How did you finance this deal?

Personal loan and FHA mortgage

How did you add value to the deal?

Furnishing, builtins, landscaping, various upgrades to the home

Lessons learned? Challenges?

I need to have applied for the STR permit before even closing on the home.
I need to have chosen and ordered furniture /washer dryer before even setting foot in the home after closing day to get the ball rolling on photos for listing the home.
More strict and insistent on the punch list for the contractor

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Redfin agent Jessica Carroll - Excellent. organized, knowledgeable and assertive.
Eustis Mortgage Sunny Shannon - creative and on the ball with getting us qualified

I do like the house on a personal level and chose it for its location, not in need of any renovation at all- and just 10 minutes to my work.  I figure that I would be paying $1500-$2000 if I were to live elsewhere, so I am counting myself as “renting” to myself and contributing that amount in expenses to the property while a renter provides the other $2000. I had already budgeted that amount from my personal budget for living expenses and since I live and work in New Orleans, it doesn’t make sense to me to buy a real estate investment on top of renting a home until we can get enough capital for the next one. If we do decide to move on we would have a duplex with duplex incomes to support us wherever we move. I think it would also make a good short term rental if necessary  because it’s quite close to the Vieux Carre and streetcar.

I appreciate the input and thanks for the replies. Though I was already clear on my numbers and motivations for this property before posting, just poking around to see any potential missed expenses or pitfalls. 

Thanks so much for your reply!

 Unfortunately I did the calculation based on if I was -not- occupying.

Though my logic is, since I would be “saving” that money by staying here, I think it’s fair to still include it even if I’m just paying those costs to myself. it’s actually just $2000-2200 that’s coming from the tenant themselves.... the other $1500 is the amount I am not paying in rent to someone else. this is the first time I’ve bought a multi family home like this and I’m a bit nervous but the numbers seemed to work. We are under contract now!

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Thank you, it's certainly something I had always wished for. Now I'm moving to New Orleans and would like to find some wisdom on creative financing for a duplex since I am changing job industries and wanting to owner occupy.