All Forum Posts by: Jill Drebing

Yes if you’d like to run the numbers by UW that’s fine. thanks @Dale Ferrell

Hi all,

We currently own 6 SF rental homes in the Chicagoland area.  All 6 are currently rented out and we have owned them for a minimum of  18 months to 5 1/2 years.  Unfortunately, we've had some bumps in the road the past year with family health issues, flooding of a basement and loss of a job.  This has caused our financial cushion to dwindle and want to be proactive before it is completely gone!  Here is our breakdown-

one property on a stand-alone 20-year loan, 4.5% interest. Rent $1440, FMV $165, outstanding mortgage 94k. Great tenants, want to keep this one.

four properties on a business line of credit, interest only, the interest rate just increased to 6.5%. owe 200k, monthly payment around $1,074. All four properties we have owned more than 4 1/2 years. property values have increased dramatically since opening the line in June 2015. we were able to take a line of 219k which was 80%LTV. Now the 4 properties appraised at a combined value of 447k(about 49%LTV)

The 6th property we bought with the line of credit, so nothing on this one. FMV 126k, rented out for $1,400.

We need to either sell a few properties, which we really don't want to do or try and refinance with a cash-out refi on the 6th property or put individual loans on each property.  We are definitely stuck for the moment and need to move quickly.

Any suggestions?

We purchased a home on April 26th this year.  It was a vacant foreclosed home being sold as is.  Had a sale inspection with City, posted escrow and proceeded to rehab the home.   Completed all required repairs and updates.  Listed house in August, house under contract in 19 Days.  Home inspection completed, repairs requested completed & closed October 11th. October.  October 14th area was hit with a flash flood and City took in 5-6” of rain water in less then 24 hours.

Buyers now want to sue us because they claim we never disclosed seepage in basement.  Basement was bone dry for the time we owned property.  Said we lied and covered up repairs. Never repaired because there were no issues.  The flash flood caused a lot seepage and water in the basement.  We don’t understand how we can control an act of god and at what point is a closed deal done.

Anyone experience anything like this? 

Any advice?

Thanks

Hi all-

My husband and I currently own 4 rental properties.  We have no mortgage on any of them.  Current market value for all 4 combined is $325000.  Rental income $4424/month.  Currently have 20k in reserve and another 32k by end of September.  Total cash approx. 50k.

Primary residence owe $758k worth approx. 800k, basically no equity to pull.

Looking to purchase a vacation rental for 200-225k. Will be able to get $1000-$1200/week during prime season memorial day thru labor day.

Should we apply for a mortgage loan and use our reserve for 20% down payment? or Try and get a personal or business line of credit?  Not sure what the best financial option is for this deal but do not want to lose the deal.

Thanks,

Jill