All Forum Posts by: Mark Munson

Hey @Richard J.

     Welcome to BP! I lived in GA myself for many years, great market to invest in around ATL. 

Hi @Rob Schou

    To echo what others have said above, use the Find a Lender tab and call around to as many as you can. You'll want to ask a few things: 

1. Do you lock my interest rate and when? The right answer to this is they should lock your rate for 30 to 45 days and do so immediately upon your credit being pulled and the application submitted. 

2. What is your debt service coverage ratio? You want a ratio of 1 to 1, anything higher is more restrictive and can mean you will get less money then you are after. 

3. What is your maximum LTV on a cash-out refinance? Most lenders are at 75% LTV, but some go to 80%. 80% LTV will increase your rate fairly significantly.

4. Can you send me a formal term sheet? Make sure you get a formal term sheet to compare apples to apples, don't accept soft quotes. 

5. What is your prepayment penalty length and structure? Aim for a 3-year penalty; and a stepdown structure is most preferred. 

6. What is your closing time frame? Should be about 24 days. 

7. Do you offer buy downs? Some lenders can offer buy downs and even roll that cost into the loan. 

8. What are your fees? This should be outlined on the formal quote, but most will have origination points and an underwriting fee (this is also referred to as processing or service fee too). 

9. Can I roll my origination fee into the loan? Some lenders offer this as well, but usually at 70% LTV and no greater.

10. How much will the appraisal cost me? Some lenders have fixed costs, but most will go through an Appraisal Management Company for bids. Some lenders also upcharge you and use this as a profit center, so avoid that if you can. 

Feel free to reach out if you need any advice. Best of luck!

Hey @Brandon Spaulding

     Welcome to BP! If you are ever at the North Carolina Real Estate Investor Association meeting in Raleigh every month, feel free to connect. 

Hey @Peter Hendriks

      I'm in Orlando, but not familiar with anyone investing in Floridays. I can tell you that if the properties are deemed condotels, then one pitfall would be financing. Condotels are more difficult to get financed and typically come with higher interest rates. 

Hey @Carter McGill

Welcome to BP! Congrats on taking the first step. Firstly, I would look into any local real estate investing groups in your area. Search "Tuscaloosa real estate investing" and I'm sure you'll find some. If you are limited on cash, you may want to look at a HELOC on your primary residence to access capital to start flipping or buying rentals. If you can get some cash out from the HELOC, you can then leverage that against hard money or other types of financing. Feel free to reach out if you need advice and best of luck!

Hi @Jennifer L.

     Welcome to BP! I'm in Orlando, I'd welcome a connection. 

Hey @Rob Titus

      I would look into the Jax Real Estate Investor Association, amongst other meetups. Getting into more events is the best way to build a local network and gain a lot of knowledge for low costs. 

Hey @Patrick Sprague

Welcome to BP! I see you're in the Raleigh area, I would also look into the North Carolina Real Estate Investors Association there. The main monthly meeting is held in Raleigh and it would be a good group for you to get plugged into to get more local contacts and learn more. I am a member myself and always encourage investors to get into their local REIA. Feel free to connect and best of luck!

Hi @Chris Armstrong

     Welcome to BP, best of luck on investing journey!

 I'd be happy to help, I'll send you a message.