All Forum Posts by: Mark Sewell

This was why I decided to go to work here as a loan officer with a HM lender.  The sooner I help 99 other people succeed, the sooner I get to join them.  And it's fun and I'm getting to learn and grow in the process.

Alex as other have noted, this time around it is different.  After 2008 we had years of housing inventory sitting.  Not the case now.  In fact we are underbuilt.  Houses getting snapped up over asking price.  And that's really the challenge - keeping some level of discipline and not overpaying.  

Will there be a wave of foreclosures next year?  I hear that discussion a lot - like after Harvey, about a year... maybe, could be.  I have also heard that now the banks are smarter and maybe this time they will try to parse out those properties in smaller batches.

I think timing the market is kind of a fools errand anyway, even in the best of times - just like investing in the stock market. The good news is hey, you only need that one house, for starting out, right?  Only takes one seller to say yes.  The 99 declines didn't cost you much, if anything.  Its your job to offer what works for you, and it's their job to say no.

OR

just go flip a house!

Appraisers seem to be pretty busy right now - I could see where that might be a cool career to have.

Maybe the thing to do is network a bit and see if maybe you can get to know some of these people - professionals that work at title agencies or property management companies?  Find out more what skills are needed, what the pace is like, etc. 

There are 30-year fixed rate loan products out there for investors that require relatively little documentation - no income requirements at all.  Now obviously for these loans, you won't get crazy low 4% rates.  You could maybe get 6.25% or 7% depending on your credit score.  But they are out there, and it could be one tool in your toolbox.

Working the MLS is only one channel - and it is the first one everybody tries. You might want to get to know some local wholesalers. I have one guy in my network over there, named Josh Tizol. He is not a big wholesaler but he gets some deals. Of course, work your own numbers - wholesalers tend to cherry-pick the highest comps for ARV and not all of them are skilled at estimating renovations. If you like, I can run some comps with you, and work up some loan parameters. But deal flow is the hardest part - finding the money is easy.

Josh, I got you covered, sir.  We have as much or as little HM as you will need, and we do a lot of business over your way.  Give me a call, my mobile is listed here.

And we also have some non-QM 30year fixed stuff we can offer you - best rates on that right now are about 6.25% for a good credit score, but then again, nobody cares a lick what your income is.  None of these are one-size-fits all solutions, but I think it is fair to say that these are clubs that you want to have in your golf bag.

One guy I have been watching lately online is Ken McElroy - he is originally from Seattle now based in Scottsdale and invests in MF all over the country. Lots of free resources on his YT channel.  He talks about he structures his deals, etc.  Not sure about mentorship - I don't think you need that, anyway.  Go network with other people doing what it is you want to do, AND go make friends with some lenders in your area.  Get to know the people they already know and you are on your way.

Even if you have ONE rental house - you move out of the house you own now and keep it as a rental, and find some other less expensive (or smaller or whatever, better somehow) place to live, and it cash flows a couple hundred bucks is all -- then you are still MARGINALLY better off in retirement than you would have been.  

A couple hundred bucks of cashflow now might be $500 of cashflow (or more) when you retire.  Heck that one house might be paid off by then, or close to it.  Again, this might not keep you from having to work in retirement, but maybe you'll get a day off here and there - or put you in a position so that you will be able to afford your meds.

So why not do what you can?  Maybe you don't get invited onto the podcast to talk to Brandon and David about how you crushed it --- all that matters is that you are in a better spot that you would have been.  And who knows, look what all these other people in this very thread have managed to do!!

I am also a very late starter, and my first deal was a flip that set me back.  Still not giving up.  I'm just not.

Give me a call.  We can run some scenarios.  

Basically you need (a) buy it right and (b) have some reserves.  I'll help you calculate that.

You will might hit a snag on the REFI part, since you are new in this role and brokers/lenders are tight on verification of income requirements.  There are some non-QM loans out there, however, but the rate is a little higher.