All Forum Posts by: Matthew Barnauskas

 Sorry I should have been more clear. The foundation issue would have been upwards of 25k to repair and fix addition which is why I asked for the draw early.

I will do some more digging. Luckily I got a good deal and was able to cut bait without taking a huge hit. 

I purchased a fix and flip using Hard Money Back in October. This was a joint venture where I put 10% down of the total cost to purchase and rehab and I would split the profit with the lender (80% to me 20% to the lender). Purchase price was 129,000 and estimated rehab of 100k. All in the funding company would be contributing $220,000 and I had put 25k down. I paid points on the loan origination at 0.05% and that was based on their rehab contribution of $220k.  They conducted their own inspection of the property and we drafted a draw schedule. I was to pay for part of rehab out of pocket and then be reimbursed. Problems arose when an unforseen foundation issue on an old addition put a halt on repairs. When I went to funding company for a draw to repair foundation they refused because I would not be following the agreed upon draw schedule. I had already put over 10k into this and did not have enough liquid to do the foundation repairs without a draw. I ended up selling the property without taking out any of the draws. My question is am I entitled to a refund of the points I paid on the initial loan if I never took out a draw? Its a difference of over $7,000

I recently entered into a joint venture with a lending company to do a fix and flip. It was an off market listing and the seller would only take an all cash offer so I was limited with my options. This was supposed to be a quick in and out however structural issues arose that weren't found in the inspection so it is going to take much longer than anticipated. This could be a blessing in disguise however. This property is a duplex. My question is would I be able to purchase this property outright using an FHA 203k loan and move into the property once renovations are complete. This home is on a double lot and their is potential to build another duplex. A lot split is 100% able to happen. My plan would be to live in the property for a year refi out of the FHA loan (Ill have about 60% LTV after repairs) then get a construction loan and build another duplex. I would do a BRRRR with this new build. Rents on the property I am rehabbing would be $1200/unit (ea. 2 bed 1 bath). The duplex I would build would be a 3 bed/2 bath ea. unit and would garner $1500-1600/unit. Does anyone have any experience with anything like this. I know its kind of a unique situation but I think it has some potential. Any advice on this topic would be great. Thanks!

I am interested in finding a rental portfolio lender for a potential deal I am trying to secure. There are two 2 unit duplexes. 1st duplex is two - 5 bedroom units, 2nd duplex is two - 2 bedroom units. Gross Rent is $6000/mth all units currently leased Through August 2018.  Asking price is $600,000k. 

So I'm not entirely sure if this strategy would work but I just recently purchased a home with an fha loan (within last 3 months). I have found a hugely discounted property that is a hud property that has to be owner occupied as well and would be a great live and flip property. Would I be able to be on this loan as a non occupying co borrowed with my girlfriend on this property even though I currently have this fha loan of my own?

thank you for the replies I appreciate any advice 

I purchased my first duplex two years ago and have been living on one side while renting out the other and making improvements to my side along the way. I finished improvements and purchased my 2nd duplex 3 months ago. One side was already occupied and pays the mortgage while the other was a total gut job. I am almost finished with this and will be moving in shortly to garner more rent from my first property. My plan has been to buy fixer uppers in nice areas to get quality tenants. Plan is working great so far. I have been wanting to get into the fix and flip side of real estate investing for a while. The searching/fixing/selling side of real estate is what really interests me. I was hoping to find someone in the Columbus ohio that is currently in the flipping business to allow me to "shadow" so to speak, the whole process so I can get a better idea of how to go about fixing and flipping. My biggest issue is how to gain enough capital to buy my first property. Most properties I find for potential flips would need cash offers. Should I go the hard money route to pay for these?