All Forum Posts by: Michael Dunn

Jason Chambers and John Whittle, thank you both for your replies.

The ARV of what the house will be worth once it's renovated.

The property needs about $25,000 in repairs, of which I do not have , as well as butting 15% - 20% down on a $50,000 Purchase Price for JUST the Property.  

So $50,000 for the Property , $25,000 for the repairs, $5,000 ( for 2 sets of closing )  =  $80,000 my All-In

The ARV should come in at $110,000 ..... My primary is in the exact same neighborhood ( and I did a FULL Renovation on it last year ) as is this Investment property I am looking to purchase, and mine appraised for $108,000 with very similar comparables , except this other Property is on a Lake .... so this " Should " increase the vale a bit , so I'm assuming it comes in around $110,000 ARV

At $110,000 ARV , and a Purchase Price of all-in costs at $80,000 .... I'll be close to Purchasing it at 30% Below Market Value

I just don't have the available Cash to Pay for the $25,000 in Repairs + the " Likely " $10,000 down Payment , and this is why I;'m looking at / leaning towards doing a Cash-Out refi. of the Equity in My Primary . Properties Like this don't come around often in my area, so i want to pounce on it while I can, and with doing a VA Loan refi. , I feel like this would be a wise decision to make, to get the funds necessary for the Repairs and the Down Payment

Jason Chambers,

Great insight into the possible 2 scenarios I am looking at. 

I am ( and have already calculated it into my overall TOTAL out of pocket expenses ) for the purchase of this Investment property, and that is ...... $2,500 " Per " closing cost. So 1 set of closing costs is for the Refi. on my primary, and the other set of closing costs is when I go to Refi. on the Investment property ( at 75% LTV )

I need the access to the upper part of $35,000 to purchase ( down Payment ) and Rehab + the two sets of Closing Costs on this Investment property. I'm estimating the Down Payment at $10,000 ( 20% on $50,000 purchase price for the property ) , although my Lender did say that I could do 15% down .... I'm assuming PMI would then be tacked on though .... I'll have to run the numbers on the comparison of 15% vs 20%

Rehab costs of $25,000 

And add in $2,500 for each of the 2 closing costs ( so $5,000 total ), and I'm right there at the TOTAL amount needed of $40,000 to get this property.

I have just over $40,000 of Equity in my Primary . And with the option to use my VA loan for a VA refi. , I was told I can get 100% of the Equity out

I don't want to Max out my Borrowing/Leverage , but if the numbers are coming out right , and I get this property at 30% Below Market value when it's all said in done, I am assuming taking out the Full amount of Equity from my Primary " Makes Sense " ? 

Jason Chambers

Bruno C. ,

The main reason I'm leaning towards using my VA Loan to do a Cash-Out Refi. , is that I need access to nearly 100% of the Equity in my Primary ( roughly $40,000 ), in order for me to purchase this Investment property.

If I understand it correctly with a HELOC , I'd only be able to get a 80% LTV of the ARV of my primary ( $108,000 ) minus what I owe on the property ( ( $67,000 ) ..... So I could get $19,000 with a HELOC VS $40,000 with a Refi. using my VA Loan for the refinancing

I believe I have this information correct ? 

Bruno, thanks so much for sharing 

Mark, awesome information.. Thank you so much 

Brent Coombs,

Have you ever seen a Bank / Lender do a LTV of 90% - 100% via a HELOC on the amount of Equity a house has ?

From what I gather, I can get 100% of the Equity out if I do a Refi. using a VA loan , or 50% of the Equity if I go with a HELOC ?

Brent Coombs

Jason Chambers and Brent Coombs ,

If I have $40,000 of Equity in my Primary ...... With a HELOC, how much of that $40,000 will I have at my disposal .... 100% of it ?

Reason I'm asking is ..... I'm going to need upwards of $35,000 for the DownPayment and Renovations with this Investment property, and Refi. via a VA Loan refinance, i was told I can get 100% of the Equity out. Can the same be done with a HELOC ?

Thanks 

I need some good ideas on how to go about finding who the current Owner of a various property is, and or at least who is the Trustee of such Property.

I have gone to the state's website of which the property is located.... typed in Parcel Number, Lot number, Subdivision, done last name/first name search, I've done the Address it's self search.

All  have gotten is who the " Original " owner(s) are and nothing else 

I've even called the Chancery Clerk, Tax Collector, Tax Assessor, The Code Enforcement officer ( who actually put the Public Notice on the Properties )

No one can find out and or give me the name(s) of who currently has Ownership / the Rights to the Property

I am wanting to offer them Cash ( through a Loan from my Lender ) for the Property, as well as pay any Likely Back Taxes that are owed.

I guess my best bet is to knock on doors of neighbors and see if they may know who now owns it, or who it was willed to as the beneficiary

Thank you for any tips or recommendations on how to have the best chance for getting the name ( and mainly the Phone number ) of who currently owns the property.

The property has been sitting vaccant for well over a year now, so it's in a distressed state.  Just not sure if it's going through a Foreclosure process 

Thanks so much for the help 

Thanks so much for your help , I really appreciate it 

Meant to say .... my All-In costs will come in right around $40,000  ( since I'm assuming the Repairs come in on the high side at $30,000  )