All Forum Posts by: Steve McGovern

@Gary Fare: 

Yes, you need to check the Due On Sale clause.  People will tell you all the time:  "Oh, they don't care, as long as you're paying the Mortgage."  I prefer to take a more cautious approach to the question: 

1) Have you consulted a lawyer?  You SHOULD, if for no other reason than that most people who make the move you're making are looking for a reduction in (some) liability in some way, and the fact that you mention "fees and some other factors."    Having the entire chat with the attorney will be exponentially more beneficial to your strategies than throwing a potential legal quagmire like this onto a social media site. (An intelligent, helpful, and precisely-targeted social media site, but a social media site, all the same.) 

2) Have you approached your Lender to ask the question of whether they'll allow this change?  Depending on your reps & warranties, your credit profile and your reasons for the move, they MAY either let you or will simply have good advice for you.  Better still, if it's a small bank or credit union as opposed to "Monster National Mortgage Corporation."  

One thing to seriously be advised of:  Low-e glazing blocks signal from cell towers.  If you're in an area with adequate-to-poor cell coverage, then caveat emptor.  

On the other hand, if it's just a stick-built structure and there's a cell tower stocked with all the carriers right nearby,  then by all means, have at it.  

Getting to Yes, by Fisher and Ury.   

@John Kunick:  FAR from a 'liberal catch-phrase' and ubiquitous in real estate, nationwide, including your own jurisdiction: 

HELOCS-- Cash when you need it; pay yourself back over time, rinse, repeat.  All good-- ESPECIALLY for major capital expenses  like a furnace going or new windows.  

My only warning on the HELOCS for funding a new property:  Most are variable rates.   Just keep that in mind in the current economic environment.  Cash-out fixed MIGHT be a better way to go at this moment in history when you're seeking a longer-term loan to fund a down payment.   

Again, many ways to skin this cat-- think it through completely.   In your situation, with no Mortgage at all... maybe doing BOTH makes sense.  

No affiliation here... but I've bought form them before.  While you're looking for professionals, do check out  the website "fast growing trees dot com" .   I've been previously impressed with their selection especially when it comes to new v. "maturing" trees.   

good luck.  

To post property, it’s Agents only; specifically BROKERS and broker-sanctioned agents only. To view property, various limited views are available to the public via various real estate agencies/brokerage houses. If you want the full view, you should become an Agent or develop a—um, ‘deep and meaningful relationship’ with one. What are you trying to achieve?

Very first thing: stop telling people you have money. Second, attend at least about a dozen REIA meetings before you utter those words again. Someone else said to get a license— that’s good advice for short money and moderate effort. It’ll also tell you whether you really like this stuff. There are a hundred thousand things you could do with that cash, up to and including getting a Doctoral degree in Philosophy. Make sure you want it. Congrats on your windfall.

Very interesting question. To be honest, the best possible answerer is right in your friend’s history: When he applied for Disability, there was some professional who stood up for him and advocated on his behalf. It could be an attorney or a social worker. THAT is the person who should answer this question for you. Every SSDI case is different, and certain advocates will need to say certain things to get certain people their benefits in certain cases. This statement is simple objective truth— not a judgement call or evidence of “skirting, exaggeration or seeking a hand out”. The key, however, isn’t what “someone on disability can do or not do,” it’s specifically what HE can do. That will depend— quite precisely— on what was stated and accepted in his case. Seek out whoever helped before, explain the scenario and ask for that person’s advice. In lieu of that person, ask another advocate for his/her opinion, and seek to get the determination amended if necessary. Good luck.

James English I’m not sure I understand your first question— how will the lender treat you as an LLC? Is that what you mean? — Or is your question about how to set one up? I’ll assume the former— unfortunately, it depends on the lender and your situation. Some lenders will say that they won’t lend to you as an LLC, others may have no problem at all, and still others will allow your LLC, but will also insist on personal liability or recourse of each of the partners (members/managers, to be precise, in the case of your LLC.) it really depends. For those who say no, it’s usually more about the borrowers’ individual profiles than it is an obstinate denial of all corporate borrowers using LLCs. Same answer for your second question— in most cases, and especially for newer investors, they’ll still seek the credit history of each member/manager, but you can find some others that are happy to lend based on an under-leveraged asset and overly-oppressive default language. Unfortunately, in many Southern states (which I’ll assume you’re investing in based on your personal locations) it’s easy for a lender to take advantage of borrowers. The good news in these climates is that it’s also easier to negotiate your terms— but you should definitely hire an attorney to represent your interests In speaking with that lender. Again, I alluded to this before: they can always say ‘no’ to your loan... but that fact shouldn’t stop you from doing the best you can in those docs.