All Forum Posts by: Michael Dumler

@Benjamin Carver Yes you can. I believe FHA cash out allows you to refinance up to 80% of your home's value and often comes with higher rates than standard FHA loans. Also keep in mind, with FHA insured loans, you're responsible for mortgage insurance which inevitably raises your monhtly payment. I would go with a convetional cash out to avoid mortgage insurance payments. Hope this helps!

@Auralee Smith if the property is listed as a foreclosure, it is owned by the bank (REO). In this case, there is usually little room for negotioation. The bank wants it's original investment back and therefore, at times, the property will be listed below market value. Keep in mind, foreclosed homes are sold "as is" so, don't expect any repairs to be accommodated for. As you mentioned, there are usually hidden costs associated with REO properties. If the property is transferred over to your name, but still holds taxes and liens, you are now responsible. To my understanding as well, obtaining financing for a foreclosed home can be difficult. Hence, most REO sales involve cash transactions. Hope this helps!

Auralee, feel free to shoot me a pm. I've done several deals out in Conyers. 

@Marlina Eva Steinson my advice, before hopping straight into the industry, shawdow a successful agent for a year. This will provide you the oppotunity to learn the ins and outs of real estate. Keep in mind, becoming an agent is entirely different from the corporate world. You're responsible for scheduling your day, prospecting for clients, negotiating deals, etc. In the beginning, you're essentially running every part of a business, you're a one man band. It all takes time and you learn something new everyday in this industry. To note, you're already off to a great start by creating a profile and posting on BiggerPockets. Best of luck! 

This is hilarious. Folks frustrated about not being able to find deals 8 years ago. To my understanding 2013 was one of the most prime marktets to buy deals. ROI of 9% nowadays is a great deal in my opinion given the nature of today's market. Not to sound like a broken record, but the reality is it's time in the market, not timing the market.

To reiterate what @Andrew Freed said, every property was a deal back then if you held until present day. With that being said, many of the investment strategies mentioned still apply. Seek other markets where the numbers make sense and keep your inner circle filled with those who are always searching for a solid deal. For individuals still having trouble finding deals, I would actually counter what others have said. While cash flow may be the foundation to RE investing, as time has shown, appreciation while not a guarantee, will yield higher returns. If you're passing on deals today that cash flow $200+ per month and hit an ROI of 9%, look at the bigger picture. Hope this made sense, always happy to chat more to clarify!

Evergrande, a Chinese company that is largely associated with real estate development holds $300 billion in debt that cannot be paid off. Majority of the companies assets are held in real estate which as we all know is fairly illiquid.

Is this China's version of Lehman Brothers? Will China bail them out? How will this affect U.S. markets? Already we're seeing some fear in the market as stocks and crypto turn. 

In the long run, who is going to be at fault and liable for this? And more importantly, who is going to lose big from these risky investments? Would love to gain more intel from those who are well versed in this area. Thanks. 

@Kevonna Ahmad FHA is an insured loan that is backed by the Federal Housing Administration. Due to the demand, most banks and lenders offer this type of financing. I would keep things simple and call around to your local banks. Perform your due diligence and determine which lender will offer the best terms and be easy to work with throughout the process. Hope this helps!

@Ally Gao as others have alluded towards, the short answer is no. Unless you are perfroming multiple transactions a year, it's not necessary. 

As far as online courses, I understand Aceable Agent, which was founded in Texas, is a great platform to learn all of the needed concepts for the State and National exam. Hope this helps. 

@Sharise S. that's upsetting. Most reliable property mangers should get back within 24 hours, if not earlier. I would continue to hit them from all angles, call, text, email, etc. This is why it's crucial to set expectations upfront when initially interviewing pms. Just curious, how did you get in touch with them? I would recommend only using pms that have been referred to you by someone you trust. If problems don't shape up, identify in the contract where the pm has not been fulfillig the terms, and determine if you can legally terminate. It may cost you in the short term, but certainly better then having the problem arise time after time. Hope this helps. 

@Robert Reno I'm not in the Las Vegas market, but I advise you connect with a real estate agent that knows the market in and out. It's great to hear you have 90k in cash reserves, but that doesn't necessarily mean a deal will come your way. As an investor you need to get specific with your criteria. Most on market "deals" are not deals at all, depending on your definition/criteria. The more information you can give to your agent and other investors in your network, the better chances you have of identifying and pulling the trigger on a potential deal. A good agent, who is well versed in the industry should be able to connect you with a solid lender, pm, and contractor if needed. Hope this helps! 

@Valeria Boesch connect with a real estate agent that knows your market in and out. You are correct, homes are selling fast and usually for way over asking. With that said, this is where you need to get creative as an investor. Nail down your specific niche and criteria so, when the opportunity presents itself, you're ready to pull the trigger. Also, since you mentioned you still need two years of taxable income via your W-2, you've got time. Continue to educate yourself and keep an eye on the market. Best of luck!