All Forum Posts by: Michael McBee

@Donald Thomas congrats! And year that would be awesome if you could break the land into 2,3, or 4 separate parcels! Question: When did you get your inspection? Did you get a pre-inspection to uncover any issues or did you wait until after it was under contract? I’m working on buying a duplex as an off market deal.

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@Tim Herman 2 questions...what is Debt Service and if you do owner financing, is the original Loan still in their name? When the property is paid for, do you get the title/deed...I’m a newbie too, bare with me lol

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@Andrew Goelz I was told, I could only get a HELOC on my primary residence, not on an investment property. Do you know if that is true?

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This is a great story! How did you go about finding good contractors and managing them from out-of-state?

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Originally posted by @James Gates:

Originally posted by @Terri O'Brien:

@James Gates - what a great journey and thank you for sharing that. You are an inspiration to all of us getting started. I own a house in Denver, Colorado and just took out a HELOC of $55k but cannot buy any rental properties here...so I am concentrating on an area I grew up in on the East Coast where my family still lives. Can I ask you - how did you find your partners?

Hey Terri,

Awesome job on the HELOC, it's a great strategy for "transferring" passive equity from one property to active equity in another.

I found my partners through a variety of ways. My primary business partner was an old co-worker of mine who is extremely like-minded when it comes to goals, attitude, and motivation.

Another partner was found on BP! I did a search for members in my area, asked him to coffee, and it blossomed into a partnership on two properties.

Another partner was simply a mutual friend who heard and saw what I was doing with Real Estate, asked for a sit down meeting, and when I showed him the numbers jumped right in!

My question is...When partnering with people that you just met, what are some qualities that you look for other than motivation and like-mindedness. Would you recommend partners that live out of town? I am looking for partners also.

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Originally posted by @Chris Battaglia:

Congratulations! How much did the refinance cost you and how much did your mortgage payment go up by? I feel like this part of the BRRRR strategy is not often talked about and curious to hear how it impacted your monthly cash flow.

I did a ReFi and got a $53K HELOC a few months ago. It was around 5k to do the Refi...they just tacked it into the mortgage payment so I didn't really feel it.

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Originally posted by @Brent Coombs:

Originally posted by @Michael McBee:

Originally posted by @Brent Coombs:

Originally posted by @Michael McBee:

Hi everyone, I took out a Heloc on my primary residence to do renovations and I plan to refinance the heloc into a 30 year mortgage. Do you all think the bank will let me get another heloc on the same primary residence to purchase a rental property?

They either will or they won't, at the time. [You're not limited to asking just one Lender].

But always ask yourself: Am I wisely investing any and all money they let me borrow? Cheers...

Thanks for the input. I acquired the house for next to nothing so there's no mortgage on the property (I paid cash). After the 50k worth of renovations, The house should have a great deal of equity. I don't plan to use all of the equity & I'm hoping to buy another property for 50k or less using the Brrrr strategy.

Just be aware that Lenders hate giving out mortgages of less than $50k (and so usually refuse to; some won't lend less than $100k), so are you sure you're in the right value range for BRRRR?

Update: I was able to refi the 50K Heloc to a 30 year mortgage and keep the 50K heloc open. The only thing that help me up was constant problems with my contractor and the renovation process. In the end everything worked out.

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Hi Jon! Thanks for the welcome and the info. I'll be sure to set up the key word alerts. I see that you're a Real Estate Agent. How long have you been an agent in Richmond?

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All Forum Posts by: Michael McBee

Michael McBee has started 1 posts and replied 13 times.

Post: First time home buyer

Post: First Deal Complete and WOW

Post: First Deal Complete and WOW

Post: Should I pay down rental property?

Post: Should I pay down rental property?

Post: FIRST BRRR Complete! Details + Pictures!

Post: FIRST BRRR Complete! Details + Pictures!

Post: FIRST BRRR Complete! Details + Pictures!

Post: HELOC on a rental

Post: New member looking to connect with people in Richmond, VA