All Forum Posts by: Michael Plante

@Neel Iyer As has been said interest rates are quite low right now. Even if they go to 10%, that's not that bad. I bought my first house 30 years ago and paid 16.5 % for the loan. Made a killing on that house. You don't even need to look at the Interest Rate, just look at the (money +) vs (money -)

Thanks for your input @Michael Plante. The property I'm looking at has been sitting on the market for 35 days, and just had a price reduction last week. My realtor says that even with the price reduction, there hasn't been very much action on the property. It's a good looking building but the rents are far below market value, which is why it's not generating much interest. As part of the deal, I would do a "cash for keys" where the tenants would sign a agreement to end their tenancy for whatever's offered for compensation (I'm budgeting 10k per door).  **Also please remember that I'm in Canada where rent control is in place. We can only raise rent if a tenant moves out. (other than the 1-2% annual raise that the government permits)** 

So I have limited cash at the moment (went towards my last housing purchase), but I would be able to fund the 30K 'cash for keys' and the sellers closing costs ~20k with other sources of funds. ie, sources that the bank wouldn't accept as a down payment. Once the property is fully rented out at market value, which would be really easy in my market, cash flow will be a little over 1000/month. I feel it's win-win for buyer and seller, which is why I was trying to go down this route. 

That's a good point @Dwayne Poster, I've really liked my realtor up to now. When I mentioned seller financing, he said he would ask, but then quickly got back to me and said sellers not interested, and I felt like he didn't sell it to them. I don't want to be annoying or unrealistic, but should I have him ask them again? Like in a week or so? And should I include some of the parts of the deal that I'd be planning on including? (Ie. full asking price, and we'd cover seller closing, quick closing etc.) 

I own a couple investment properties, but they've all been traditionally funded with down payments from myself. There's a triplex I'm  quite interested in.......now I've read a lot about seller financing (or VTB in Canada, I'm in Canada!), but how does the conversation actually happen?? Do I have my real estate agent simply ask the selling agent if the sellers mortgage is paid off? That feels like an inappropriate question for some reason. Or do I have them simply ask if they're open to seller financing? I guess I'm a bit worried that the seller wouldn't even know what that is......and they would just say no without hearing any of the other details of the offer. 

Thanks for your feedback! 

My goal is to get a conventional loan to buy and hold a single family rental to generate a positive cash flow. 

I am looking for a rule-of-thumb or general advice, not specific to my situation because there are so many other variables to consider -  Given the high interest rates today, is it more favorable to consider an adjustable rate mortgage with a lower interest rate for the first 5 years and then refinance in the future with a hopefully reduced rate, or stick with a 30 year fixed rate mortgage?

I have been listening to Brandon Turner's books on my drive to and from work and rental properties interest me. I came across what I think seems like a good deal on a 3 bdrm 2 bath manufactured home on a .22 acre plot. My question is from what the interwebs has told me thus far is twice moved manufacture homes are difficult to find financing for. I do have the option of a VA loan, however I don't want this to be my primary residence. The specific location is Longview, Wa.

where can I get new kitchen cabinets for a reasonable price , preferably a local seller in the Atlanta area.

Hi,

As a expert in real estate marketing/sales how will you rank following property characteristics from an Buyers perspective.

Property Size

Quality of Construction

Internal Layouts

Accessories

Price

Project Amenities

Locality/Neighborhood

Future Appreciation.

Regards-

Vijay

@Pavan Krishna

I don’t know the rules in California, But I’d start eviction proceedings so they don’t get the idea that they don’t need to move out at the end of the month.

Better now than after 1 month of lost rent.

I appreciate the feedback! I should've been more clear..I'm not referring to an HML; I'm referring to instances when you have an individual that is loaning the money. Let's say it's a family member or an investor loaning from their self directed ira - I'm curious what others are using as POF to submit offers on a house in those scenarios.

I bought a piece of property for 60K.  The property is appraised at 42.5K.  It cost 70K to remodel and 36K to replace the roof.  I have about 25K in cash. Should I mortgage the property to help pay for the roof and remodel so I could rent it out?  I'm not sure which is the best route.  This is my first property and I don't want to screw this up.