All Forum Posts by: Mike Hanneman

To make filling your rental easier and to appeal to most tenants, I would provide the appliances that most of the other rentals in your area/market provide. For my area, a unit missing a fridge isn't going to be rented very easily, where as I don't provide washer or dryer but have the hookups.

I think even though you are using a PM you still need to check on the property, if anything to check on the PM. Especisally in the beginning of this arrangement to make sure the PM is doing eveything they say they are doing and everything that they are getting paid to do. This is your investment so no one can really tell you how often and how to do the inspections so you feel secure. You must though know the law in your area about inspections and not violate it.

So you leveraged your primary (personal home) to pay off a rental ( tenants were paying the mortgage)?  Not sure why the bank would recommend this, but too late now!?!!

Well I don't understand as to why you can't get your money out? I would find a lender that I could borrow against my rental to get my money out of it to buy more rentals!

Don't use Wells for anything!!!! I had the highest level accounts one can have with them and they still won't budge on most loans. They have become too big of a bank. I was putting 70% down with a 760 credit on a deal and they still wouldn't loan to me. Went next door, literally, and got a loan from another big bank.

If you use an HML there is no seasoning, LTV could vary depending on lender, I've seen a couple offering up to 85%, but 70-80% is the norm. You will be paying much more in interest though.

Your rates are not going to be the same state wide, not even city wide. Every neighborhood has a different market rate for rent. Some rents can vary by a lot.

Check craigslist, zillow, rent-o-meter, even call some PM companies.

I'm dealing with this as we speak and yes the lender I'm working with says I have to wait 6 months for seasoning. I think mine is title seasoning. This could vary with different lenders, maybe, but the two I talked to have title seasoning.

For me it's the time issue. I can be out of most flips in under 2 - 3 months. Planning/permitting alone on new builds could take that long. Maybe I'm wrong but that's what it seems to me.

In some areas investors are buying houses and renowing(sp) them for under $150K wouldn't it be hard to even build an average home for that today?

This is something you want to speak with a professional about. Don't rely on some info you got off the internet. It won't cost much if anything at all, and you will be setup correctly the first time.

All of my deals have came from the MLS! They have either just been added, as in that day, or they have been on there for a while. Don't be afraid to put in an offer that works with your numbers, if they say no, go on to the next one.

I was looking into having an attorney do this for me and it was close to the same pricing. I also looked up prices on legalzoom and they want $600 then a few more fees later on so it's close enough in price for me to have a local attorney do it.

Do you already have properties? Do you have Umbrella Insurance?