All Forum Posts by: Mike Provencher

I'm not a lender, but I work with lenders and there is a product out there from CMG Financial called an All In One loan. It's really interesting- you can take a property and put in on an All In One loan and have an open HELOC on your home accessible at any time, without having to open up an actual refinance or HELOC loan. My understanding of it in basic terms is that the loan sets your home up as a bank account, you get paid, it goes into your house account paying down your principal. You take money out to live and pay bills against this pay down and that's where the interest gets charged. Then you also have access to the homes equity at any point for 30 years, and you don't have to do appraisals or anything like that. It's actually a pretty cool loan and creates a rapid pay down of the loan- IF you are a financially disciplined person! If you search "All in one loan CMG" they have some videos and a calculator tool. Might not be for you, but it is an interesting and flexible option.

@Mike Provencher Hello!

If you are able to go with Heloc - def do it; Helocs are mainly for owner occupied properties; You would be able to use Heloc proceeds for your next property.

Consider the amount of leverage in your portfolio, your liquidity, and the terms & timeline of the leverage. What is your plan if your HELOC is called?

@Mike Provencher Bring them current to stop the sale and take over the mortgage. Sounds like they are not living in it-so no need to relocate them. 

what kind of bank? Local or national? 

Hey Mike! 

So what does good condition mean? Any rehab? Sounds like you have a sweet deal depending on your exit strategy. Looking to buy and hold, BRRRR, or flip?

Had a similar deal and this is what I would recommend. 

1. Make sure you have someone go over and get an estimate of the house. 

2. Work out a deal with the heirs. - In this, make sure it is something that hits their pain point as well. Is it them just breaking even? Or are they willing to loose a little bit on the home if they sell? I have had homes where I was able to pay the property taxes and seller finance the deal, or sub to it for a flip. If that is an option, take it! 

If not- make sure you address their needs. Make sure the mortgage is actually $106k add the taxes and roll with it, if that's a good deal. Maybe give them an extra 1-2k to make them happy? 

I am huge proponent of making sure it makes sense to both parties and if there is a way for you to take the deal with little to no money down do it. 

If you have more questions, PM me :)