All Forum Posts by: Nicholas M.

I couldn’t make this one but check out my profile.. we may be a good fit. When the next one comes I’ll be attending

@Kyle Curtin

You could do a home possible loan. It's a conventional and allows your to put down a similar down payment but you don't need an additional mortgage insurance like in FHA loans. You may qualify and I think you can put 10% down or even less. The lender pays the mortgage insurance and once you reach 20% equity you can get a reduction in your mortgage payment.

I know this because it is the current situation I am in. When I reach 20% I'll get an additional $80 off of my mortgage. Currently I'm in a duplex. Renting 1st fl and my 2nd bedroom. My mortgage is covered by the renters, and I pocket $100 bucks. I originally had an FHA loan and refinanced into this loan a year after purchase. I did some renovations and brought up the equity in order to qualify for this loan. FHA to Conventional I saved $250/ month on my mortgage and like I said once I get to 20% equity I'll save an additional 80 bucks. My broker could help you with this type of loan. You can message me for more details.

I would just look for a hands off investor. Anyone with the funds looking to have an alternative income.  One thing I did that I think was helpful was made a list of all of the people I thought would be interested in investing.  After my list was complete I went to the people on the list and started to see who was actually interested.  Once my list was narrowed down I was able to present them with deals. 

@David Waddleton

Does anyone see why he shouldn’t partner up, find a better bank rate and maybe put down say 30% split. If this is a long term investment this will be the first of many properties you will buy. You’ll get 50% equity and if your close you can split the PM responsibilities with a partner. Get your hands dirty get experience you can’t buy.

Or what someone just offered me which was 42.5% equity across the board for 50% of the down payment. You could manage and your fee is 7.5% on the deal. You have 57.5% equity. Less out of your pocket and money for the next deal. Still get a better loan. Build your empire slow and with a strong foundation.

@Nick C.

For the most part yes, where it’s gets sticky, read my bio but in short I do HVAC so I’d basically do a lot of heavy repairs when needed. I could take the 50% of cashflow to cover my time until a number is met. Example water heater change out labor 350.00

@Mark Langdon

Thanks all for advice.

Well with conservative numbers the property will still cashflow according to rents current. This offer was said to be a kind gesture because my money was not needed. The deal would go in with or with out me. They were trying to bring me in to the circle. I would receive 35% in equity as well as cashflow each month. I’m new to this. I couldn’t wrap my head around the fee for making the deal( a percentage) 7.5 for deal finding and 7.5 for management. The way I saw it yes maintaining the property is worth taking more of a percent but to take more equity while both putting down the same amount. I think a specific dollar amount would be more appropriate. Maybe cashflow goes to the deal finder until a dollar amount is satisfied. I know where I am wrong may be that I’m not needed for the deal to happen. How do you see it?

After PITI/ 2k for miscellaneous property would net 3500-4K annually. Pictures did really look great. I know I know see it in person. Still confident in photos though. 35% would be mine for 50% investment.

Would you put 50% of a down payment (35k) for 35% of the equity and 35% of the cashflow? I would be a cash only investor. Beach town in NJ

@Emmett Ogiony

This sounds like the right incentive for annoying tenants who want to bother you about every single issue.

@Alex Varner

To often customers don’t want to pay even though they agree to a price. Besides that customers always want to decide when they will write the checks, when it’s convenient for them. We’re not talking about a slice of pizza but you don’t pay for food a week after you eat it. When the work is done money is due. I’m on the contractor side of the business, I just did work for a customer yesterday and after I was done they told me they weren’t going to pay because they didn’t feel like it, they decided my services were free. I can’t blame anyone for wanting to collect a deposit. I showed up, I drove an hour to get there, I stayed for two hours and I drove an hour back. They agreed to pay before I got there. Respect and word is a dying trait.

@Alex Varner

Depends what type of work. I request 50% upfront especially if my material cost is more than 50% I also do 3rds if the job is to be done over many weeks. It’s sad to say but I can’t even trust family to give me a 0% deposit. I don’t think enough people ask for references. It’s always a tough decision on what to do.