All Forum Posts by: Mike B.

@Alex Shaughnessy and @Lisa Williams - which auction sites do you use?  I've bid & won a property on Hubzu (a year ago) and am aware of Auctions.com and Xome.com  

Was curious if you have any other recs though. Thanks in advance

@Ray Peslar - I would be interested as well if you have a buyers list; please add me. I'm looking for off market deals as a cash buyer.  Do you have specific areas only of Philly you focus on or is your list all encompassing?

you're only issue is that for titles to 'season' you have to wait 6 months before you can APPLY to cash out refi. Then it may take an additional month to close (and get your money to pay back the original HML). Besides that point.. yes you could do that.

Mindy Jensen thanks for this. Also, if you can pass along the request, would be great if we can upload photos of properties directly from the app (on our phone) vs only doing this via computer.

@Howard Johnston if I was in your shoes, given current interest rates I would either cash out refi (take out a mortgage) or get a HELOC to use the equity from my home to have all the cash on hand. You'll likely get better interest rates having a personal mortgage or HELOC vs. the HML. With the HELOC (which I like more) you can easily take out money when you need it and pay it back once you've sold ( or re-fi'd) your next project house.

@Christian Baker - if it's your first time doing this... ask your boss what terms he was thinking of to loan you the money.  Maybe he only wants 5% interest?  And what are the terms for payback? Interest only, full amount due in 12 months or 6 months?  Need to iron those out.  15% is a lot, but very reasonable for someone kicking in a decent share of what you're borrowing.  If you have 5 partners each loaning you $15K and you pay them all back evenly.. you'll be left with zero profit (unless you're bringing money to the table as well). 

I think a very fair deal is offering 10% interest --> interest only payments, with balloon payment within 12 month period.  You can also explain that if you're successful, as you work on bigger projects and he lends you more money, you'll give him higher interest, etc.  as a 'thank you' for taking the risk with a 1st time investor/flipper.

@Jeremy Karja - depends on if there's any penalties from taking a loan out on your IRA (if I'm reading your post correctly). If you have a HELOC already with access to decent cash, would use the HELOC.. low interest rate and can pay it back and use it again hassle free. Now I will say I did recently use a personal loan from my 403B, however the terms were great (4.5% interest paid back to me, total payback due in 6 years). Unsure what others have run into (term wise with their retirement account) but I combined that with my HELOC to purchase a home cash, rehab and rent it out. Waiting the 6 months now (almost there) to cash out refi and pay everything back.

Steph Fredericksen search and read through the Philly forums and you'll find all the answers you're seeking. Yes Philly is a competitive market. For <100K (I assume you mean home purchase price only) depending on your goals.. check out 19145, grays ferry, parts of Kensington perhaps. A lot of the city is on the up and up, so finding deals <100K is dwindling.

Craig Hansen I used Luxaire as it's a generic version of Lennox. Never had a problem and I've had the system for 4 years now. Also as an aside you will be "eco friendly" using spray foam, high efficiency HVAC and appliances. I neglected to mention but I went that route and tenants definitely appreciate it. I'm sure in a flip it'll help sell as well, esp knowing that utility bills will be drastically reduced.

As Jeff B. Stated.. "I'm not qualified". Simple is better. In Philly you are required to take a class and register as a landlord. I haven't done it, so i tell applicants I'm not registered with the city to do it. End of story.