All Forum Posts by: Philip Bashaw

Harrison,

I am very interested in multifamily and have done a fair amount of research since I am going to look for something very soon. One thing I looked at was a commercial FHA loan. I didn't know these existed! The qualifying and overall process seems a bit cumbersome, but since you mentioned long term financing, it may be a good fit for you.

I know you need to have experience, reserves and good financial statements for starters. The building also needs to be in pretty good shape. It doesn't fund repairs, rehabs, etc... The upside is you get a fixed rate around 4% for 30 years (the last time I checked). It may be worth looking into. 

At first, my strategy will be to find mostly occupied 10-24 apartment buildings and rehab them 2 at a time with a higher interest loan. Then I will start the FHA Commercial Loan process so when the building is finished, I'll be able to refinance for a low fixed rate.

Good luck in your search for financing! 

Phil

Mike,

I am interested in this as well. I never new until recently that the USDA even held property, but will let you know if I come across any info. I am following this topic

Phil

Hello BP Family!

I've been educating myself on investing in a distressed condo community in an Atlanta suburb called Lithonia. Lithonia, GA 30038. Is there a good way to create a solid comp by setting the standard for what is possible in this community? There haven't been any retail sales for a long time in this neighborhood. I'm looking to fix and flip!

The HOA is working hard to bring all the residents current with dues, but it's still early in the process. There's a 33% non compliance within this association (ie. owners in arrears for several thousand, absentee owners, actual residents not paying dues). The HOA has been revitalized with a new property management team as well as a law firm starting to garnish, levy and set up payment plans for people.

My plan is to go in and buy these distressed condos & town homes for what seems like a good price and convert them into a retail sale. Most larger lenders and especially FHA won't touch loans in communities like this which sucks because this is a prime area for FHA lending!

I guess my biggest questions are: How can I raise the ARV and how can I best attract a lender that will lend for my retail flips within this community? These will be under $100K properties, but very nice when finished

Thanks!

Make an offer and ask for a longer due diligence period and really go over it. I looked at a super cheap short sale condo today that had bad water damage from a leak in the unit above and it smelled like cat pee and poop. I smelled opportunity :-) There was actual feces in the unit...and mold from the water leak/damage.

Yours could be a stubborn seller or bad property condition or both. If they won't budge on price, let them keep it!

Kayla,

I know someone trying to sell his right now in Columbus but don't think its distressed. You can look him up on BP or call him directly. 

Hai Loc 614 313 0167

Hloc78@

@David Robertson 

I was just looking at your product and pricing via your website. It looks good! I am in the process of looking for a private money lender (or lenders) and want something that I can use to help with that. I've lost out on some really good deals due to lack of funding.

Thanks for your input guys!

Phil

Hello J Scott 

Did you ever dig up any info on this Rehab Valuator software? I'm looking to raise private money for my deals so I was wondering if you'd done any more research on it.

I'm also interested in others feedback as well, especially those who bought the software/program.

Senad,

I have looked into this quite a bit and you do have to occupy one of the units. Its a great way to get started in RE investing. You can refinance after just 6 moths.

FHA also has a commercial product for 5+ units, but its much harder to qualify for due to a lot of different criteria.

I can put you in touch with a really good FHA lender if you are seriously looking or even have something under contract. Let me know and I'll forward it to you

Phil 

@Paul Ritter

 Thanks for the input and I may call you next week. I got a direct contact email from someone on a myfico forum about Equifax. I sent the contact an email and got an automated response that she was out of the office so it's a valid email, whether or not I'll get anywhere with remains to be seen. I have called the CFPB and that process can take up to 60 days according to the rep I talked to. If I don't get any response or a response I don't like, I'll file the complaint

Hey BP!

I'm having trouble with Equifax! Who knows, I may be blacklisted by them at this point! They are flat out refusing to delete my 7 year old CH13 bankruptcy which is keeping me from getting business funding to build my real estate business. Transunion and Experian have both deleted it and my credit scores are 50 points higher with them!

Equifax is being beyond unreasonable regarding this! It's the last negative item on all 3 reports and they are not acting right at all. I have spent dozens of hours on the phone, sent 6 certified letters explaining how they in direct violation of the FCRA (Fair Credit Reporting Act) about verifying accounts, etc, etc... At this point, I just want to move on and be done with them, but I can't get anywhere with them.

Does anyone have a direct contact to someone in the executive office of Equifax? I have all the usual numbers and even the direct local number, but even though they answer, they just transfer me to the customer service rotation hell. I'm looking for a direct contact number and email to someone with a brain that can help me out; not a customer service drone. I can get that on my own and I'm thinking there must be a way to get to an actual decision maker that has a soul