All Forum Posts by: Larry Seith

Mike,

Appreciation is useful if you do a cash out re-finance and then use that money to buy more cash flowing rentals. The government doesn't get anything because it's considered a loan. As long as the original property continues to cashflow after the re-fi, it's a win-win situation.

Hi Stephen,

Two great books that I would recommend are "Flip" by Rick Villani which covers all aspects of rehabbing and flipping properties, and "Home Improvement 1-2-3" from Home Depot. That's the book that shows all the nuts and bolts (literally) of how to repair and remodel houses. Even if you don't plan on doing the work yourself, you need to know what needs to be done so that you don't get ripped off by shady contractors. Good luck.

Hi Tiara,

I'll lay my cards on the table here. During rehab of a house I have in Mobile, Alabama we discovered a water leak under the house. The plumber crawled under there and fixed it just fine but the next day we found we had no water whatsoever. Turns out that copper pipe thieves had stolen all of the plumbing. That first night they didn't have the right tools so only managed to damage the pipes, not remove them. But the next time they came prepared.
So we had the copper piping replaced with PVC which is legal in Alabama and everything worked just fine.
We finally got someone interested in buying the house that was able to qualify for a loan. They had an inspection and noted that the gas water heater wasn't working. Sure enough, we sent our contractor out to the house to find that the thieves had returned to steal the GAS lines! So now we are in the process of getting those installed quickly so that we can finally sell this house before the price for used shingles gets to the point where people will be willing to steal those!

Hey everybody,

This has been floating around the internet for awhile and I thought it fit in well in this thread...

Dear American liberals, leftists, social progressives, socialists, Marxists, Obama supporters, et al:

We have stuck together since the late 1950’s, but the whole of this latest election process has made me realize that I want a divorce. I know we tolerated each other for many years for the sake of future generations, but sadly, this relationship has run its course. Our two ideological sides of America cannot, and will not ever agree on what is right, so let’s just end it on friendly terms. We can smile, chalk it up to irreconcilable differences, and go our own way…

Here is a model separation agreement:
Our two groups can equitably divide up the country by landmass each taking a portion. That will be the
difficult part, but I am sure our two sides can come to a friendly agreement. After that it should be relatively easy! Our respective representatives can effortlessly divide other assets since both sides have such distinct and disparate tastes. We don’t like redistributive taxes so you can keep them. You are welcome to the liberal judges and the ACLU. Since you hate guns and war, we’ll take our firearms, the cops, the NRA, and the military. You can keep Oprah, Michael Moore, and Rosie O’Donnell (You are, however, responsible for finding a bio-diesel vehicle big enough to move all three of them) …

We’ll keep the capitalism, greedy corporations, pharmaceutical companies, Wal-Mart, and Wall Street. You
can have your beloved homeless, homeboys, hippies, and illegal aliens. We’ll keep the hot Alaskan hockey moms, greedy CEO’s, and rednecks. We’ll keep the bibles and give you NBC and Hollywood. You can make nice with Iran and Palestine and we’ll retain the right to invade and hammer places that threaten us. You can have the peaceniks, and war protesters. When our allies or our way of life are under assault, we’ll help provide them security…

We’ll keep our Judeo-Christian values. You are welcome to Islam, Scientology, Humanism, and Shirley McClain. You can also have the U.N. But we will no longer be paying the bill.

We’ll keep the SUVs, pickup trucks, and oversized luxury cars. You can take every Subaru station wagon you can find.

You can give everyone healthcare, if you can find any practicing doctors. We’ll continue to believe healthcare is a luxury and not a right. We’ll keep The Battle Hymn of the Republic and the National Anthem. I’m sure you’ll be happy to substitute Imagine, I’d Like to Teach the World to Sing, Kum Ba Ya, or We Are the World.

We’ll practice trickle down economics, and you can give trickle up poverty your best shot.
Since it often so offends you we’ll also keep our history, our name, and our flag.

Would you agree to this? If so please pass it along to other like minded liberal and conservative patriots, and if you do not agree, just hit delete. In the spirit of friendly parting, I’ll bet you ANWAR which one of us will need whose help in 15 years.

Sincerely,
John J. Wall.
Law Student and an American

P.S. Also, please take Barbara Streisand.

Thanks for the reply Ben. I had already assumed that any bank selling to the second market was out of the question. So my question was really if anyone had any luck with the smaller portfolio lenders and what type of hoops they needed to go through for a cash out refi.

I too, have the same general question. Is it still possible to do cash out re-fi's on re-hab projects purchases with hard money loans?
I've heard that banks now will only take the purchase price (what YOU paid for it) to figure LTV not the after repair appraised value. Is this true?
Anybody having any success out there with a purchase-rehab-refi-hold strategy?

Tim,
Have you read "Creature from Jekyll Island"? It's the story of how the Fed was created pretty much in secrecy.
Sometimes Amazon has it available, if not it's available at RealityZone.com

Hi Rich,
(good name for a hard money lender, by the way!) I've been researching hard money lenders and the terms you suggest are right around the average for every other company I've looked at. Therefore, I don't see why you would have any trouble finding takers on your deal.

How do you fit 3 bedrooms and two baths in an 870 square foot house?

Hey Adam,

Great job on the remodel! Did you have that master tub epoxyed? Mind telling me what it cost? We paid $750 to have a tub and tile wall done on the house at LaPine in Mobile.

Looks like you have a great crew working for you. A good job all around!