All Forum Posts by: Ross K.

@Shane Vince They're basically a syndication firm.  They find the deal (typically off market, value-add plays), then find the investors to fund it.  The difference versus some syndications I've seen is that they're compensated more like a real estate agent, with a 3% fee on the acquisition and disposition sides.  They don't take any equity as part of putting the deal together.  They do work with a 3rd party asset manager that gets a 2.5% equity stake for his services.

This isn't a recommendation for them, but rather what I have learned from watching and inquiring about some of their offerings.  Currently looking more deeply into their underwriting and feasibility of one of their current offerings.

If you learn any more about them, please do share.

I've come to the refinance stage of my BRRRR duplex in San Antonio and am looking at options. A conventional FNMA loan is running 70%LTV with a 30 year am at about 4.625%. I can also get, from a local bank, a 15yr am at 80% LTV with 3.375%. That 10% difference in LTV is $22k on a $220k property. So I would be able to take out $22k more in cash with the 15 year loan. Payments on 15yr are $1,247 for the $176k loan vs. $792 on the 70% 30 yr, or $455 per month less. That means I recover the $22k in cash after 48 months, but with a whole lot more equity in the 15 yr loan. Lots of searching in BP shows that 30yr is preferable given my situation, and I agree, but when looking at different LTVs, I am conflicted as I could put that extra $22k to work now. What would you do? Both options cash flow, $100 vs $325 per door. Thanks, Ross

@Ryan YoungI'm also in Bexar county and also experienced an increase in the value of my personal residence. It doesn't apply to rentals, but if you have a homestead exemption, there is a 10% cap on year over year increase.  So if that 21k is more than 10%, you'll only see taxes increase by 10%. 

Here's an article in the express news about it: Link

Also, there are attorneys in town who specialize in protesting appraisal value increases. For a very reasonable rate, they will do all the heavy lifting (I'm personally using one this year). They typically get a flat rate and then a small percentage of how much they save you.   I'm guessing they would be a valuable tool on rentals as well, since there is no cap in place. 

50/50, as J Scott mentioned, is a good place to start. I would also make sure you understand if the flipper is a GC and is getting a fee on the $50k rehab or if he is strictly managing the subs for the back end profit.

I had a bunch of construction material/debris from my last flip (some usable items like a box of partially broken tile, old sink, old toilet, but also a bunch of trash) and posted pictures of it on craigslist and offered to pay the lowest bidder to haul it off.  Within 20 minutes, I had 3 offers between $20 and 80$.  I met the $20 guy about 30 minutes later (he lived in the same part of town), he showed up with his truck, I helped him load it up and it was gone.  Probably won't work for tons (literally) of trash, but a hack that especially works if there is some stuff in the lot that still has some life left to it.

Implement a mobile version of the calculators. This would be huge. Would also like to see the original poster's name in the thread list, it only shows who posted last today.

I concur with previous posts regarding the continuous scrolling and image issues. These items are what keeping me from using it exclusively on my iPhone. I am mostly using Safari these days. 

@Praise O. I sent you a PM with my plumber's info.

@James Wise - what is your timeline for holding this property?  Are you in it for the long term or do you plan on stabilizing and selling at a market cap rate?

Ross

Originally posted by @Kendall Schwarz:

Hello BP.  Does anyone have a good countertop contractor they can recommend? I'm putting in either granite or quartz and am not having good luck with the guys I used in the past. I called a couple others and one flaked and the other was super expensive. Any suggestions?

 @kendall schwarz 

I used a new company on my latest flip and was very happy with them.  I'll send you a connect request with the details. 

Ross

@Jamie Wooley I'm just using photoshop to "paint" the house. I'm using Sherwin Williams color visualizer tool from their website to grab the rgb/hex codes of the colors I like in order to reproduce it in Photoshop. 

Ross