All Forum Posts by: Samantha M.

Brandon Turner Hey Brandon, thanks for your input. These are just hypothetical numbers to test a template, it does not represent an actual property.

The purpose of the template is to provide information on how a given subject property will perform under various circumstances, in this case a rental unit financed with a HML.

I was under the impression HML are short term, they typically last a few months. Once the repairs are completed and its up to inspection/FHA standards, banks will let you refinance out into a conventional mortgage. You shouldn't be stuck in a HML for year or more. Please correct me if Im wrong.

In other words, in my excel column remove: Agent Comissions, and Selling Title/Closing Costs and it will be a more accurate depiction of investment ROI, correct?

I actually just created a new thread dedicated to the hard money calculation, I figured it would be better to start a new thread than to cloud this thread with too many questions. I hope that was the right thing to do. Here is thread: http://www.biggerpockets.com/forums/88/topics/78685-hard-money-rental-return-calculation

Nice catch! Went back and adjusted formula thank you.

The information presented below, is intended as a 20,000 ft view when wholesale marketing properties under contract. One component in the report will show the house performing as a rental with a loan (hard money).

With that being said, does this look correct to you from a 20,000 ft view? I generalized some items such as closing costs (8%). That will vary based on your lender, points and other conditions.

Please let me know if any information looks wrong, or if there are things you would suggest I add. Thanks

I can upload the excel file as well if that would help you evaluate it, thanks. Also, it probably comes to preference, but do most hard money investors prefer 15 or 30 year notes when they refi?

Jon Holdman

Thanks. The whole reason I ask is because I am trying to develop my own spread sheet as well. This is what I have so far, just a cash on cash flip and lease for a given subject property. How does this look so far?

In the above image how is the ROI with 25% down being calculated to come to the answer of 16%? If someone would show some brief steps as to how they are arriving at this figure it would be greatly appreciated.

Since this is a leveraged calculation I assume this is a using a hard money loan. If that is the case what all is included with the 25% down payment? Extra closing costs, repairs, and some of the purchase price? Is it even calculating in the refinance cost to get out of the hard money loan?

K. Marie Poe Perfect, thanks again!

K. Marie Poe Thank you very much for your insightful response.

If you were to wholesale this particular property, is there anything special you need to do when signing up the contract, other than getting all people with ownership to sign?

I was researching some properties in a subdivision and found one that read

Legal Description:
Green Hills Addition
Blk 14 Lot 5
66.667% Undivided Interest

Does the "66.667% undivided interest" indicate this is an estate / probate property? What does the term 66.667 undivided interest mean exactly?

Thanks!

Bill Gulley Thanks for the extensive list. Nope not afraid to ask, just wanted to clarify the situation I was seeing thanks though.

Shanequa J., Thanks. How often do you run into a situation where the landlord is not aware what the house looks like in its current state / or sick of it, and willing to sell. Do you get an angry response often when you do this?