All Forum Posts by: Scott MacArthur

I've had the same experience as Greg and would wait.

I'm curious if anyone on here was investing in notes in the late 70's, early 80's when the fed rate went from 5% up to 20% in the matter of a few years and how that impacted the note business.  Even though the markets will be different you can always learn something from the past.  I don't think we will see that kind of volatility but we are definitely in a rising interest rate environment and this could continue for a while.  I'm just curious what inventory was like during that time, how did it affect note values, both performing and non-performing, were there many adjustable rate mortgages that started to non-perform, etc... Would love to hear from someone that was in that market.  I've read some articles and market studies from that time period that have given a little insight but nothing about notes directly.

TX 50(a)6 only applies to a homestead property here in Texas.  You can definitely do a cash out refi on your investment property and not own a primary residence in Texas.  The lender may have an overlay for some reason that won't allow it, but I've never heard of that sort of overlay.  I've had out of state clients do cash outs many times.  You may want to review these guidelines for eligibility as well...

https://www.fanniemae.com/content/guide/selling/b2/1.2/03.html

How much EM did they put down? Are they goiing FHA or Conv?

If they are in default look at your contract.  Per TAR contract...

15. DEFAULT: If Buyer fails to comply with this contract, Buyer will be in default, and Seller may
(a) enforce specific performance, seek such other relief as may be provided by law, or both,
or (b) terminate this contract and receive the earnest money as liquidated damages, thereby
releasing both parties from this contract.

I flipped a pre owned mobile home with land this year in Justin and there were only a few lenders that could get it done when I researched it before purchasing.  It sounds like someone is dropping the ball.  I will extend the contract typically 1 time for no more than a few days then I start requiring additional EM after that to extend.

Hopefully the get the VOE today and things move forward for you.  Best of luck!

Great job! I've done a few with similar numbers, mine weren't completely BRRRR's either but it's better than paying 20-25% down plus rehab out of pocket as you stated. Love that strategy, especially with rates in the low 4's. Try to find some private $ through your contacts. Put these examples in a nice packet to present to a potential money guy. I found a few great sources in my network that I pay a straight 10% to and they love it. Once you have a few under your belt with them you can get some better terms as well like higher LTV's and such. That looks like an easy way to save on your next deals. Thanks for posting and best of luck on your future deals!

Man, tough crowd for a fairly new investor that is taking massive action and excited about what he's doing. Happy for your early success Beau, keep it up. Looks like you have a good handle on our local market and are planning ahead. Our investment strategy and goals seem to be very similar in this market. 

Ditto this. Leverage is one of the biggest advantages to invest in RE in my opinion. The only reason I would have a free and clear property is if I wanted to lower my risk exposure to capital expenses by downsizing my portfolio of rentals later in life

Thank you for sharing.  Great data!  Would be interesting to see what 76021,76039, and 76054 are doing as well.

Wow, I would rephrase that title.  What does nationality have to do with your needs for a contractor?  Do you need a contractor that speaks Spanish?  I have a General that speaks Spanish that specializes in flooring and counters if needed.

quick answer, low inventory area wide (but on the increase) so prices have been appreciating rapidly in N Texas. There are still investment deals but you've got to have some consistent marketing going on to find them for the most part. There are plenty of ways to make money here in REI and overall it is a great market to be in