All Forum Posts by: Scott Johnson

@Bert Smith, can you please elaborate so we can better understand your question? Please define "regular interest rate."

Thanks!

@Alyssa McEwan I'm not a flipper, but I BRRRR properties that don't need much work, so I use hard money. Most lenders have their own application process, but if you're working with a private individual lender this may be different. 

I'd just check to see what your HML's process is, run your numbers, and fill out the application. Just by doing so, you'll start to learn what they're looking for and how to bring them deals in the future.

Hope this helps!

Yea, they do a great job @Charles Bailey. Just make sure you're very specific as to how you want the spreadsheet formatted. I normally have the: Street Address, City, State, & Zip in separate columns. They'll also put the husband and wife's first name in the same First Name column, so I tell them to separate them and get the additional information.

They also know how to look up corporate owners and skip trace their info (you're welcome 😜 I had to teach them that).

 @Steve Donovan, I love that you responded. I see you're Wisco Turnkey LLC. Do you flip properties into a turnkey and then sell them to investors? I've been looking at doing that in our market and would love to connect.

@Monique Ilagan, do a lot of research into turn keys and learn how they work. It may be as simple as paying for it and rolling with it, but there are always subtle nuances you need to consider. You also need to know your end goal and consider how you're going to get there. 

What most people don't realize is that cash flow increases your taxable income. Do you want to replace your taxable income with more taxable income? How much do you need? All thoughts to consider. 

@David Emerson, I recently spoke with a lender at Truist who said they have a "12-month rate lock". You do have to have an address/property under contract and there is a refundable deposit. Otherwise, you may want to try to find some off-market deals where the numbers work with hard money and then refi out. 

Hope this helps!

@Kristen P., technically we're supposed to provide for a habitable residence, and a bathroom that's not functional means it's not habitable if it's the only one. If they're staying there because "ewe gross", then that doesn't change the fact the bathroom is still useable and therefore is still habitable. 

@Nathan Gesner is correct in the "ewe gross" scenario, but if it wasn't habitable I'd help out to show that I'm fulfilling my end of the lease here in NC. 

If you were to give them anything, I would not give them money. I would give them a credit on their rent for however much you deem necessary. It's one less receipt to deal with, it's trackable, and I still have full control over the money. 

@Charles Bailey, I recommend Data Discovery on Fiverr. They're always my go-to for skip tracing. I try to keep it to $0.125 per lead, but sometimes I pay up to $0.15.

Hope this helps!

 That depends, @Joey Montefinese. How much taxable income do you need to zero out?

If you're looking to manage the property yourself, @Jacob Wietholder, definitely go all digital. One method that I've seen used is "Moneygram" for people who prefer to pay with checks and cash. Sign up for an account, give your tenant the account information, and they can go to a ton of stores (Walmart & CVS are two I know of), pay them, and it will go directly to your account.

It depends on your clientelle and how you want to operate, but that's one resource I've seen work well! Hope this helps!

@Richard Graf, do you have a mentor teaching you how to buy C rentals?