All Forum Posts by: Sean Blomquist

@Gerry Tenebruso the way people do it with little to no money down, is different than the scenario you went with.

Biggest key is buying a property that does need some work to get it up to par.  Doesn't have to be a complete disaster, but it really can't be turn key.  You buy it using a hard money lender that requires little to no money down if the deal is strong enough.  Use their money to rehab it, then once the rehab is done you do a rate and term refinance with a direct to Fannie Mae lender.  There is no seasoning required that way. 

If the deal was strong enough to require no money down on the front end, then the refi lender may be able to cover their closing costs on the back end as well.

This is a much more powerful strategy to picking up rentals vs having to save 25% down for every property and then wait for it to season so you can do a cash out refi.

Good luck!

@Michael Randle reach out to @Travis Sperr.  He will be able to answer your questions and is a lender in CO.

@Tiffany S. it obviously depends on the HML. If you are having to bring that much down for a HML, then going the conventional rout from the start could work, but that could be a challenge as well if the property is in too bad of shape for a conventional loan. Plus, with the conventional loan, you most likely would have to fund the rehab out of your own pocket.

@Tiffany S. the purpose of using the hard money lender first, is putting less of your money into it from the start. If you do a conventional mortgage from the start, you will be bringing at least 25% down for an investment property. When people use us on this strategy, they may not need to bring any money down (on a good enough deal for our 70% LTV to cover purchase, repairs and closing costs). Then once the rehab is complete, they are able to do a rate and term refi into a long term loan. Our clients use Kim Burke at Leader One to do the refi, since they are direct to Fannie Mae and don't require a seasoning period. This is a great strategy if you can put the pieces in place.

I'm not sure if Leader One is in VA, but you can reach out to @Kim Burke if you have questions about the conventional side.

Good luck!

Lisa,

This sounds great! I would love to be part of it in some way.

@Wesley Stoodley what city in Scott County did you move to?  I can point you in the right direction of some meetings you can attend.

175+

Are you tired of going to free real estate education events full of fluff?

Are you sick of people on stage teaching nothing and selling everything?

Are you sick of the so-called experts on stage not understanding your market and probably not even doing deals themselves?

Here is just some of what you will learn:

• How Hard Money is making it possible to make a seven figure income
• How to buy rental houses with no money or risk
• How to protect your hard earned assets from lawsuites
• Local lender panel
• How the MN foreclosure process works and how you can use it to get more properties
• How to do a 1031 Exchange
• How to turn your real estate investing in a cash flowing money machine
• How you can quit working for The Man and do what you love for the rest of your life

Plus get a chance to network with local expert speakers, vendors and guests that can help you accelerate your business and become the super investor you have always wanted to be.

At the end of the day, we will even buy you your first drink at the bar so you can stay and network with all the speakers, vendors and other investors.

To register, you have to go to our website: www.mniss.com

Can't wait to see you there!! 

@Eli Sunderland are you looking to build a rental portfolio?  There are ways to do it without having to put the 25% down.  Let's chat more about it and see if I can give you some insight on how to advance your plans.