All Forum Posts by: Kevin Cardinale

I'm intersted in seeing responses to this question also, because I'm told constantly to get my license, not for saving commissions, but for MLS access and writing my own deals. (I'm not quite sure, but they all say get your license ASAP)

"You can get a conventional investor loan without having two years experience. The two years experience is needed if you want to include the rental income when they compute your DTI to qualify for the loan." Thank you for that Jon Holdman. I was thinking that was true, but wasn't sure.

Personally, I would buy some fixer up rental property, get a HML hard money loan, rehab it and rent it out for a 12 month total period, then get a conventional loan to pay off the HML.

My reasoning it that you'll get a better deal and much better ROI with depressed property than something that is already occupied and ready to go.

That might not be true 100% of the time, but I bet it is true 70% of the time. My experience so far has been that people are renting properties to people with everything in the properties still from the 1950s. I don't think you can get increasing premium rentatls from that.

Oh well everyone beat me to it. You always calculate the cost of money. If the cost of the mortgage is less than (i'm about to mess this up, i'm sure) the cost of your outlay on your investment, then keep that mortgage. (that probably made no sense, but I actually know what I mean.)

Leverage isn't the boogie man that the economic gurus say it is. Responsible leverage takes a small fry from a nobody to a pain in the side of the big boys. Keyword being "responsible leverage". Math isn't hard.

(this is why i'm not a teacher)

Have you ever sold your property "over time"?

Bear with me, i'm trying to actually think here. Stand back, this might get messy.

So I have this "buyer" with good credit, ok income, but his expenses to income ratio, only affords him potential loan amounts less than the total cost of a rental property I'm advising him to get. (no i'm not acting as his lawyer, but as a friend)

Have you ever sold a PORTION of an interest in a property, then waited till the 2nd party builds up more cash and then sold them the rest? Is that even possible? Am I crazy?

Dumb question: My Realtor wants proof of funds why?

I ask my realtor to put me on a list of houses that need repairing. He says, "sure, give me a POF".

Stupid question: why?

I've asked several realtors to put me on lists for various things. None of them have asked me for a POF letter.

Mind you, I'm sending it, but I'm just curious.

p.s.

he also says things, that I know are wrong about investing to my roommate... who tells me everything he says. Not that I care, as long as I find a deal. Right?

Thank you. So as a general rule, partnerships should be limited to those who are actually here in VEGAS? For the purpose of, if they screw me I can punch them in the hose? save me a plane ticket? (i'm kidding) But, if I wanted to sue them (same thing) they would be right here.

What I really didn't understand was, how the terms he set were beneficial at all to either person.

Co-Wholesale?

I joined a REI facebook group. After introducing myself, I received a message. "let's co-wholesale deals in Las Vegas, I'm in California". After I ask him what does that mean, he says,

"For example! 400k property I found for wholesale, you bring cash buyer that pay 3% for wholesale. And we split between. When you find we can do same way. If my cash buyer bought the property we split the same."

First of all, if all we're making on a $400,000 house on a wholesale deal is $12,000 to split 2 ways, seems rather ridiculous.

Secondly, the entire thing sound preposterous. Why would I need him, or why would he need me?

Thirdly, I don't know this guy, and neither does he me.

@Eric M.

my problem is the people that i hooked up with for wholeselling were.... what's the polite word.... They wanted to pay me $100 per house and they wanted 20 deals a month. yes, wholesale. me having the house under contract.

I need a bigger list. i'm sure that would fix everything.

I'm quickly learning this. Thank you.

A bad problem or a good problem?

So I'm in this full court press and I don't quite know what to do.

I have

• a list of cash flow homes ready for me to purchase
• a list of 4 plexes ready for me to either purchase or rehab
• a list of SFR ready for me to rehab
• 1 retail buyer and 1 investor, interested in cash flow
• a cheap contractor from church

AND

• no money

with the buyers in place, do you think hard money lenders will lend me money, even on the cheap SFR houses?

I haven't made a contract for anything, but I have given my criteria to all the people working for me, and everything seems like a "deal".