All Forum Posts by: Shane Johnson

As Dawn stated, usually 1 year seasoning for most conventional lenders, but there are others (mainly portfolio lenders) with shorter seasoning requirements. Also, because of DTI, and my W2 income, the lenders I work with, want to see at least 1, up to 2 years of rental income. This shows performance with the property, and with me as a landlord.

If you can find a good lender to do it now or soon, go for it. If a lender will do it now, they may only base it off of purchase price and receipts for work done. (or only materials if you did it yourself).

With my property, I was going to try at 6 months, they gave me a drive by, weak appraisal. Now at 14 months, I am getting a full appraisal, and have 3-4 great comps that just came in. If this is single family and you can wait up to a year, it may benefit to sit on it until the 1 year mark and/or when some great comps come in. I waited an extra 1.5 months before applying, knowing I had 3 great comps closing soon.

Love it. Provided my appraisal comes in next week, my iPhone did the same for me.

I was in the car wash on a saturday morning drinking my coffee. I figured, hey its been almost a week since i looked at the MLS kickouts in my email from my agent. Pulled it up on my phone and found the house I currently live in. It was directly behind my house, I never even knew it was for sale. Long story short I bought it for 82k, and 1 year later my appraisal should come in between 135-140k. :) Sometimes, technology is a huge blessing. :)

Id leave the 2nd bathroom floor wood. Rent some sanders, watch videos online. Stain it dark walnut or black, make sure to "water pop" it or use a conditioner if you like spending money. This will suck it into the grain and give it a less grainy, more even color, and cover up the stains. Poly and screen the heck out of it, and you will be amazed.

I like your clawfoot tub plan, put a shower in there, and a built in linen cabinet if space.

Overall looks great man. I love old houses, and keeping as much of the features as you can. I may have missed it but, any plans for exterior color scheme?

@Robert Steele

occupy it for 1 year and then get your 75%?

@Derek Carroll

Any help with a link? I tried searching for the article unsuccessfully.

@Curt Davis

What lender is this? Local bank?

Its only an important part for the home improvement loan that Chris is speaking of I believe, not so much on the cash our refinance. Unfortunately, the 12 month seasoning is pretty standard. Maybe consider buying a few properties cash, and the others with conventional owner-occupy financing, or conventional investment loan (20%) cash down. You may be able to be competitive with a 20% down , no contingencies, solid EM upfront, and proof of funds and proof of reserves included in your offer. I have no idea on that last bit, but just thinking out loud.

Maybe its different in other areas, but in my local area, the foreclosures have slowed considerably even in the last year. The ones that are on market, they are asking full retail price for them.

As I get very close to being in a position to buy a rehab/flip property financially, I have to ask what is everyone's most successful/preferred method of sourcing? Basically I want what everyone wants, cheap, fast, quality. I am just trying to avoid getting into bed with the wrong contractors off the bat.

Just wondering how you have had your best luck, finding contractors that you ended up keeping for your future projects. Friends, family? REIA? Other? Let me know!

Also - any criteria they need to meet, questions you ask, or bid process tips that you use? (simple i.e. - throw out lowest bid)

If you want to avoid paying a listing agent, you're going to have to market the property extensively yourself. Call buyer agents, craigslist, yard signs, local pin boards at restaurants/community centers. You will have to offset the cost/value/market they offer, by putting in your own effort, in my opinion.