All Forum Posts by: Shaun Draughn

@Joshua Springer thanks that makes sense. @Matt Yates i got you, so basically until my business shows adequate revenue it will be deemed as a High risk to the lender? so would you say if i qualify for the the personal LOC would that be the better bet until I can secure a business LOC?

Hello everybody , I am currently in the early stages of building business credit & business Capitol (for my flips) and in doing so I know a lot of times you have to have these lines personally guaranteed due to lack of maturity of an LLC. Which is my biggest Dilemma/question. I have a friend who is a finance broker and is helping me with this stage. We applied to get an LOC for my business but when the underwriter came back with the decision it was... 1.) I didn't qualify for the Business LOC UNLESS somebody with "better credit" becomes a Cosigner. (I have a mid 700 score with good history) 2.) but They said I did qualify for a 25k personal LOC So my questions/concerns are: 1.)(humbly speaking) I make a 6 figure salary and being that I will have to personally guarantee most business lines I am trying to figure out the best way to leverage that aspect in obtaining LOC but I'm concerned that along with my current credit lines I would become a high risk to banks or lenders when it comes time to buy my own house because of the "possible debt" I could get into because of high credit lines. Comments advice?? And how have most of you veteran investors got your foot in the door with obtaining these Lines without having a cosigner or having the lines backed personally ?? Sorry bout the long wind!!!!

Hello All, I wanted to know how and If there are ways the "seasoned vets" or any level investor who has been in a similar situation could shed light and has used personal cash and good credit early on in their rookie years when they didn't have the PML or HML from lack of credibility or what have you, knocking down the doors to lend or fund projects. I am currently without a job but have cash on hand and good credit but I don't want to continue to use my own cash until I have built up enough cash from flips to start investing in buy and holds, using that cash profit from flips to do so.

thanks in advance.

(disclaimers)

~I have a flip being finished as we speak

~used personal cash to fund project, just to get my feet wet

Great post. this gave me some tidbits that will make a difference going into my first flip which becomes official in 59 minutes. So I will take this advice and put it to use. I was very hard and anal about the materials i wanted itemized and written in black and white to give me a close number to reno budget and I think I may have given the contractor a hissy fit in the process but I guess its normal to do those things in reading this post. @Harvard Hill

@Brie Schmidt

I want to keep my credit score in tact for future plans of a bigger loan and keep the DTI at a minimum also maintaining my own capitol in case i wanted to get involved in another cash deal. just trying to use leverage as opposed to my own cash

ARV is 115k

Evening BP. I have a question. There is a deal that I want to acquire, the property is listed at 61K thinking about offering 55k so say I get the property and pay cash for the house but I want to use creative financing for the Reno cost and not my cash what are some suggestions as to where i should look for this funding I plan to have my LLC soon but I don't have it now and i know most HML and Banks require an LLC as a guideline for funding of investments. the total Renovation cost is from 18k-22.

@Laura Moore Hey thanks and yes I have noticed that. I am reading older post right now. I am just an average Joe but people most definitely love their sports. @Andre St.George thanks brother that is some helpful info. I am working with a realtor who is a good friend. but the cash buyer list is something I hadn't thought about but thats good advice but I do plan on using bandit signs and putting "renovated home coming soon" in the yard as the contractors do their thing. Also walking the neighbor hood to possibly give referral rewards resulting in a sale.

Hello everyone,

My name is Shaun Draughn, I am new to this site and new to REI but I have always had a large interest. Therefore I am looking to connect and network with fellow investors, mentors, HMLs and RE groups in the RDU area to strenghten my knowledge and skills in this realm.

My interest are in flipping, buy and hold, and wholesaling. I actually have my first property under contract as we speak. Although I am new to this I have been fortunate and blessed to have played in the NFL and now be afforded the free time to research, read books, audiobooks and attend seminars you name it I have tried to get my nose in it. I have the mentality that I want to hit the ground running and learn on the go. Any help, direction, and suggestions are most certainly welcomed and appreciated.