All Forum Posts by: Ahmad H.

I like it! PM sent.

@Joe T. Why would you lose the $1000 earnest deposit? Don't you have a mortgage contingency in your contract?
If you really want this property and the seller still wants to make this work, ask for an extension and focus your efforts on getting financing from another bank.  Do not worry too much about your wasted efforts with this lender. 

@Danielle D. Thanks! I'll keep those tips in mind for my next kitchen remodel :)

@Danielle D. That is a very nice kitchen for a reasonable price. What is the breakdown of the $13600 for materials/labor?

@Tess Tari As others have said, if it is livable you'll have to consider the cost of the upgrade vs the increase in rent before you make a decision. If that is not worth it, let it be until you are ready to make multiple upgrades at once. The nice thing about multiple upgrades is that they can be significant enough to increase the value of the property and enable you to refinance or use a HELOC to pull the money out while enjoying the increase in rent.

@Benjamin Allen Great work! I have similar goals and I started 3 years ago, at 23. I think getting enough units to retire by 30 is very doable. Stay in touch and hit me up if you're ever in Albany so we can grab a meal together. 

Thanks @Jeff B. for the response. I am open to offering a personal guarantee using my W-2 income. I think I am going to ask for something in between the two amounts and see what the lender's response will be.  

Hi BP,
I am planning to apply for a commercial line of credit with a local bank but I can't make my mind on how much to ask for and how to present my case. My goal is to expand access to funds at a sub 10% interest rate for future purchases.

On one hand, I can ask for something small like 50k with a high chance of getting approved,  and grow the relationship with the bank in hopes of increasing this in the future. But I really don't have much use for 50k (average property acquisition cost 130k).

On the other hand, I can explain my expansion strategy to the bank and ask for 200k, an amount that will actually make a difference. But I am worried this will not fly and I end up sounding too optimistic. 

Does a commercial bank lend money strictly based on the value at hand? How much does future growth play a role here?

Any tips from someone who has gone through this process would be greatly appreciated.

Hi Whitney. Welcome to BP and congrats on your first offer getting accepted! If this is the 3-F on Dove St, I think it's a good deal. 

I will PM you the contact info of a reasonably priced mold remediation specialist that I've hired before. I unfortunately have not yet hired a contractor worth recommending. 

Try local banks and credit unions that keep their loans in house. I know one in my area that will do 10% down for owner-occupy properties if it's 2-4 family. There must be one around you. You just have to make some calls to find them.

@David HuynhVery nice! Hoping to be posting my inspirational story soon.