All Forum Posts by: Steven Tawresey

I'm currently looking to refinance on a hard money loan. However, I'm also interested in your answer for 100% cold hard cash as I'll be able to make the transition away from hard money soon.

Anyone in the Denver Area of Colorado getting 80% on a cash out refinance? I can't get the numbers to work on a fix and hold at 75%. Flips are working fine, but I want to hold on to them! 

Thanks in advance for your thoughts.

@Kayla Davis

They're hard to find! Especially on the MLS. However, here's a trick that'll help in your search. @Bill S. alluded to it in his post. 

You can include 75% of projected rent as part of your pre-approved qualifying income. This  should allow you to bump up your price point by around 25%. It doesn't open you up to a huge amount of new properties, but hey, all you need is one right?

I am looking at a property near Morrison, Colorado outside of Denver. It has 'structural issues.' But my unfair advantage is I'm a structural engineer. And I'm not concerned. 

My concern is on the estimation of the rehab budget. I've populated a list of repairs necessary and my best guess on what it'll cost to get it done. But I have a tendency to be optimistic with estimates cause I know how much and how long it would take if I were to personally do the work.

It's a long shot, but I'm wondering if anyone wants to take a field trip with me tomorrow afternoon (Friday 2/26/16) to see the property?

I'll buy dinner / drinks! PM me if you're interested. Thanks!

~Steve

@Jacob Wohlgemuth

Where is info on this meetup. Can't find it on the site. Thanks!

Hey Matt M. Just saw this post. Nicely done! How close were you on projected rehab vs. actual? You said HOA was expensive. Did they give you a hard time with appropriate working hours/days? Was the condo FHA certified? My realtor seems to think that if the complex is not certified, it 100% won't sell on the back end. What's your opinion on this? Thanks.

I was planning on going still, but there's not much point in a networking event if the network doesn't show.

I'll be there next Monday if you reschedule.

@Adrian Chu and @Tim James

Hey fellas. I actually switched jobs this summer and I no longer am travelling up to Seattle frequently. It's still a longer term plan to move up once my parents start needing help around the house, but for now, my network expansion is stagnant.

How is the market up there currently? I was watching it over the summer but stopped once I knew I wouldn't be travelling. 

Thanks for reaching out.

~Steve

Hi BP,

It's been a few months since I've been active here in Denver, mostly because I've been looking at buying out of state hold properties. That's not to say I haven't been watching the market here in the Front Range, I just haven't acted.

However, I'm realizing now that I may be selling myself short. I live in South Denver right on the edge of Englewood. I know the market well and I have the experience, skill and drive. I just don't have a) all the money in the world and b) all the confidence in the world.

So here's my pitch. Let's partner up on a fix and flip, fix and hold, scrape and build, etc. You name it!

I am a licensed structural engineer with a day job at an architectural firm managing the design side production of multi million dollar multi-family apartment complexes. I have house hacked 3 properties in the last 5 years and still own two of them. One is a 4-unit rental in Cap Hill. Here is my linkedin profile... https://www.linkedin.com/in/stawresey

You are an experienced flipper / investor who needs someone to manage their day to day on a project. Let's start by comparing methods for finding and identifying a deal. Once we've found one, watch over my shoulder as I develop the scope of work, estimating, budgeting, and schedule. Work with me during contract negotiations and contractor selection. Then sit back as I manage the renovation / construction.

I am somewhat new to this, but I'm not completely green. I just subscribe to the idea that the more you know, the more you know you don't know. And I need some help believing that's ok and taking the leap.

I am not looking for a free education. This would be a financial and shared interest partnership.

PM me if you're interested. Let me buy you coffee.

Thanks.

~Steve

@Barbara G.

I've talked to a number of banks and have gotten the same answer: 

1. You can only cash-out on ARV after 12 months (Fannie / Freddie)

2. If you purchase / rehab with cash, you can use delayed financing within 6 months @70-75% of acquisition cost (not included rehab cost).

In other words, if I want to do a short term BRRR, let's say $50k cash acquisition, $20k cash rehab with an ARV of $90k, I can either pull out $37.5K (75% of $50k) @ 6 months (delayed financing) or $67.5k (75% of $90k) after a year.

With this model, I'm either forced to leave $32.5k of my original cash in the property or all $70k for the first year. Either way, this stalls growth. 

What am I missing? How do you grow faster than 1 property per year?