All Forum Posts by: Tchaka Owen

@Samantha Miller - this seems to be a niche product, because I've never seen such a provision. Here's my $0.017 Euros......if you intend to live in the home for a long time, do as you please. It is my opinion that what you do within your home is your business. On the other hand, if you intend to leave before too long and have that as part of your real estate portfolio, close with a different loan. The lender could see you as violating their rules.

99.9% of the time a lender will not ever bother you as long as you pay your mortgage on time. When it comes to these special programs, their motivations may be different. 

Any reason you don't go with a conventional loan?

To me, good credit and a background check is so that I don't have to charge you full rent up front. If she doesn't want a background check, but is willing to pay in full, I'd counter with: full rent upfront + 2 months security deposit.

@Wayne Brooks - must have been DIL because the name has been the same on the property appraiser site for years (land trusts). The only changes occurred when we sold to end users not using the same.

@Wayne Brooks - In 2015, my business partner and I purchased a small bulk in Northwood section of WPB that a private lender foreclosed on. It never hit the auction block.

Caveat: it's possible they got the scoundrel to sign a deed-in-lieu (which makes sense), however I cannot confirm.

@Duriel Taylor - Thomas Franklin gave sound advice about JVs. And you do need to be realistic about your returns....you might double your money in a year, however it's much more likely you'll get 40-50% return. For most people, that's amazing.

BTW, I just moved out of Hollywood after 12+ years of living in the Lakes for precisely the reason you're not investing in the area. I'm now up the coast and seeing much better opportunities. Perhaps there's a JV possibility in the near future.

PS - the advice about spreading your funds to reduce risk is a good one!

@Nick Gray - you attended the two schools that turned me down for undergrad. Nice work! I echo the sentiments of other here (admittedly, I didn't read every response). REI can be addictive and you seem to have caught the bug - that's a great thing! And you recognize the importance of having some income while you ramp up (good awareness). My recommendation is that you continue as an engineer while you read up, attend seminars, join your local REIAs (if you haven't already) and buy a place. You could easily be an ex-engineer within 6 months. Maybe it takes a year, either way it's not forever.

I'm a practicing real estate agent and you shouldn't expect to make any income for 4 months or longer. It takes time to build clients. If you find a buyer the first day, that's probably 2-3 months before you see a check. If you get a listing, that's likely longer. And you're learning a while new profession. IMO, forget being an agent.....do REI. I do both, but my passion is the latter. Also, if you're located in NH, it's about to get cold. There are (significantly) less people buying/selling in cold weather. Keep the aerospace work going through the winter and absorb REI. Then come out firing in the Spring. Good luck! 

What Ryan D. said. 
It doesn't matter if you have 4, 40 or 400.....it's still the same. With duplexes in Naptown, you're already on the right track. I'm willing to bet that if your rents dropped 20% you'll probably still cover mortgage. It's the guy in Miami with a $500k home collecting $2500/mo rent that should be concerned about the market turndown. 

Lots of good advice already! Real estate law sometimes differs by state. Here in Florida, an agent is not required to submit an offer from a Buyer to the Listing Agent. That's correct (I see you, Florida Bigger Pockets peeps). Agent has the option of saying "no" and you have every right to fire that agent and move on to another. There's no violation of the law. The law mandates that a Listing Agent present offers to the Seller. Different situation.

That said, what I would do is one of the following:
1. Find another agent willing to submit the offer,

2. Submit an offer directly to the buyer, or

3. Ask the listing agent to submit your offer. Be upfront and let him/her know you're an investor and that the agent may keep both sides. 

What's important is that you know the max you're willing to pay. Ie, if you think it's a good deal at $180k and you can make money, don't go in at $135k, do something more realistic like $155k. If it needs tons of work and you can't make money offering more than $150k, then you're right on point. Good luck!

@James T. - that makes sense. And if you over-estimate, you'll be happier having spent less on rehabs. Good luck! Let us know how it works out.

@Ade O I believe our paths have crossed before!