All Forum Posts by: Thomas Handy

James,
I thought I was doing well with Discover. Currently they're at .85% APY. I think they were a little higher last year but looking at the current rate I guess it dropped without any notice.

Tom

Rich,
Great post! When I first started out in the military, my focus was on work. Then I got married and my focus was still on work. I gave a little bit more time to spend with my wife but not much. I do try not to bring work home with me but that's hard sometimes. Then a few years later we had a son and I deployed a month later. I missed my son so much. It was hard being deployed, hearing him cry on the phone and I asked what's going on? Just not being with my family and seeing my son grow up was literally killing me. Then I got hurt and was sent back for a few months. I got to spend time with my wife and son before I had to go back to finish the deployment.

Then a year later I deployed again. It's tough to be away from your family. My wife asked me the other day if I was staying in past 20 wearing a new rank (which means more responsibilities, travel, working for someone, etc). I said no way! Oct 2016 and I'm done.

There's more to life than just work. Life is short. Spend as much time as you can with your family because they're all you have.

Tom

Lynn,
If you're buying, have the seller pay for a termite inspection. This means no money out of your pocket. And like others have said, observe what the termite inspector uncovers.

Tom

Thank you Ed. The owner is a car salesman/dealer and has 6 rentals. The one I mentioned above is the only home I'm interested in. The owner is working through a person for the sale. It's been listed for about 2 months. We've only started talking and I'll be sure to ask these follow-up questions.

Isn't assuming the loan the same as taking over payments?

I came across a deal that the owner wants to sell his lease to own home that is under contract with the resident. The approximate value of the 3bd 2 ba 1750 sq ft home is $115,000, It's on a 7% loan for $680.71 a month. Rent is $1104.40. I don't have the tax information or the insurance yet but estimate no more than $200 a month but assume it's lower than this. I'm just using this for planning factors. I plan to make a few offers to the seller and see which one appeals to him. I can't think of a third but welcome all suggestions and even improvements to my first two offers.

1- Seller finance - 0 down for 15 years.
2- Work with the bank to assume the loan and pay the seller $5000.
3- ?????

Thank you,
Tom

Great posts from everyone!

I forgot to add I refinanced my condo in Hawaii. I also had the water heater replaced with pipes that were about to crack and it was caught just in time. Currently looking for a new renter to occupy the place with a $100 increase from last year's rent. Looking forward to more cashflow from this property.

I thought I would touch on a different topic as a way to see how everyone has started off the year. One month is down and did you start off the year with a bang?

I was gearing up for a great 2012 until Fannie Mae wouldn't approve my mortgage without a central heating system. I had been working with the seller on the price and was able to get $5000 of the asking price, had the house appraised, talked to the property manager on how to improve the property, talked to Lowe's about screen doors, and made numerous trips to the house.

Just as I was about to close, the bank took forever to return my calls and finally said the house was unlivable since it lacked a heating source. Wish they would have told me that from the start. The seller wouldn't budge and provide any funding for central heat nor entertain the idea of splitting the central heat installation. So I told my agent I'll pass on this property and continue to look for the next deal. The property already had a page full of renovations I was planning to make. Adding a central heating system really threw my numbers off. During this time though, I have made various offers and met a good number of people selling homes as an agent or investor. I'm sure the right property has my name on it and just waiting till the right house goes on the market.

I did learn a lot the past two months, more than any book could have taught me. The market's changing and it's unforgiving. The key is to have a plan B and not fall in love with the property you're looking at. But I'm loving how 2012 is starting off.

Tom

Brenda,
Maybe you could try volunteering at a real estate agency part time since the area is flooded with agents. This could be a way to get in the door. Maybe after a while that agency will bring you on full-time. I know it's not the way you want to get in the door but it's a start. Just keep a positive attitude. :)

Are you originally from Maine? I was just wondering since this is the state you chose to get your license.

Tom

I'll take a look at your post Brenda.

Tom

About a little over a month ago I shopped around for a 30 year loan. I talked to four local banks since I thought a local bank would give me a good deal. I was wrong. They offered me rates around 5.5 to 6.5%, with the option to lock in a new rate after a few years. I quickly left and went to bankrate.com. Capital One offered me a 30 year loan at 4.75%. So we quickly started a new relationship. Where I'm at, if this town wanted to attract businesses they need to learn to work with the big banks. At least that's what I see. Such a shame.

Tom