All Forum Posts by: Rachel Luoto

I can't tag her on here but I spoke to Michele Apt and she is currently looking for partners to JV with her!

Following! Great question. Maybe something niche?

Adding my 2 cents - pay attention to bus lines when considering commute. I've lived in a neighborhood that took me 45 minutes to get to downtown. My coworker's neighborhood looks like the same distance on a map, but it takes her 10 minutes

Thank you @Steve Hodgdon! I do some insurance for cyber, we recently sent this a sheet out to our clients about it and included this stat:

According to the U.S. National Cyber Security Alliance:

• 80%of small and midsized businesses have been successfully hacked
• 75% of businesses report losing customers after a data breach

60% of businesses who have been hacked go bankrupt within 6 months

 Ok, that is was my boyfriend's situation. So a few notes:

1. You'll have to still have 20% equity in the home for a refi, so as the numbers stand you would not get money out of it for another down 

2. You can only have 1 FHA loan at a time - usually. A good lender will be able to talk you through those options. You may have to buy the second property conventional, which is a large chunk of cash.

3. DO NOT TRUST REDFIN it could be much lower or much higher - in my boyfriend's case the appraisal was $20k over redfin's estimate. If you refi you will get a professional appraisal of the home. When they come make sure to point out all of the improvements you've done - additions, remodels, etc, and have an agent pull recent comps or do them yourself - then show the appraiser why your home fits in better with the higher-end comps

All that said, some creative things we've done to get money out of the house is to rent out a room to a friend, and to rent out the house on air bnb.

Please reach out if you have any questions in the process!

If you qualify for an FHA loan you can have gifted (not loaned) funds for a down payment. Otherwise, my boyfriend used a cash out refi for his down payment - though I don't think in your case there is enough equity in the home. I'm calculating 19% equity, in my experience banks want you to retain 20% equity in the home, though maybe you can find one that is different.

Hi Ben,

We have used Apex Plumbing multiple times and are always pleased - they've been quick to get to us, taken a short time, and been a reasonable price. You can tell them Julian Peddle gave you the recommendation, he's my boyfriend and the name they might recognize. Good luck!

@Odie Ayaga thank you! I do have a great GC and a great agent in my area. I know a few flippers at my REIA but not well. I'll keep studying and listening to podcasts to get more comfortable with doing the process by myself :)

@Julian Sibley thanks for the perspective! I'm not great at the manual labor part, my boyfriend actually handles most of that (whose name also is Julian!). I'm an underwriter by trade so the numbers/management/relationships is why my strengths lie. I do like your idea of partnering on a flip and leaving the money partner out for now.

I hear you about the 50%, it's hard to find a consensus on what a normal split is - I just heard 50% on one of the podcasts recently. I'd be willing to give more - a portion of a good deal is better than 100% of no deal :)

@Mateusz Prawdzik Thanks for that, I guess I'm just scared to tackle it on my own! But I guess I always have you all on BP :) I've always been the kind of person who learns from other's mistakes rather than making them myself.

What would you suggest as an alternate strategy to partner? Just do a JV 50/50? I'm also considering doing a BRRRR type model as an exit strategy instead of flipping (multiple exit strategies)