All Forum Posts by: Tommy Cangelosi

I'm thinking about bidding in an online auction that starts on Thursday for a local single family home. You have to pay cash in order to purchase. I have a few questions about HELOC loans. I have a lot of my cash tied up in a flip right now and don't have enough to be competitive.

1. How long from when you apply for one until you have access to the cash typically? This would be through a local bank that I have a tremendous relationship with.

2. What are the rates typically like on something like that?

Thanks for the help!

@Ehsan Rishat Thank you, brother! I appreciate it! We are hoping to turn a quick profit on this one! Good luck to you as well!! 

@Charles Carillo Thank you for the reply man! We do not have a lot of good flip opportunities in our market so we jumped at this one. The house had a new roof put on it two years ago so we felt comfortable moving forward without the 70% rule. 

My wife and I are closing on our first flip this week!! We are buying a HUD foreclosure and are ready to start work. We specialize in buy and hold, but are eager to add to our portfolio.

Purchase price-90K

Repair budget-15K

ARV-142K

Thanks and please leave us any tips or ideas!! :)

@Cole Farrell Sorry it took me so long to get back to you! In my opinion, it is better to leverage yourself and buy the next property. I would rather own 3 properties and owe some on each THAN have one paid off comparable property. 

@Cole Farrell I think it all depends on what you want to accomplish. Are you trying to scale your business? If so, then you should use your positive cash flow to find new deals. You're still paying done your note as you go, because your "positive" cash flow is after PITI.

@Steve Hall well said!!

I could not agree more. This project has become a cluster, but do what you need to do to exit and move on. Plenty of people on here would be happy with a 25K profit! You made it seem like you were going to lose 25K! Good luck! 👍🏽

@Shawn Jetton My wife and I are closing Monday on our first flip! We are ready to get to work on it! T and P ‘s for you! Hope you get multiple offers!!! House looks great!

@Matt Moore

The deal looks good if you can get the price down. Offer at a price that gives you the numbers you want, and if they won’t accept then move on. Good job on your homework. Are you going to self manage? I didn’t see a management fee. You can most likely negotiate the management fee down. Talk about how plan to purchase more rentals and will give them to that manager if they do a great job.

Hey BP!

Weird question....anyone have any tips for getting your significant other on board to purchase more investments? We currently have 5 SFR, 1 MFR, and about to close on our first flip. She is very excited about the flip because she is a talented designer, but I see the most value for us in buy and holds because of our market. I want to keep purchasing SFR or MFR, but she wants to hold off for a little while. We did buy 4 last year. Any help would be appreciated 😊, and yes I know, "Happy Wife, Happy Life".