All Forum Posts by: Account Closed

Hello BP 

I always confuse on this subject. so I am in the process the get one unit rent out and I get few people interested. My question is How many application can you take at a time ? 

I though You can only get one application at a time, and If they not qualify then you can screen you next application. Is that right ? or I can take all application at a time then choose the most qualify applicant. BTW I live in Minnesota 

Very good plan and term. I said go for it.

Bought it to support BP. Thanks Brandon

It will depend on your lease. You can deal whatever you want with tenant. 

I have my tenant take care snow and lawn care

@Jon Holdman , I heard somewhere that Umbrella liability Insurance won't cover your business, Only personal. Your Rental is consider business. 

Some one advise to use Commercial General Liability to protect yourself in rental. Can you help me clarify that ?

 Brandon is right, only rent out if it Duplex or triplex and you live in one unit. 

What is your home worth ? and what do you currently own ? 

That information will help to answer your question as to which way best for you. 

@Gavin Delmas , You don't mix 2% rule with 50% rule. 

If you use 50% rule then you use half gross rent minus the PI to get your cash flow. 

If you use 2% rule then you get your Purchase price and can't use that to calculate cash flow. 

I don't know how you come up with Neg $133

I would pay around $315k.

1. You have to wait two years to use your rental income to qualify for loan. You can buy more if you qualify with your regular job income. 2. You can ask bank for more money using FHA 203k rehab loan 3. You can't use FHA on second loan unless it been 3 years 4. Do not try to do two closing at same time if you want to grow your real estate investment. Good luck.

Originally posted by @Rob Gillespie:

Go to Vegas get some cocaine,hookers and have a great time at the poker table!

No seriously, I would not put it out as private capital I have seen too many people lose their money if they don't make a good living decision and they are stuck with a note they are paying on.
I am not sure of your skill set or experiences, but I would be very sure you know what you're doing before throwing your own money on the line too quickly.
One strategy that works well is buying turnkey properties below market value that are sold a lease purchase already. I do a lot of these types of deals with out-of-town investors in the Cleveland suburban market and it works well for them.
( this is not a pitch for you to buy a property from me, please don't remove this post, LOL)
For example… If you buy a home in a market for less than $100,000 and that is all fixed up and nice and ready to go and you can sell it on a lease purchase for $159,000 and $1250 per month on a 35 month term, giving them 20% rent credit for on-time payments and taking a $7000 down payment that you credit 100%towards the purchase price, then you help them fix the credit over the three years and they cash out and you make a pretty nice payday without a lot of risk. That is the plan that works best for us in our market for our turnkey product, You just have to know what your most comfortable with.

Good luck, and spend slowly, LOL!

 You may have problem doing it with New law Dodd frank . Be careful. 

For me, I would look at local market and invest my money back to more properties.