All Forum Posts by: Victor G.

So I am an aspiring real estate investor, but to get my feet in the game I've been looking to House Hack my first home. Well last night at I was talking to a guy at my job who has been wanting to retire basically and he was telling me a story about how he's not sure when he will because of issues he has with his properties and how he has pulled money out of his retirement fund to buy properties, in which he has a total of 10.  The situation he is in is a mess where he does not want to sell because he keep getting low ball offers and he'll lose money selling with an investor he told me. He was advising me that being a landlord was the worst mistake ever, "Their Problem is your problem" and every one is against you including the courts, cops, and etc.. However in the back of my head since I've been studying thanks to BP, I was thinking wow this could be a good time to implement seller financing. 

The issue he has mentioned with his properties is vacancy including one that has been vacant for 2 years because he was doing the rehab himself and him having poor tenants. The properties are in Upstate New York about hour away from any metropolitan city. He has mentioned he is unsure what he wants to do because if he sells he would lose money and have to pay taxes, however when he retires he doesn't want to deal with the headaches of being a landlord. Even though I shouldn't give advice I told him about the 1031 Exchange and how he can avoid Capital gains when he sells the properties, which excited him because he wants to get a nicer home with land so he can do farming once he's done with work. 

Basically what would be some good ways for me to approach him about selling me his properties through seller financing without offending him (LOL) ? Would this be a bad idea even with the vacancies issues. 

I would use the BP calculators and calculate it assuming your renting out both units and see if it still cash flows. Even though you want it to cover all the expenses it would definitely be a great way to save money even if it won't fully cover expenses. Btw I'm looking to house hack as well so good luck on your search

haha yes definitely if I for sure knew it would be worth way more in the near future, however I have no way of knowing that.  Maybe if I was a executive for a company and knew they were going bring in many jobs in future without the public knowing. 

Do u currently own a house if not try Owner occupied low down payment option 3.5-5% down or owner occupied USDA loan for rural area .

@Andrew Postell and @Harjeet Bhatti

thank youu guys very much 

Hi 

If I was approved for a loan for 180k but I find a property selling for 140k that is currently livable, however I  would like to spend money on cosmetic updates. Can I ask the bank for the extra 40k to do whatever repairs necessary to my liking, such as on a line of credit. I know this question may be basic lol. 

This is on a basic mortgage not any 203k or fixer upper program, actually a piggyback mortgage(80-10-10). 

Thanks in advance

Hi I was wondering if this would be a good idea even though it may be risky. I would like to start my Real Estate Investing career through a combination of financing options . Would it be a good idea to get a hard money loan to rehab a house then refinance into a first time home buyer mortgage program, even if that's possible, I'm not too sure with the rules and regulations. The reasoning for doing this is I hear that FHA loans and other traditional mortgage loans takes much longer and are given less priority to sellers and I don't want to lose out on any good deals based on waiting for a loan approval. After being a owner occupant for a year or two I would like to resell the house.

Thanks 

Hey man great choice and best of luck. I believe there is no wrong job to take for example you can take a customer service job which can help with dealing with different people or you can work in a bank which can help you gain connections with lenders. As for hands on you can work as a handyman or earn a trade with a specialized skills that can help with renovations.

@Andrew Kerr

Thanks for the reply and yes that is true I have heard lots of horror stories, and I was believing that once you got pass the whole hurdle of paper work and inspections then the rest will be smooth

This may seem like a simple question but why are so many landlords against renting to Section 8 tenants; when it seem like a pretty guaranteed payment. I've  always thought renting to Section 8 tenants would be one of the safest ways to get rent paid on time minus the fact that some may have to pay a little extra out of pocket. Basically I am trying to understand what is the risk behind so many "No Section 8/DSS" postings for rental properties. 

Thanks