All Forum Posts by: Frankie Woods

@Brian Van Pelt means you should run your analysis as if you are not going to house hack. If the numbers work for your criteria (e.g. 12% CoC), then your set. Living for free or even having cash flow is just gravy.

The chances of you living in this place forever is small.  Eventually, you’ll either sell or turn it into a traditional rental. 

I agree with @amanda g. You'd be hard pressed to find a lender that will lend on an investment property for less than 5% now. Is it amortized over 30 years? I would take out a HELOC and BRRRR for days :)

VA loan is a huge advantage. I bought a property at each duty location I lived at and have done quite well. The loan limit is being removed in 2020.

Also, the medical benefits are pretty great.

Navy Federal is also an option. I got 70% LTV, 10 year draw + 10 year payment period, I.O. payments or 1% of the outstanding amount (whichever is higher). They also have a stipulation that you can only have 4 mortgaged properties, but it was waived for me (I have 10).

That is pretty typical for cash-out refinancing. I just went thru 2x where the APR was 5.5%. You could also try to do a HELOC thru wells fargo, navyfed or penfed.

I used business credit cards to fund a recent rehab.  I used three business cards and paid the expenses thru the property manager's portal.  I was charged an extra 2.8% to use a credit card thru appfolio, but using OPM made it well worth it for me.  You can also pay the contractors diretly using Plastiq, but they charge a 2 - 3% fee.

Anther method would be to take a cash advance.  Fees range between 2 - 5% and you will probably need to season these funds for 2 months if you want to use them towards a downpayment.

Best of luck!

If there are no up-front fees (minus the appraisal), and they work with my title company, I am generally fine to proceed.  Also, if they are offering out-sized terms that are no where near what banks in the same space are doing, then that is a red flag.  Private funding is a whole different animal.

This would most certainly have some sort of guarantee, be it personal or collateralized.  Otherwise, it's probably some sort of scam...

I use MS Access.  I find it much more useful when you have multiple properties.  

As @Ryan B. stated, there really is no change between the two from the changes in the tax law from a rental property perspective.  The only consideration is the increase in the standard deduction which makes it harder to itemize.