All Forum Posts by: Frankie Woods
Frankie Woods has started 29 posts and replied 1243 times.
Post: PenFed lending - how do they know...
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- Arlington, VA
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When I applied, it was no more than four financed properties under your name. They can also try Navy Federal Credit Union. They are a little less restrictive, and are willing to waive some of them. B
BTW: this is if we're talking about a HELOC. I own 13 properties and was still able to get a HELOC from NFCU on an investment property.
Post: Is St Louis MO a good place to invest?
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- Arlington, VA
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As an out-of-state investor in 63118, I couldn't agree more with @Bob Hines. I've been slowly dying in parts of 63118 since 2015 lol. Of the five properties I own, two are complete dogs. The others actually perform quite nicely. It's really street by street.
I've had a lot of success in Benton Park proper however. Can't speak for BPW, but Fox Park looks like it may be primed to be the next Benton Park.
Post: David Greene's method in podcast 327
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- Arlington, VA
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Originally posted by @Jay Hinrichs:
Originally posted by @Frankie Woods:
Originally posted by @Jay Hinrichs:
Originally posted by @Bill Goodland:
Originally posted by @Ryan Keenan:
I haven't done it personally. I've only done my fair share of research on the topic, but as far as I know it depends. If you have a successful real estate business, they may give a LOC against your LLC with or without your personal credit taken into the picture depending on if your business has developed its own credit history. As a beginner, it would probably just be easiest to get an unsecured LOC tied to your own income and credit, possibly having credit card with 0% APR for the first year as a backup if you are looking to BRRRR. You do of course need the savings and income required to be able to pay off a chunk of the LOC or credit cards however if the BRRRR doesn't go as planned(rehab goes over budget, ARV not as high as expected), but can still be a safe and effective way to leverage. First investor I've heard of that successfully used LOC to BRRRR was @terry adams way back when on the BP podcast so check out that episode.
don't know for certain of course.. but a true unsecured LOC of 500k would be impossible to get unless you have a monster balance sheet Monster income.. and probably 500k to 1 mil liquid.. I think most of these LOC are probably asset backed.
you can stack up credit cards .. although if you max them out your fico is going to dive so your refi could be tougher or interest rate higher. a true unsecured LOC form a commercial bank is VERY difficult to impossible for a beginner or average investor.. might get a little one 50k and under.. but 500k pretty tough to impossible.. Keep in mind many CA based investors have 500 to 1 mil in equity in their personal resi's so that is were a bunch of this stuff comes from. Heloc on your personal resi at great interest rates.
Mind blown! This just opened my eyes to so many possibilities now. My goodness, thanks Jay!
well before you get too excited a true unsecured LOC that is not tied to real estate Is VERY tough to get. and a LOC for making hard money loans is even harder LOL>. but those with the dough and the experience this is how it works and this is why a successful HML can make some really good money far more money than simply owning rentals.. that produce 100 a month or so.
Understand LOL! I'm currently going thru the process of establishing the track record to get one. It's not as straight forward as I would have hoped, but there are definitely paths if one is patience. I just never thought to tie a LOC to HMLing vs. BRRRRs. But the work is definitely worth the squeeze.
Post: David Greene's method in podcast 327
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- Arlington, VA
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Originally posted by @Jay Hinrichs:
Originally posted by @Bill Goodland:
Originally posted by @Ryan Keenan:
I haven't done it personally. I've only done my fair share of research on the topic, but as far as I know it depends. If you have a successful real estate business, they may give a LOC against your LLC with or without your personal credit taken into the picture depending on if your business has developed its own credit history. As a beginner, it would probably just be easiest to get an unsecured LOC tied to your own income and credit, possibly having credit card with 0% APR for the first year as a backup if you are looking to BRRRR. You do of course need the savings and income required to be able to pay off a chunk of the LOC or credit cards however if the BRRRR doesn't go as planned(rehab goes over budget, ARV not as high as expected), but can still be a safe and effective way to leverage. First investor I've heard of that successfully used LOC to BRRRR was @terry adams way back when on the BP podcast so check out that episode.
don't know for certain of course.. but a true unsecured LOC of 500k would be impossible to get unless you have a monster balance sheet Monster income.. and probably 500k to 1 mil liquid.. I think most of these LOC are probably asset backed.
you can stack up credit cards .. although if you max them out your fico is going to dive so your refi could be tougher or interest rate higher. a true unsecured LOC form a commercial bank is VERY difficult to impossible for a beginner or average investor.. might get a little one 50k and under.. but 500k pretty tough to impossible.. Keep in mind many CA based investors have 500 to 1 mil in equity in their personal resi's so that is were a bunch of this stuff comes from. Heloc on your personal resi at great interest rates.
Mind blown! This just opened my eyes to so many possibilities now. My goodness, thanks Jay!
Post: Can I Buy Two Properties At Once? - Creative Lending Question
- Investor
- Arlington, VA
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It can certainly be done, but it just complicates things. The two properties will have to be factored into your overall DTI and DSCR. If you are using the same lender for both properties, it lightens the paperwork. If the two are good deals following BP principles, your DTI and DSCR should increase and you should be fine. Obviously, the best advice is to tell your mortgage lender what you are trying to do because each bank has it's own rules.
Post: Personal credit score help
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- Arlington, VA
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You need to request that the collector remove the default reporting from your credit reports [experian, equifax, and transunion]. It is best to get in writing that they will remove it before paying, but you may get lucky. Best of luck!
Post: Business loan from Loanbuilder
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- Arlington, VA
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It's just a standard personal / business loan thru paypal. I have not used them, but they've received pretty good reviews across multiple platforms [to include consumer advocate]. The biggest downside is the short term length of no longer than 12 months.
I feel this would be a good option for a bridge loan to get you into a property with private money or HML while you get conventional financing or seasoning lined up.
Post: How did you increase you credit score
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- Arlington, VA
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Thanks @Michael Masters I figured as much. What a silly way to look at credit utilization...
Post: How did you increase you credit score
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- Arlington, VA
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Can anyone verify whether having an overall credit utilization below 30% but having one card over that utilization threshold hurts your score? I'm trying to figure out the major swings in my score.... My current utilization is about 10% with a credit limit approaching $250k . I want to take advantage of 0% financing without dinging my score.
Post: Unsecured credit lines, Which company offers the best value? F
- Investor
- Arlington, VA
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Mind you I have decent income and a great credit score, but I started with Chase Credit Cards [because of the 5/24 rule]. Then moved on to AMEX. And finished with CITI. I opened about a card every 2-3 months for sign up bonuses [travel hacking is life]. Then I opened a HELOC on an investment property with Navy Fed.