Home Buying & Real Estate Thread

[SupremeBeing5]

Need advice.

So I was planning on getting an investment property. Around 200-250k a multi family.

But they say they want 25% for a investment loan.

I don't really wanna throw down 25% because I want to get another property by march-April.

Do y'all think I should just use the FHA loan 3.5 and live in it for a year and repeat? Or say F it and just throw the 25% down. 20% is what I thought it would be. Mind you I live an hour away.

I'm gonna try another lender. I guess. Is 25% is normal now???

 

[slicknick951]

Need advice.

So I was planning on getting an investment property. Around 200-250k a multi family.

But they say they want 25% for a investment loan.

I don't really wanna throw down 25% because I want to get another property by march-April.

Do y'all think I should just use the FHA loan 3.5 and live in it for a year and repeat? Or say F it and just throw the 25% down. 20% is what I thought it would be. Mind you I live an hour away.

I'm gonna try another lender. I guess. Is 25% is normal now???

Keep searching for another lender but usually they like to have a relationship built with you to accept the lower downpayment.

Do you have a property already that you found? Maybe try to find something that needs some work that you can raise the value then refinance in 6 months to a year depending on the banks requirements.

Another option is to find a seller willing to hold a note.

GL

 

[edshoecator]

Increased home values isn't necessarily a good thing

It is for me...planning on selling soon. I owe 130k and the property is estimated to be valued at 850k.

 

[ekrev98]

Need advice.

So I was planning on getting an investment property. Around 200-250k a multi family.

But they say they want 25% for a investment loan.

I don't really wanna throw down 25% because I want to get another property by march-April.

Do y'all think I should just use the FHA loan 3.5 and live in it for a year and repeat? Or say F it and just throw the 25% down. 20% is what I thought it would be. Mind you I live an hour away.

I'm gonna try another lender. I guess. Is 25% is normal now???

Contact a mortgage broker who can find the correct loan for your situation. Some of these banks offer loans for a certain niche.

 

[Rj4147]

I know its a common question but what improvements to a home could you make to make the value higher before selling it?

Say you had, hypothetically, 100-250k to invest in your home. What would yall do? Im not saying I have that much. I just wanna know. Is that enough to
add another level to a home? I really know nothing about real estate lol

 

[ekrev98]

I know its a common question but what improvements to a home could you make to make the value higher before selling it?

Say you had, hypothetically, 100-250k to invest in your home. What would yall do? Im not saying I have that much. I just wanna know. Is that enough to
add another level to a home? I really know nothing about real estate lol

Update the kitchen and bathrooms. It'll raise the value of your house and make it easier to sell as long as it's done right.

Adding another room, level, etc...can get costly and will require permits which can take some time. But adding sq ft to any home will increase the value.

$100k is plenty and can go a long way. Best thing to do is look at comps in your area and see what homes sold for and if they have been updated or not. And look at the sq ft and number of bedrooms/bathrooms of the comps to give you an idea what your house is potentially worth.

 

[dam itz lou]

thanks. the issue with me going up in price if the appraisal comes in low is that i'm in nyc, so i don't have as much wiggle to come up if needed. i guess it would be best for me to add in the contingency in the contract before signing, and hope that the sellers go down in price if the appraisal comes in lower.

Where in NYC ?

 

[Grine]

Need advice.

So I was planning on getting an investment property. Around 200-250k a multi family.

But they say they want 25% for a investment loan.

I don't really wanna throw down 25% because I want to get another property by march-April.

Do y'all think I should just use the FHA loan 3.5 and live in it for a year and repeat? Or say F it and just throw the 25% down. 20% is what I thought it would be. Mind you I live an hour away.

I'm gonna try another lender. I guess. Is 25% is normal now???

Finding another lender might help.

But, you may want to look at your LTV for this multifamily home. I believe that’s why they’re asking for 25%.

Investment loans are different than regular mortgage loans. Higher down payment and interest rates. Conditions, too.

 

[slicknick951]

Update the kitchen and bathrooms. It'll raise the value of your house and make it easier to sell as long as it's done right.

Adding another room, level, etc...can get costly and will require permits which can take some time. But adding sq ft to any home will increase the value.

$100k is plenty and can go a long way. Best thing to do is look at comps in your area and see what homes sold for and if they have been updated or not. And look at the sq ft and number of bedrooms/bathrooms of the comps to give you an idea what your house is potentially worth.

This

Kitchens and bathrooms sell homes

 

[marvd00d]

Need advice.

So I was planning on getting an investment property. Around 200-250k a multi family.

But they say they want 25% for a investment loan.

I don't really wanna throw down 25% because I want to get another property by march-April.

Do y'all think I should just use the FHA loan 3.5 and live in it for a year and repeat? Or say F it and just throw the 25% down. 20% is what I thought it would be. Mind you I live an hour away.

I'm gonna try another lender. I guess. Is 25% is normal now???

Shop around for lenders. Me and my girl put 20% down on a 185k duplex in arizona. (we rent both units out) There is plenty of people that will give you better terms than 25%.

 

[Grine]

Shop around for lenders. Me and my girl put 20% down on a 185k duplex in arizona. (we rent both units out) There is plenty of people that will give you better terms than 25%.

Well that can vary. Like you can pay less if it's a good investment property or you could have to pay like 25% if it's a bad investment property. May have to see why the property isn’t profitable. That’s why I said check the LTV on the property.

But it’s can be a combination of things, credit, loan criteria, etc.

Honestly, commercial property, you always assume 25%. I had to drop that.

 

[dam itz lou]

Anyone have solar panels ? Any negatives ? We just met with someone today and it all sounds good, but im sure there are cons.

 

[lazyj10]

Depends if you’re going to own or lease for one.

Additionally they may limit on how many panels they’ll do because the power companies don’t want to pay you.

 

[oh you mad]

Anyone have solar panels ? Any negatives ? We just met with someone today and it all sounds good, but im sure there are cons.

Don't lease.

 

[stork]

Additionally they may limit on how many panels they’ll do because the power companies don’t want to pay you.

They are going to inevitably have to pay the consumer for net metering solar panels.

If he has 8 panels or 15 makes no difference. Assume the house is vacant on a sunny day, that power is being sent back to the grid.

 

[edshoecator]

Who do you buy from?

I have a flat roof Spanish duplex that id love to outfit.

Especially right now since the power just went out lol

 

[shortkid23]

This thread has so much information, that I plan to use going forward in regards to flipping, financing, reno, etc.

I closed on a duplex in August for 87k, qualified as a first time homeowner so i brought $3,094 to closing. I couldn't pass up a 3/3 for that price because in Milwaukee they are usually between 115-150k (in the great condition mine was in. Add to the fact the previous owner was using the property as for Temporary housing paid for by a local government agency. After closing i got my self set up as a provider, inspected, and able to operate 3 weeks later. The program pays $700 per person and since it is temporary housing the clients are rotated every 30days. I wanted to share that there are possibly programs like this in your cities, that can be utilized. It also is a better alternative, for me because I'm guaranteed money every month, don't have to deal with evicting or non paying tenants - they don't have tenant rights.

 

[lazyj10]

It depends on your net usage out here at the end of the year.

 

[dam itz lou]

Don't lease.

Yeah, definitely not leasing. I don't get why someone would.

 

[dam itz lou]

Nice flip in my neighborhood. I remember it being a foreclosed house and they were asking 659k. It just sold for 859k.

https://www.zillow.com/homedetails/7815-151st-Ave-Howard-Beach-NY-11414/2097959382_zpid/

 

[chino905]

I had a question about Real Estate Attorneys. So I'm looking to purchase a place that i got an accepted offer on and got sent the contract from my attorney. My question is what is to what extent is the attorney supposed to help with? Is it feasible for him to go through the entire contract with me, paragraph by paragraph, to explain everything? I tried reading through the contract, but it is like reading another language. Or would I be asking for too much for him to go paragraph by paragraph and explaining everything?

 

[oh you mad]

This thread has so much information, that I plan to use going forward in regards to flipping, financing, reno, etc.

I closed on a duplex in August for 87k, qualified as a first time homeowner so i brought $3,094 to closing. I couldn't pass up a 3/3 for that price because in Milwaukee they are usually between 115-150k (in the great condition mine was in. Add to the fact the previous owner was using the property as for Temporary housing paid for by a local government agency. After closing i got my self set up as a provider, inspected, and able to operate 3 weeks later. The program pays $700 per person and since it is temporary housing the clients are rotated every 30days. I wanted to share that there are possibly programs like this in your cities, that can be utilized. It also is a better alternative, for me because I'm guaranteed money every month, don't have to deal with evicting or non paying tenants - they don't have tenant rights.

A duplex under 150k Jesus Christ

meanwhile...

 

[slicknick951]

Depending on how your lawyer bills he might charge an hour or two to go over it with you but if you are planning to do more buying in the future it might be worth it to learn the language.

Try googling what you are unsure about and im sure you can get a general idea. A lot of these contracts are standard minus the contingencys and if they are paying closinf costs etc.

 

[chino905]

Ok, another question for you guys. Do you recommend going to a bigger bank (Citi, Chase, etc) or a smaller mortgage bank/lender? I'm currently with Citi, but I've heard that the bigger banks are really conservative when it comes to the appraisal. My agent recommended me a smaller mortgage bank to use instead. Although i'm in the process of getting appraisal contingencies in the contract to protect me, do you guys typical go with the bigger or smaller banks?

 

[pdino]

I got my panels this last year for my duplex I live in, highest electric bill since has been 10$, and electric company gives me credits for extra electricity. There's a 30% tax credit for solar panels.
I used a program called HERO, that allows you to put loans for home improvements on your property taxes (property taxes are tax deductible, so this loan is tax deductible). Then got +7k on my tax return that year from the tax credit. Tesla Model 3 is set to come in March, so I'm looking to never buy gas again.