Hi , I am a 27 year old from sydney who has just purchased my first investment property in Kansas city. I am renovating the property ready for tenants as we speak and due to visit there in april. I have financed the property my self but am wanting to know if any one has had experience with borrowing for property. I would love to purchase another but finances are holding me back. I have a bank account with wells fargo but the llc i have created will not make money for a nother couple of months. Does any one have any suggestions or experience with similar hurdle? Thanks , look forward to hearing some ideas!
mic84t wrote:Hi , I am a 27 year old from sydney who has just purchased my first investment property in Kansas city. I am renovating the property ready for tenants as we speak and due to visit there in april. I have financed the property my self but am wanting to know if any one has had experience with borrowing for property. I would love to purchase another but finances are holding me back. I have a bank account with wells fargo but the llc i have created will not make money for a nother couple of months. Does any one have any suggestions or experience with similar hurdle? Thanks , look forward to hearing some ideas!This is the million dollar question quite a few US and Australian teams working on this. I have not seen a loan get completed with financing yet.Answer might be different in next two weeks. From what my real estate partner and a few other guys on this site are working with.This is going to be hedge fund back product. Again I don't have the mortgage back ground as my partner does.
We are in the USA and worked with a group also in the USA that claimed they could do financing. Again they just providing expensive ( super ) hard money loans. With little to no exit strategy. So keep this thread going and their should be some good replies .Since this is a product that is very intriguing to guys like me who run turnkey deals.
Talk soon
Alex
We have finance available for foreign national buyers. Rate of 5.75% with a 30% down payment and 1% origination fee. Funds are provided by a commercial bank in Texas. Repayments are amortized over a 15 or 20 year term depending on the loan size and/or property. A maximum of 5 properties or $500,000-00 in lending per entity. And we have have many clients successfully funded so we know it's the real deal.
It won't assist you getting any equity from your Kansas City property as lending is restricted to the North Texas area's and are quite specific due to Fed laws. To my knowledge this is about the best you could get or expect for a foreign national. Other then that some borrow from hard money lenders but pay upwards of 11%++ and they are typically only short term loans of 3-5 years so your stuck come 3-5 years in trying to refinance it.
Nothing better then leverage to increase your cash on cash return !!Mike,
You purchased the property from Sydney without seeing it LIVE?
sure did, some may think it was risky but i am happy with the team I have and felt confident. So far so good and I will be there to check it all out soon.
Texas Cash Cow Investments Australia wrote:We have finance available for foreign national buyers. Rate of 5.75% with a 30% down payment and 1% origination fee. Funds are provided by a commercial bank in Texas. Repayments are amortized over a 15 or 20 year term depending on the loan size and/or property. A maximum of 5 properties or $500,000-00 in lending per entity. And we have have many clients successfully funded so we know it's the real deal.
It won't assist you getting any equity from your Kansas City property as lending is restricted to the North Texas area's and are quite specific due to Fed laws. To my knowledge this is about the best you could get or expect for a foreign national. Other then that some borrow from hard money lenders but pay upwards of 11%++ and they are typically only short term loans of 3-5 years so your stuck come 3-5 years in trying to refinance it.
Nothing better then leverage to increase your cash on cash return !!sounnds great , but I have decided to invest in Kansis city for the time being. do you know of any resonable finance being offered here?
I know hard money lenders in Kansas City and would do the loan through your business. I am currently working on a 6 house deal from a hard money lender that doesn't know real estate, lol. He is offering me 6 points and five years on 60,000 with 20 down. Getting a good deal cause he has proven he doesn't have what it takes manage his cash flow portfolio. The rents on two of the houses will cover my loan for the duration. I'll ask him tomorrow and will post for you what i find out. If u haven't seen your house in person i hope u didn't get something from the dime a dozen turd turnkeys here. worries me that they are rehabbing in the winter, i don't do any heavy rehab during the winters here. just to costly and time consuming compared to the favorable construction weather in the spring.
Curious is to what area code your house is in, hope its not 64130.
Crazy that u bought without going there
Good luck with it though…keep us posted how it all pans out. If you dont mind can u pm me your team?
kylermrice wrote:I know hard money lenders in Kansas City and would do the loan through your business. I am currently working on a 6 house deal from a hard money lender that doesn't know real estate, lol. He is offering me 6 points and five years on 60,000 with 20 down. Getting a good deal cause he has proven he doesn't have what it takes manage his cash flow portfolio. The rents on two of the houses will cover my loan for the duration. I'll ask him tomorrow and will post for you what i find out. If u haven't seen your house in person i hope u didn't get something from the dime a dozen turd turnkeys here. worries me that they are rehabbing in the winter, i don't do any heavy rehab during the winters here. just to costly and time consuming compared to the favorable construction weather in the spring.Can you expain how this is possible?
6 houses, 60k each, with 20k down on each.
So loan amount is $240,000, with a 6% interest rate equates to a monthly payment of $4,639.87.Projected rental return on 6 properties is $4200 approx, after all expenses, taxes etc…Doesn't even cover the loan repayment.
Please explain how 2 properties 'cover the loan'?
I'm no expert, and am happy to be corrected. Cheers.
Texas Cash Cow Investments Australia wrote:We have finance available for foreign national buyers. Rate of 5.75% with a 30% down payment and 1% origination fee. Funds are provided by a commercial bank in Texas. Repayments are amortized over a 15 or 20 year term depending on the loan size and/or property. A maximum of 5 properties or $500,000-00 in lending per entity. And we have have many clients successfully funded so we know it's the real deal.
It won't assist you getting any equity from your Kansas City property as lending is restricted to the North Texas area's and are quite specific due to Fed laws. To my knowledge this is about the best you could get or expect for a foreign national. Other then that some borrow from hard money lenders but pay upwards of 11%++ and they are typically only short term loans of 3-5 years so your stuck come 3-5 years in trying to refinance it.
Nothing better then leverage to increase your cash on cash return !!Texas cash cow:
great loan product are they financing thier own foreclosres or a small commercial bank that really likes their local market.? thats as good as a US borrower full doc could get. bodes well for those areas I think
No need to see the property if you have a good team and people you can trust.
EngeloRumora | Ohio Cashflow
http://ohiocashflow.com/
Email Me | Phone MeF@#$ THE REST WORK WITH OHIO CASHFLOW TO INVEST
Kyler,
Whats this loan you got going on? Get on Facebook so we can do a video call hahaha
EngeloRumora | Ohio Cashflow
http://ohiocashflow.com/
Email Me | Phone MeF@#$ THE REST WORK WITH OHIO CASHFLOW TO INVEST
That's the loan for all six of them, if i was to purchase them from him individually he wanted 15k to 20k for each one. So I'm roughly getting each one for 10K. The houses are in C class neighborhoods but they will cash flow even with one or two not renting out a month. Some of these are rent ready and a couple will take about 4k in rehab work. I expect to see about 3k passive income from these roughly ( can't be really exact till i see how the tenants are for the year on these. Taxes and insurance are about 400 dollars together.
Here is a nice diamond in the ruff, the pictures on the MLS are way better than this crappy auction site. Notice the zip compared to most turnkey that sell properties in Kansas City area. Was going for 45,000 on MLS and will be worth at least 120,000 when the market comes back. Plus home depot is right across the street, lol
@ Engelo
just shot me an email or leave me a message on Facebook and we can chat brother. The time difference makes it tough when i get busy and can't stay up as late.
Kansas city turnkeys, what a joke. No wonder Kansas city gets lumped in with Detroit and Memphis when people sell C class for 35,000 to 45,000 to investors. You can polish and dress up a turd, but at the end of the day. A turd is a turd, lol.
jayhinrichs wrote:Texas Cash Cow Investments Australia wrote:We have finance available for foreign national buyers. Rate of 5.75% with a 30% down payment and 1% origination fee. Funds are provided by a commercial bank in Texas. Repayments are amortized over a 15 or 20 year term depending on the loan size and/or property. A maximum of 5 properties or $500,000-00 in lending per entity. And we have have many clients successfully funded so we know it's the real deal.
It won't assist you getting any equity from your Kansas City property as lending is restricted to the North Texas area's and are quite specific due to Fed laws. To my knowledge this is about the best you could get or expect for a foreign national. Other then that some borrow from hard money lenders but pay upwards of 11%++ and they are typically only short term loans of 3-5 years so your stuck come 3-5 years in trying to refinance it.
Nothing better then leverage to increase your cash on cash return !!Texas cash cow:
great loan product are they financing thier own foreclosres or a small commercial bank that really likes their local market.? thats as good as a US borrower full doc could get. bodes well for those areas I think
Hi Jay,
No it a reasonably substantial commercial bank that has been getting bigger buying out smaller banks and that has committed a few million dollars to a loan programme for our clients after doing some huge due diligence on our company and inventory we sell to investors. Once that is exhausted we will all sit down again in front of the bank board and see if they will commit to another round of funding. They have a lot of confidence in the market we are dealing in. I agree Jay…..a lot of US borrowers are lucky to get these sorts of terms although most of our US clients get funded by another bank on 20% down payment terms from 4.75%
kylermrice wrote:I know hard money lenders in Kansas City and would do the loan through your business. I am currently working on a 6 house deal from a hard money lender that doesn't know real estate, lol. He is offering me 6 points and five years on 60,000 with 20 down. Getting a good deal cause he has proven he doesn't have what it takes manage his cash flow portfolio. The rents on two of the houses will cover my loan for the duration. I'll ask him tomorrow and will post for you what i find out. If u haven't seen your house in person i hope u didn't get something from the dime a dozen turd turnkeys here. worries me that they are rehabbing in the winter, i don't do any heavy rehab during the winters here. just to costly and time consuming compared to the favorable construction weather in the spring.no it was not a turn key house. I created my own team. you may have a valid point about renovating in more desirable months but it has still been a favourable rehab all in all. I bought a two story house and had it renovated in to , two seperate apartments. Costs have been i little higher then i first estimated but i had room for movement and the return on my money will be 20-25%. So I am pretty happy with this. I have learnt a few things from this first house and perhaps would do a few things different on the next but all in all , I'm winning!
kylermrice wrote:Curious is to what area code your house is in, hope its not 64130.NO, it is 64050. Independence. just a few blocks from harry trumans house.
Hey Mic84t,
Tried sending u a pm but it looks like you're not accepting them. Anyway just wanted to have a chat because im looking to invest in KC soon and just wanted to know your experience. Do you have FB or Skype?
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