The Real Estate Thread: Buying/Selling/Tips/News

[doug rr]

lenny will retire at 50 then find love

at the Villages in Florida

[spike]

lenny will retire at 50 then find love

at the Villages in Florida

His straight posture, untainted by osteoporosis, will make him irresistible to the lady folk.

[The Argonaut]

A ratio doesn't need to add up to 10, or 100, or any other number. 7:2 is a perfectly valid ratio

[lennytheweedwhacker]

A ratio doesn't need to add up to 10, or 100, or any other number. 7:2 is a perfectly valid ratio

Perfect.

[lennytheweedwhacker]

lenny will retire at 50 then find love

What’s the point at that age

[spike]

lenny will retire at 50 then find love

What’s the point at that age

You will knock her up and have to go back to work.

[doug rr]

lenny will retire at 50 then find love

What’s the point at that age

you won't care about your appearance or your hair and you can go to bed whenever you want..

[lennytheweedwhacker]

lenny will retire at 50 then find love

What’s the point at that age

you won't care about your appearance or your hair and you can go to bed whenever you want..

Not much different life than present

[spike]

lenny will retire at 50 then find love

What’s the point at that age

you won't care about your appearance or your hair and you can go to bed whenever you want..

[Bammer]

lenny will retire at 50 then find love

at the Villages in Florida

Is that the F.O.E. property?

Those ladies can get down.

[lennytheweedwhacker]

lenny will retire at 50 then find love

at the Villages in Florida

Is that the F.O.E. property?

Those ladies can get down.

Are you an adulterer

[Jorge]

Alright let's hear it

[lennytheweedwhacker]

I much prefer big stories.

[tragabigzanda]

There is a wolf in me . . . fangs pointed for tearing gashes . . . a red tongue for raw meat . . . and the hot lapping of blood—I keep this wolf because the wilderness gave it to me and the wilderness will not let it go.

There is a fox in me . . . a silver-gray fox . . . I sniff and guess . . . I pick things out of the wind and air . . . I nose in the dark night and take sleepers and eat them and hide the feathers . . . I circle and loop and double-cross.

There is a hog in me . . . a snout and a belly . . . a machinery for eating and grunting . . . a machinery for sleeping satisfied in the sun—I got this too from the wilderness and the wilderness will not let it go.

There is a fish in me . . . I know I came from salt-blue water-gates . . . I scurried with shoals of herring . . . I blew waterspouts with porpoises . . . before land was . . . before the water went down . . . before Noah . . . before the first chapter of Genesis.

There is a baboon in me . . . clambering-clawed . . . dog-faced . . . yawping a galoot's hunger . . . hairy under the armpits . . . here are the hawk-eyed hankering men . . . here are the blonde and blue-eyed women . . . here they hide curled asleep waiting . . . ready to snarl and kill . . . ready to sing and give milk . . . waiting—I keep the baboon because the wilderness says so.

There is an eagle in me and a mockingbird . . . and the eagle flies among the Rocky Mountains of my dreams and fights among the Sierra crags of what I want . . . and the mockingbird warbles in the early forenoon before the dew is gone, warbles in the underbrush of my Chattanoogas of hope, gushes over the blue Ozark foothills of my wishes—And I got the eagle and the mockingbird from the wilderness.

O, I got a zoo, I got a menagerie, inside my ribs, under my bony head, under my red-valve heart—and I got something else: it is a man-child heart, a woman-child heart: it is a father and mother and lover: it came from God-Knows-Where: it is going to God-Knows-Where—For I am the keeper of the zoo: I say yes and no: I sing and kill and work: I am a pal of the world: I came from the wilderness.

[Bammer]

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

Yes I took out a HELOC for this purpose last year but never spent it on anything due to rates going up, and a financial planner hinting that we have a good situation and should consider not getting into anything potentially too risky or stressful. It has a super low teaser rate for the first year then can move with the market under certain limits. It’s an ARM.

I still have a search alert going for homes in the Tampa area but the act of pulling the trigger is off my radar for now.

I have a creeping sense that the longer I wait, the more I’ll regret it. I’m also strongly considering putting the money into a REIT where I’m with like 20-30 other investors on a commercial property … something like that, with a proven manager who knows what they’re doing. I got a buddy who made like 250% on his money with one of these - apartments near Phoenix - over like a 3 year span. That’s pre-covid though.

[Chris_H_2]

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

I assume underwriting on the mortgage on the second property will pick up on this and require you to have liquid assets to cover the repayment of that home equity loan, no?

[tragabigzanda]

There is a wolf in me . . . fangs pointed for tearing gashes . . . a red tongue for raw meat . . . and the hot lapping of blood—I keep this wolf because the wilderness gave it to me and the wilderness will not let it go.

There is a fox in me . . . a silver-gray fox . . . I sniff and guess . . . I pick things out of the wind and air . . . I nose in the dark night and take sleepers and eat them and hide the feathers . . . I circle and loop and double-cross.

There is a hog in me . . . a snout and a belly . . . a machinery for eating and grunting . . . a machinery for sleeping satisfied in the sun—I got this too from the wilderness and the wilderness will not let it go.

There is a fish in me . . . I know I came from salt-blue water-gates . . . I scurried with shoals of herring . . . I blew waterspouts with porpoises . . . before land was . . . before the water went down . . . before Noah . . . before the first chapter of Genesis.

There is a baboon in me . . . clambering-clawed . . . dog-faced . . . yawping a galoot's hunger . . . hairy under the armpits . . . here are the hawk-eyed hankering men . . . here are the blonde and blue-eyed women . . . here they hide curled asleep waiting . . . ready to snarl and kill . . . ready to sing and give milk . . . waiting—I keep the baboon because the wilderness says so.

There is an eagle in me and a mockingbird . . . and the eagle flies among the Rocky Mountains of my dreams and fights among the Sierra crags of what I want . . . and the mockingbird warbles in the early forenoon before the dew is gone, warbles in the underbrush of my Chattanoogas of hope, gushes over the blue Ozark foothills of my wishes—And I got the eagle and the mockingbird from the wilderness.

O, I got a zoo, I got a menagerie, inside my ribs, under my bony head, under my red-valve heart—and I got something else: it is a man-child heart, a woman-child heart: it is a father and mother and lover: it came from God-Knows-Where: it is going to God-Knows-Where—For I am the keeper of the zoo: I say yes and no: I sing and kill and work: I am a pal of the world: I came from the wilderness.

[Chris_H_2]

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

It has a super low teaser rate for the first year then can move with the market under certain limits. It’s an ARM.
[...]
I’m also strongly considering putting the money into a REIT where I’m with like 20-30 other investors on a commercial property … something like that, with a proven manager who knows what they’re doing. I got a buddy who made like 250% on his money with one of these

Good insight here bammer. As a potential alternative to a REIT, have you looked into QOZ funds at all? Lots of stuff happening there.

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

I assume underwriting on the mortgage on the second property will pick up on this and require you to have liquid assets to cover the repayment of that home equity loan, no?

I was actually curious about this -- Are there pros/cons to working with the same lender on both properties vs. different lenders?

Re: your use of "pick up on this," it's not like we'd be trying to hide anything, and yes adequate liquidity would be integral to our planning around this. But I'm curious to what extent the lender might view income-based liquidity more favorably than if we had a tenant in the second property.

yeah, i didn't mean to use "pick up on this" in a perjorative sense. it's just that they'll want to know sources of income from at least the last three months. and if they see that the amount from a down payment came from a source other than self-generated income, it just may get flagged. for the original loan, there more than likely would need to be a history of tenant payments for the initial underwriting.

as for pros vs. cons, the obvious pro is not having to deal with two lenders. plus, if that one lender traditionally offers lower rates, you could qualify for a re-fi on both properties. also, the mortgages could be "merged" depending on the lender's requirements (but this would allow the lender to cross-collateralize the loan (meaning, they can foreclose on both homes to cover the cost of a default that may otherwise only affect one), and they could require an assignment of rents from the second home to satisfy requirements for the first). to me, i like diversification. i think there's less risk, and a reduced likelihood of a sale of your loan for both homes to the secondary market.

[tragabigzanda]

There is a wolf in me . . . fangs pointed for tearing gashes . . . a red tongue for raw meat . . . and the hot lapping of blood—I keep this wolf because the wilderness gave it to me and the wilderness will not let it go.

There is a fox in me . . . a silver-gray fox . . . I sniff and guess . . . I pick things out of the wind and air . . . I nose in the dark night and take sleepers and eat them and hide the feathers . . . I circle and loop and double-cross.

There is a hog in me . . . a snout and a belly . . . a machinery for eating and grunting . . . a machinery for sleeping satisfied in the sun—I got this too from the wilderness and the wilderness will not let it go.

There is a fish in me . . . I know I came from salt-blue water-gates . . . I scurried with shoals of herring . . . I blew waterspouts with porpoises . . . before land was . . . before the water went down . . . before Noah . . . before the first chapter of Genesis.

There is a baboon in me . . . clambering-clawed . . . dog-faced . . . yawping a galoot's hunger . . . hairy under the armpits . . . here are the hawk-eyed hankering men . . . here are the blonde and blue-eyed women . . . here they hide curled asleep waiting . . . ready to snarl and kill . . . ready to sing and give milk . . . waiting—I keep the baboon because the wilderness says so.

There is an eagle in me and a mockingbird . . . and the eagle flies among the Rocky Mountains of my dreams and fights among the Sierra crags of what I want . . . and the mockingbird warbles in the early forenoon before the dew is gone, warbles in the underbrush of my Chattanoogas of hope, gushes over the blue Ozark foothills of my wishes—And I got the eagle and the mockingbird from the wilderness.

O, I got a zoo, I got a menagerie, inside my ribs, under my bony head, under my red-valve heart—and I got something else: it is a man-child heart, a woman-child heart: it is a father and mother and lover: it came from God-Knows-Where: it is going to God-Knows-Where—For I am the keeper of the zoo: I say yes and no: I sing and kill and work: I am a pal of the world: I came from the wilderness.

[Chris_H_2]

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

It has a super low teaser rate for the first year then can move with the market under certain limits. It’s an ARM.
[...]
I’m also strongly considering putting the money into a REIT where I’m with like 20-30 other investors on a commercial property … something like that, with a proven manager who knows what they’re doing. I got a buddy who made like 250% on his money with one of these

Good insight here bammer. As a potential alternative to a REIT, have you looked into QOZ funds at all? Lots of stuff happening there.

Anybody here ever use a home equity loan to fund the down payment on a second property? How does the loan interest rate compare to the new mortgage rate? Anything else to be aware of?

I assume underwriting on the mortgage on the second property will pick up on this and require you to have liquid assets to cover the repayment of that home equity loan, no?

I was actually curious about this -- Are there pros/cons to working with the same lender on both properties vs. different lenders?

Re: your use of "pick up on this," it's not like we'd be trying to hide anything, and yes adequate liquidity would be integral to our planning around this. But I'm curious to what extent the lender might view income-based liquidity more favorably than if we had a tenant in the second property.

yeah, i didn't mean to use "pick up on this" in a perjorative sense. it's just that they'll want to know sources of income from at least the last three months. and if they see that the amount from a down payment came from a source other than self-generated income, it just may get flagged. for the original loan, there more than likely would need to be a history of tenant payments for the initial underwriting.

as for pros vs. cons, the obvious pro is not having to deal with two lenders. plus, if that one lender traditionally offers lower rates, you could qualify for a re-fi on both properties. also, the mortgages could be "merged" depending on the lender's requirements (but this would allow the lender to cross-collateralize the loan (meaning, they can foreclose on both homes to cover the cost of a default that may otherwise only affect one), and they could require an assignment of rents from the second home to satisfy requirements for the first). to me, i like diversification. i think there's less risk, and a reduced likelihood of a sale of your loan for both homes to the secondary market.

SUPER helpful stuff here, thanks man!