Posted by Christen on August 13, 2003 at 14:16:17:
Yes it was for shock value. My ups in RE have outweighed my downs by far. I’ll never quit investing, I love the game too much!
Thanks for the advice, nice to hear someone that’s real.
I’m throwing in the towel on RE investing - Posted by Chrisen
Posted by Chrisen on August 12, 2003 at 20:13:49:
Well I’m discouraged to the point of just letting it all go. I probably got farther than most. I have a good bank that will fund my rehabs or rentals. They’ll hold the note for 6 months wth interest only payments while we rehab and sell or rehab, rent and refinance. Hit our first road block when our refi company changed polies and needed 1 year seasoning. Finding another refi comany very difficult for 3 reasons 1. low loan amount worth 40K we pull out 20-25K, 2 no seasoning and 3. they are rehabs. We buy duplex’s have absolutely no problem renting them out at 425 per unit.
We tried to rehab and sell, bought for 30K invested 15K in reapirs now worth 70K. Tried to sel throuh a realtor-nada. Ran an ad small down 600 per month. My life was miserable 30 calls a day from 7am until 10 PM, 5 showings a day. My plan was to go through an investor and owner finance,the best they could do for my buyers was 85% LTV and 87% of the face value for the note yuk.
Maybe I could talk my bank into 12 months interest only payments and lease option the home. After 12 months I know c and d lenders that will finance anyone. I just have to have owned it for a year.
I don’t know what do you guys think???
throw in the towel - Posted by Brian Powers(MI)
Posted by Brian Powers(MI) on August 13, 2003 at 19:39:44:
i think you should quit.
anyone who would get so discouraged over such a small road block will buckle when a real roadblock pops up.
BP
Re: I’m throwing in the towel on RE investing - Posted by Todd B (Va)
Posted by Todd B (Va) on August 13, 2003 at 12:50:26:
A few suggestions.
- find another bank. Better yet, find a mortgage broker, who has access to multiple companies, with multiple loan products. An example of this type of company would be Colorado Federal Savings Bank. Email me and I will give you a contact there that I have used. However, there are many companies like that. Supposedly they can do unseasoned
refi’s, although I haven’t done that yet.
2)Combine several properties into one loan. 3 properties, with one 75k loan, would be worth the trouble for more lenders.
3)Go to Ed Garcia’s Workshop.
Todd B (Va)
Re: I’m throwing in the towel on RE investing - Posted by eric-fl
Posted by eric-fl on August 12, 2003 at 20:50:39:
Usually, when someone comes on here and says they’re giving up, what they really mean is “I need some encouragement”. After all, if you were really going to give up, you’d just - give up. The fact that you’re on here talking about it, tells me you haven’t - yet. I’m sure you’ll get your fair share of pep talks and “Don’t Quit!” speeches, but that’s not really me. Persistence is actually quite easy - it’s a fairly simple thing to just keep doing the same thing over and over, no matter what. That doesn’t always mean it’s healthy, though.
Yes, there’s more to it than persistence. If what you are persisting at isn’t working, then, in my opinion, continuing to do the same wrong thing over and over is just as dishonorable as quitting altogether. Either one is self-limiting, and really in no one’s interests - not yours, or your clients.
It would be hard to offer specific advice based on your post. You jump around a lot on the particulars. You say you have a “good bank” that fund the rehabs. Will this “good bank” also extend the terms? After all, were I in your position, I envision myself having a conversation with the banker that goes something like this: “Look, on the one hand, you’ve given me short-term bridge financing for 6 months. Thank you. Yet, on the other hand, you’re not willing to refi anything that hasn’t been held for 12? What am I supposed to do for months 7-12? I’m assuming you don’t want this thing back on the books. You make money from loans, not foreclosures, right? What can we get done here?”
You mention in the next paragraph, that your life was “miserable”, because you had 5 showings a day. If having more demand than you can handle makes you miserable, what would it take to make you happy? Why didn’t you close any of them? 5 people a day who actually showed up, for a week or more? That’s a lot of interest, even with 90% tirekickers. Sounds like the marketing and offer were good, but you were falling down on the sales/closing aspect of it. Maybe you need to fine-tune this part of the process.
Re: throw in the towel - Posted by Christen
Posted by Christen on August 13, 2003 at 20:57:22:
As you can clearly read by my post I am searching, NOT QUITTING. The subject headline was meant to catch attention. I will never quit I love the game too much. This isn’t my biggest or first road block by far, nor my last I’m sure. Everyone gets discouraged now and again and if you don’t than you aren’t doing it right!!
Re: I’m throwing in the towel on RE investing - Posted by BobJ (Md)
Posted by BobJ (Md) on August 13, 2003 at 11:14:57:
Look for a good mortgage broker who has access to non-conforming loan products. You’ll generally pay a point or two origination fee more, but a good mortgage broker should be able to find 100% financing for your buyers, and should be able to do a non-conforming refi (that doesn’t have the seasoning requirement) if you want to keep the property yourself.
Re: I’m throwing in the towel on RE investing - Posted by Chisten
Posted by Chisten on August 13, 2003 at 08:50:35:
You hit the nail on the head. When we got such a tremendous response from the ad I was extatic. we are living in the house now, we just rented our primary resdence which is an hour away and wanted to be closer to our invstment area, ths seemed like a good solution. Keeping it clean with two toddlers all the time, the calls, it was a little overwelming but I was so excited I barely noticed. Now that the deals have fallen through I am discouaged and dreading the chaos. I need someone to fund theese buyers, OK credit, some have a few grand to put down maybe a few late pays on some credit cards, I need fast approvals. I kept some people waiting a week or more because that is when the investor got back to me. That seemed to hurt me.
My bank doesn’t refi the properties they said it was too low of a loan amount and they woudn’t be bothered. Wells Fargo did it, they clsed in 2 weeks piece of cake, had to have everything in our personal names though they wouldn’t do it if we bought them through our LLC.
UGH ny ideas?
Thanks
Re: I’m throwing in the towel on RE investing - Posted by Robert
Posted by Robert on August 13, 2003 at 06:31:39:
How about a hard money lender?
Re: throw in the towel - Posted by Ronald * Starr(in No CA)
Posted by Ronald * Starr(in No CA) on August 14, 2003 at 06:48:36:
Christen-----------
Why put up phony subject lines?
You might find your success is greater if you become more honest. People don’t do business with those they distrust.
Good Investing********Ron Starr*************
Re: throw in the towel - Posted by Alvin Teabag Hartman
Posted by Alvin Teabag Hartman on August 13, 2003 at 23:25:13:
What are you, twelve years old?
Re: I’m throwing in the towel on RE investing - Posted by js-Indianapolis
Posted by js-Indianapolis on August 13, 2003 at 13:30:27:
“Wells Fargo did it, they closed in 2 weeks piece of cake, had to have everything in our personal names though they wouldn’t do it if we bought them through our LLC.
UGH ny ideas?”
If they need them in your name, put them in your name. Then, after refinancing transfer title back to your LLC. If you want even better protection, and less of a chance that WF gets their undies in a bunch over it, transfer title to a trust, and then quietly transfer beneficial interest to your LLC. Simple.
BTW, I hope your subject line was for shock value, to get more people to read your post. If you really are thinking about throwing in the towel after such a minor hiccup, you probably SHOULD. That’s right, I said do it. This won’t be the first time you face similar adversity. Quit now before it happens again.
Re: I’m throwing in the towel on RE investing - Posted by steve
Posted by steve on August 13, 2003 at 10:17:20:
please don’t throw in the towel. I think we all go thru some deals that are good but don’t finalize for one reason or another. I just had two deals fall thru that cost meabout 55k and i know the feeling of wanting to quit, but i didn’t and know have several other deals that are exceptionally good. So please don’t give up success is right around the corner. trust me. email me i have a private investor who could possibly help you.
keep the faith
steve
??? - Posted by IB (NJ)
Posted by IB (NJ) on August 13, 2003 at 08:05:10:
What would a hard money lender do at this point?