OfflineHow exciting this all is........I am already spotting deals, and am making my first move ASAP....I found a Mortgage Broker that works with all kinds of investors, and I found an Agent that Also works with investors. I found this little 2 bed 1 bath in my town in Silverton, OR. It is a small home, and is owned by FannieMae. The amount owed is $61K. I am working right now with the Agent to find out if they will sell it to me. Looking at Comps in the area, by using Zillow, and Realtytrac.com, I find the value to be AT LEAST $143k on Zillow and $170K on realtytrac. I am assuming that even at the bottom end I should have at least $60K in Equity if not $90K. I am Praying hard that they will sell it to me. It needs some minor cosmetic work done on it, and a bunch of trash clean up, but WOW....what a deal. Now fortunately I have some access to cash for the down here, but basically intend to pay myself back by taking out a Home equity line of credit after closing. I am hoping to be able get a credit line in the $40K range and will use some of that to fix the home up, but the MAIN reason for the line of credit is to ACCESS MORE CASH.....I will take some of THAT cash and buy ANOTHER REO. Moreover I will PAY MYSELF back the $6K down for the first house!!! THEN....my next house I will open up ANOTHER line of credit and use SOME of that line to PAY DOWN the FIRST LINE....That way I am building my credit "worthyness" Unless I am wrong I believe that I can do this OVER AND OVER again using EQUITY LINES to make downpayments perpetually.
Please someone pop my bubble if I am wrong, but it seems SO simple.
I hope I am right.....I will keep you posted. 
BUILD your knowledge base....it is your ARSENAL to wage war against disbelief and the negativity of the status quo. You need your weapons......It's your choice whether you carry them or not.
------------------------------------------------------------------------------
Build Relationships and open the door to opportunities that could once only be dreamed of......never take those relationships for granted.
--------------------------------------------------------------
Don't let EXCUSES be the nails that keep you INSIDE the box.
GOOD plan!
Great job on taking action and starting on building your team. AND finding a prop that might be a great deal!
While Zillow and Realtytrac hopefully have accurate comps, you really should get some from a realtor for the last 30-60 days to be sure. Then GO FOR IT!
It IS harder to get the refinance money that you want the more mortgages you acquire, but there is ALWAYS a way around any obstacles, so you just go for it and if you come across any obstacles on the way you just deal with them as they come. You will become a super ninja (sorry, I don't know where that came from. lol).
I'm excited for you to get started! Good luck and God bless,
Oh, and welcome to the DG family. Good to have you here.
Rina
"Obstacles can slow you down, but they can only stop you with your permission." Dean Graziosi (BARM pg 101)
"For I know the plans I have for you," declares the Lord, "plans to prosper you and not to harm you, plans to give you hope and a future." Jeremiah 29:11
For a little about me, welcome to the site, and a few tips for new DG family members, click on this link: http://www.deangraziosi.com/user/3249
Thanks for your comments.....it's encouraging to hear that I might just NOT be CRAZY....lol.....Can't wait to get the first deal over with.
Amen.
BUILD your knowledge base....it is your ARSENAL to wage war against disbelief and the negativity of the status quo. You need your weapons......It's your choice whether you carry them or not.
------------------------------------------------------------------------------
Build Relationships and open the door to opportunities that could once only be dreamed of......never take those relationships for granted.
--------------------------------------------------------------
Don't let EXCUSES be the nails that keep you INSIDE the box.
Where are you finding a 90% purchase mortgage? Is this an investor loan or for owner occupant?
Hi.....my mortgage broker says I only need 10% down on this loan and she knows I am investing in this and am planning on renting it. She seems to be a very creative broker....what made me choose to speak with her was that she was working with another investor that I recently met, and they were doing 100% financing using the USDA as the lender. I know that type of loan is a specialty and only applies in certain areas, but I thought that if she is aware if this kind of unconventional loan type, she must be schooled in odd loan arrangements. I am crossing my fingers on this one.
Thanks
Sam
BUILD your knowledge base....it is your ARSENAL to wage war against disbelief and the negativity of the status quo. You need your weapons......It's your choice whether you carry them or not.
------------------------------------------------------------------------------
Build Relationships and open the door to opportunities that could once only be dreamed of......never take those relationships for granted.
--------------------------------------------------------------
Don't let EXCUSES be the nails that keep you INSIDE the box.
Good luck. I would love to hear more about the financing down the road. It has really tightened up for investors.
I actually called her back to verify the down status, and she did confirm that in the Northwest here she is indeed still to get investor loans at 90%.
I am not sure if it is purely a local thing or not.
Thanks
Sam
BUILD your knowledge base....it is your ARSENAL to wage war against disbelief and the negativity of the status quo. You need your weapons......It's your choice whether you carry them or not.
------------------------------------------------------------------------------
Build Relationships and open the door to opportunities that could once only be dreamed of......never take those relationships for granted.
--------------------------------------------------------------
Don't let EXCUSES be the nails that keep you INSIDE the box.