BCRELLC NEW JOURNAL

Don't push that envelope too fast. Sometimes going slow is the fastest way
around the track.(Nascar talk!)
Re-injure yourself then you'll understand what the "good ol' boys" mean!
Take CARE-
Denny

glad everything went well and you are recovering nicely. i love your post to Randy!!!

Glad to see you are on the mend.

Karen

Spoke to my property manager today to see where he was at with the new tenant. Kinda got me a little angry because he didnt get the lease signed yet, even though he got the money I still wasnt happy and let him know i dont want someone living in the house without signing the lease, so he said he was going to get it done and is also mailing me my first check. He called me back 5 min later to tell me he has 2 other people interested in the other apt. SO i hope to have both sides rented within a 2 week period.
Now I am going to start calling some banks again since we own the place 6 months now to see if i can get a mortgage and pull our money out to move onto the next deal.
Never EVER give up!!

Richie

Glad to hear you r going back to work but knowing you ..you had better take it easy .It was great shooting the rei breeze last night.JUSTIN will use your idea of the 1% incentive for the realtor !! Will let u know if it works.happy to see u have the other side of duplex in action.willbe in touch more often.
Jay

Call any time Jay, tomorrow is my first day back to work, mixed feeling on that
Looking forward to hearing if Justins deal goes through, tell him not to give up if it is not a go the first time.
talk to ya soon.
Richie

Tenant is in and my first rent check is in the mail, a little later than i thought but its in the mail. I have been having issues with the property manager not keeping on top of things and communicating with me. Today I kinda got into his AS __ because i am getting frustrated with his lack of desire to get things done. I told him 3 days ago or more that I want a permit put back in the window so i can get the final inspection done on the A/C units so I can rent the other side out. I told him if the tenant doesnt come up with it since he removed it that either he or the tenant better get to city hall and pay the 20.00 for a replacement and get it in the window and that he is to call me when its done. Sooo if things are not done I will be sending him the required letter to terminate his services. I feel I have been patient with him and explained what i want clearly. If my patience do run out he is not going to want to hear from me again

On another front I will start recalling banks to get a mortgage on that property now that its renterd and I own it 6 months.
I finally got my send me away video in, Not sure i did a great job with it like everyone else But its from the heart and straight up.

Never EVER give up!!
Richie

I recieved my first rent check Saturday It was nice to get it even though it was 1/2 the rent because the pm gets the first months rent usually, but we made a deal where he waived half because he didnt get the whole security up front. He is getting the security in 3 payments along with the monthly rent.
Second unit the plumber is taking a little longer than expected and the work seems to be more than he thought. On the lighter side I am in conversation with a lender about getting a mortgage and pulling my money back out. I hope to get that done soon. Once I complete the loan I will buy the next house and repeat the process.
Never EVER give up!!!

Richie

glad to find your journal today. Good stuff. I'm just getting started w/ DG SA, and, I'm glad to read about it happening for a fellow traveler.
peace,

on your first rental check. How great that must feel!

Hope things with your property manager turn around. Sounds frustrating!

Keep us posted on your discussions with the lender, and on what rate you are getting too on that. I haven't seen higher than 75% LTV....not sure it's even possible as far as pulling cash out at that rate (maybe 70% is the highest you can pull out)? Would love to hear your findings on that. I need to touch base with more DG'ers on these figures too. I've been on the mortgage hunt myself.

As always, it's awesome to read your updates and progress. Thrilled for you! You always inspire me!
Cheers!
Louisa

Hey stranger always nice to hear frome you.Hope all is well with you,jamie and the baby. It was great getting the rent check, but it aso makes me want more, I guess it drives us to do better to see more profits and our dreams come true,my driving force has always been my kids, I want them to have the life I didnt have.
YOUR drive is an inspiration to all of us. I know from meeting you personally you are an amazin lady! I wish i hadyour energy lol.
KEEP up the hard work Luisa.
your friend
Richie

So glad to see things are starting to come together for you. Hope all is going well.

Randy

Hey RANDY, Things are starting to shape up, Just can't wait til both sides are rented and all work is complete. Things keep popping up and frustrating me but I know it will be good once all is done and both sides are rented.
Just got done sending a letter to a bank VP in FL about working together and pointed out the benefits to his bank if they work with me. I cant wait to hear his response to what I said to him lol.
Good to hear from you and hope we can hook up for dinner or something when your here.
Richie

Glad to see you are rocking, Now that the shoes are turned i am sure having a hard time working on my northern ax cent. Wow this is a lot harder than REI. But I want give up. LOL

Randy

Hey Richie, keep on truckin, things will happen!

I think it would be a good thing for everyone to be able to read the letter you put together for the bank. Are you able to post it?

Thanks,
D

HAA
And you thought my northern accent was easy.
I know you will master it BTW you get back home you may be trouble.

later
Richie

Hey D
I can post it for sure, I have posted other letters in the past for people to copy and adjust to their liking.
I will have to find it later, I know I saved it as an e-mail, will post it then. It is nothiing great just things that popped into my head as I was typing. I was originally asking about a mortgage but sometimes idea's pop into my head as im going and I keep typing I kind of have fun with it just to see and hear their reactions to my questions.
For the record I haven't heard back from him and I sent a follow up last night to see if he recieved my e-mail. Gonna have to give him a call if i dont hear from him tonight. I also got other leads that were sent to me from some agents.
good luck
Richie

Sunday I sent an e-mail to a bank exec to get a loan on our duplex and as i was writing different things came to mind and my letter grew to also asking for no season refi and credit lines. So since Daren asked me to post it here it is.
Hello Dan, We are interested in getting a mortgage for our investment property.

Let me give you some info on what we are looking for and our situation.

We purchased a duplex in the Fort Pierce area. We own it free and clear.

We rehabbed it and now rented it with a property management co in place. We are looking to take out a mortgage on it to pull our investment funds back out to invest in another project. We own the property over 6 months now and are starting to look for a bank that we can work with on this and future rentals we purchase.

We want to create a win/win for us and the bank we work with. As we see it your in the business of making loans and money and we are in the business of taking out loans and making money. I am not sure if you have a program or can create one that will fit our needs and make you money at the same time. We are looking for a bank that can do no seasoning loans which would mean in house loans of course. What you would benefit from working with us is that we would open a savings and checking acct with your bank and our finances will flow through your bank and you will also have our mortgages as well.With us having a checking acct with your bank you will be secure in that the payments would automatically deducted from our checking acct. We would benefit from having a relationship with a bank that can refi us after we rehab and rent our property.

Another way for us to go is to get a revolving line of credit and use that to purchase and rehab our homes until we get past the seasoning point and take out a regular mortgage. If you have some REO'S we would definitely take a look at them and if we like them we can get them off the bad side and back on the good side of your books.

Looking forward to hearing back from you even if only for the mortgage on the Duplex. If you want I can give you a call and we can speak then.

THANK YOU FOR YOUR TIME.

Here is his response AFTER I sent a second e-mail to follow up.

Richard, unfortunately your first email did not come through and this one was stuck in our SPAM folder. I apologize for the delay in getting back to you. I would be happy to discuss your loan request in further detail. I will say that typically in these types of loans we are looking for there to be another source of income to support the loan aside for the rental of the property. Please let me know when you are available and we can schedule a meeting to discuss it further. Thanks

My last response back tonight.
Dan, so you send potential new customers e-mail to the spam folder, got it lol. Seriously I can give you a call.
I am in NY, but if you give me a time and day I would like to speak to you about a loan. I am sure we can back the loan on a personal level if need be. If you want I can get references from FL businesses we have dealt with if that would help.
Thank you for the response.

Let us know on all the responses.It is exciting to communicate with banks and see their reaction to different ways we present what we need.It IS odd that they put potential clients in the spam and I am sure now they may take a look at this so you may have helpwd THEM out already !!

Will be interesting to hear the response.good job RICHIE.KEEP IT UP !!
Jay

Thanks for sharing your letter, I like it!! I'm looking forward to hearing your progress.

Lea

Thanks Jay& Lea.
The bank in the letter didnt work out, He said because i live in NY he couldnt do it, they would prefer locals since they are a community bank , so i thanked him and told him to keep me in mind if their rules change. But not to worry, my second call was a hit:) The bank said they would do a loan but I would have to put the property in my name. When I told her I wnat it in my business name to protect my personal assets she said to give her a few minutes and she would call back. Well she did call back and told me what i already knew from Dean, that i can quit claim it back into the co name after closing. She said no one will care. So when I got home tonight she already did all the numbers and sent me the break down. I just replied back and asked her for a little more$, they fell 5k shy of what i want. I asked her to wait and see what the appraisal comes out to ARV to see if I can pull more out. THey lend 70% of ARV. I am feeling good that i was able to get somewhere. its just a matter of the appraisal i guess that will determine if we go through with it.
Never EVER give up!!!
Richie

Well the bank got back to me and said we can get more money out if the appraisal comes in high enough. I have to send app for credit check first. I have a few more questions also like how are they going to give me a mortgage in my and my partners name when the house is in the LLC's name. I am also contacting other banks just to see if there is a better deal to be had.
good stuff Cant wait to get our money out and invest in the next project. I learned a lot from this one and will be much wiser on the next one. Thinking more in the lines of a flip next but I will see what comes my way.

Never EVER give up!!
Richie

Since your llc is not seasoned they have to use your credit. this is norman no matter were you are at. I have made it to NJ. Now I understand why you went south to invest. Just hope I make it out of here in 3 days without showing them how we life in the south. The next person that's passes me on the right side of the road is in for a good old southern a-- whipping.

Randy

LOL, wait til someone passes you on the wrong side of the road Good to hear you made it to NJ. I hope all goes well for you and you get back on track with flights and stuff. Well maybe next time we will catch up, I still enjoyed talking to ya Friday, it was good to hear from you. And congrats again to you and Laura on that KC deal!! all i can say is sweeeeeet.
Never EVER give up!!!
Richie

You could put the property into trust, ask the bank if that can work. My bank lets me do it, and then the beneficiary of the trust is your LLC. Another layer of protection, and it seems to work with the bank.

cathyb

last time i was in NJ i had to learn about "jug handles". that was fun.

Wow! You have had a time with this duplex! But, I guess that's the nature of the beast!

Soon, on to the next one!

Good job!

Karen

Thanks for the comments all.
Today i got an e-mail from the bank loan officer. I had thought she forgot about me but she explained that she is awaiting an answer from the underwriters, she said she should have heard by now and is going to look into it tomorrow. I take that as good news On the never ending rehab, we are finally done, and i say that with my fingers crossed Inspector is coming back tomorrow to look at the breaker that failed the first time in side A. We got a 50.00 fine for that but the electrician was a stand up guy and footed the bill. He stays in my rolodex Property manager is going to purchase the refrigerator and stove for side B tomorrow and it should be rented by next week I will have to call Denny and Lea to see if im dreaming about this
I made a decision to go and talk to a guy I once gave a letter to about investing in me. He owns the biggest portable toilet co in the state and I know him from growing up in the neighborhood. I have a plan if he will even give me 100k. I will offer him 10% interest payments only monthly until I refi in 6-12 months. He will make a much nicer return with me than the bank.
I am thinking of taking him to lunch to talk next week. I am on vacation sort of, my boss just told me he wants me to work Monday and Tuesday so I will have the rest of the week to put my plan into action. Of course Denny and Lea are included in my plan if I get this guy to back me

Never EVER give up!!
Richie

I just wanted to post a coversation I HAVE BEEN HAVING WITH DIFFERENT Banks. You never know unless you try. One bank said no but sent my letter to another which you will see wants to speak with me. You may copy the letter if you want. I would prefer to see them in person but i am in NY and they are in FL.
HERE IT IS. Below is the second bank, below that is the first bank and my original letter.

2nd bank -
Richard,

My direct line is 407-xxx-xxxx. I look forward to speaking with you.

Thanks,

Cathy

Vice President, Residential Lending

**Remember xxxxxxxxx will never ask a customer to verify personal information via email. If you receive a suspicious email requesting this information, please notify xxxxxx immediately or forward the suspicious email to xxxxxxx

THE INFORMATION CONTAINED IN THIS EMAIL IS ENTENDED ONLY FOR THE PERSONAL AND CONFIDENTIAL USE OF THE DESIGNATED RECIPIENTS NAMED ABOVE. This message is a Bank/Client communication, and as such is privileged and confidential. If the reader of this message is not the intended recipient(s), you are hereby notified that you have received this email in error. Any review, dissemination, distribution, or copying of this message is prohibited. If you have received this email in error, please notify us immediately by email.

From: Paul
Sent: Saturday, March 05, 2011 5:08 PM
To: 'BC
Subject: RE: residential loans

Richard: I only do small business loans through the SBA but forwarded your e-mail to our residential lender.

Paul N, V.P.

P:

--------------------------------------------------------------------------------

From:
Sent: Tuesday, March 01, 2011 9:32 PM
To: Paul
Cc: BC
Subject: loans

Hello Paul

We are looking for a bank that we can build a long and professional relationship with.

What we are looking for is a bank that has a program or can make a program that benefits both parties or that writes in house loans to put into their portfolio.

We are currently seeking a loan for a duplex we own out right. We paid cash for it and rehabbed it fully. It is now rented with a professional property manager in place.

Benefits for your bank if you work with us: We will open a savings/checking acct with you. Our funds will flow through your bank and you will also hold our mortgages which we will put on automatic payments so you are guaranteed on time monthly payments.

Benefits to us: We have a bank that we can work with on each home we purchase and build a trusting relationship with. We would also look at any REO's you may have to see if we can work together on getting them off the negative side of your books and back to positive income for your bank.

The way I look at it is you are a bank that is in the business of making loans and money and we are in the business of taking out loans and making money. We want to create a win/win for both of us.

looking forward to hearing from you. If you send me your ext and number I can call and speak to you personally.

thank you for your time and have a great day.

Richard XXXXXXXX

BCXXXXXXXXXXX

Things went good with the bank. They do in house porfolio lending. I can get 6.25% rate which is not bad for an investment property, but it will be a 5yr balloon. So basically I would have to refi or sell within the 5yr period. I took it another step forward and asked about future loans on more properties, She said yes but with seasoning, I could sense she was cautious and did not want to get burned. So I told her we would not seek a loan until the property is fixed and rented. I figure every loan we do and prove our self to her, the more comfortable she will get and maybe we can get to a no seasoning deal.
Also got a second guy that will do a 10yr loan but the rate is 7-8%. options are opening .
Never EVER give up!
Richie