line of credit

Even if you don't have CASH on hand but can get it in a short period of time.....ask the seller what is the BOTTOM DOLLAR THEY WILL TAKE if you were to look at and DECIDE to buy TODAY!!
JAY

you read my mind.. I was about to also say: Cash Is King!!!

You are so right about being 'cash' prepared; it's part of being dilligent!
No money... no deal...

Also, make sure you get you line of credit while you have a job, otherwise banks won't do it! no matter how much equity you have in a property, banks want to see where the money will come from to pay them back...

Wishing everyone success,

Valerie

when I had my public accounting firm; I use to always tell people to apply for credit while they didn't need it, because when they do need it, banks are not interested in giving it. For example, when you have a job you may think you don't need anymore credit...but if you become unemployed, you'll wish you had it.

Great post Jay.

Yes this is sound advice.the banks want proof of income. That is not to say you can't buyvwith no money down because YOU ABSOLUTELY CAN!!!!! I have done this and know it to be true...you may have to go thru many calls and many offers but it IS POSSIBLE.Assignments are just one of many ways.
Back to the line of credit.......these r invaluable for using i'll to get a deal then refi it to pull money back out for your next deal or for a repair or rehab.Don't worry to much about the interest rate as u will be paying it back andvonly using for short term.I have 3-4 lines of credit I use now along with a home equity.call all cre unions also to see what it takes to join and get a line of credit!!!
Be prepared for any opportunity.
Jay

Yes exactly...we need to always be ready for the unknown and that goes for being READY for a deal even before it gets to us because GREAT deals don't last long and ONLY the
prepared gets the AWESOME DEALS. I believe it was robert kiosaki that states his rich dad told him to borrow money when he didn't need it not wait until he NEEDED it! !!!......ping pong ping pong:)

Jay

to have when you pass by a property that's an awesome deal & know that the cash is there to buy it!
We took 300K HEL, & just before BOA was starting to cut them, pulled it & put it into Suntrust bank so it's always available. The best part is it's interest only @ 2.74% APR so that 300K cost about $ 698/month.
It has come in handy many times, in fact Jill has done out for groceries & came home buying 2 houses.

that was very smart! wish I had done the same!!! ;(

Is that Jill's idea of window shopping?-she gets more than just the window

Valerie

That's how deals r made QUICK as u know....when the cash is ready to put in the sellers hands.I know for me when I have something for sale and I have a price I NEED and I see a buyer WITH CASH IN HAND.....I KNOW I am working with Someone who can buy TODAY. I have been on both sides and know BOTH feelings and wants so I act accordingly.
Ilike the grocery trip!!!!! I have done it too so that's ok jill
Sounds like u guys r doing AWESOME with your investing! !!!!!
jay

right on spot again

Get a loan/line of credit when you DONT need it

The best time to look for a job is when you dont need one

It is ALWAYS wise to be prepared!!! If u r READY then it not if a deal comes along ...IT IS WHEN! !!!
I gaurantee you a deal will present itself...WILL YOU BE READY or will the prepared action taker get it???.
You want to be ready at all times.......just like a fisherman READY to PULL on the pole when the bobber jumps or the bowhunter when he sees horns!!!!! Be PREPARED for the next opportunity and line up your sources of funding!!!!
Jay

Without a doubt, cash is king. You have to be ready. The house we are selling now was like that. It was set to go to foreclosure the next day. We put in the offer to close within 7 days. Found out that someone had mixed up paperwork about the 4th day and they had it in foreclosure but we were able to prove it was all there and they pulled it back and worked the deal with us. Great info guys, keep it coming!

Glad it worked out for you..people or banks or investors sometimes NEED to sell ASAP. And if u have cash or easy FAST access to it .......you have solved their problem!!! And when u can solve a problem ...u are good!!! But when u can solve a problem FAST....U R AWESOME!!!! and can make $$$$$ as a bonus!!!
Jay

Jay,

have you gotten a business Line of Credit? I bought a rental property that I want to put under my LLC and then get a LOC for it-would that work?

thanks,

Valerie

it is almost impossible to get a Bank LOC for a new LLC without good financials. It can be gotten through the LLC but the Bank will ask you to cosign it personally. In the good old days, 2003-2006, you could get LLC loans as long as there was an underlying asset and the FICO score was 725 or higher. Those days are gone.

Bill,

so, if I co-sign it personally, does the bank use the EIN for the LLC or my SS? or both?

never a dull moment in rei...

Valerie

i have filled out the app but have not handed it in yet but yes i am going to.I have a few lines of credit opened i use and a home equity but i am sure i will utilize the bus loc in the future.right now my he loc is prime ....i opened when i first joined the success academy.glad bill cleared the questions up for you ...he is a book !!!! thanks bill!!!
jay