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The hump?
(by Corey [ND])
Feb 29, 2004 7:09 PM
RE:
The hump?
(by wont say [nd])
Feb 29, 2004 7:24 PM
RE:
The hump?
(by Landlordan [NY])
Feb 29, 2004 7:40 PM
RE:
The hump?
(by ALDO [WI])
Feb 29, 2004 8:44 PM
RE:
The hump?
(by Corey [ND])
Feb 29, 2004 8:49 PM
RE:
The hump?
(by Dave [IL])
Feb 29, 2004 8:50 PM
RE:
The hump?
(by David [fl])
Mar 1, 2004 5:54 AM
RE:
The hump?
(by medtech [la])
Mar 1, 2004 7:14 AM
RE:
The hump?
(by tim [ar])
Mar 1, 2004 8:16 AM
RE:
The hump?
(by mike [mo])
Mar 1, 2004 5:45 PM
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Quick question now that I have your attention. When you started out investing how did you over come what I call "the hump". When you start out buying your income to debt ratio is way out of wack, making it difficult to buy additional properties? I am sure eventually your banker will look at you when you have plenty of money and time under your belt (of course this is not when you need them), but what about at the beginning? I have purchased a few homes on a CFD, but those deals are few and far between. --64.21.229.13 |
| try an loan broker. ask for a no doc. --152.163.252.193 |
| If you carefully reinvest every penny back into your properties and their debts, in other words...don't take out 1 penny in profit,within 5 years you will be over the "hump" as you call it, and you will have banks bringing deals your way if you network with all local bankers, brokers, and other investors in that same time period. --205.188.209.16 |
| Buy an ugly house well below assessed value, do some of the right cosmetics, get a new appraisal and borrow against it. Voila! Downpayment money for the next one. --24.94.242.58 |
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Aldo, Working on that plan right now. See my recent post on my "Countrywide saga". My biggest problem is the local bankers are SO conservative, they will not touch anybody with any risk at all. Very frustrating. Plus I have not had much luck with my regional mortgage brokers. They want to do nothing but the bread an butter refi's and home loans. Call and tell them what you want to do, all you hear is silence on the other end. Or they take your number and never call back. Part of my problem is the fact that most of my properties are under 30K, so once again not much to be made by them. --64.21.229.13 |
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Suggestions above are good. Also, don't be afraid to part with a few props to get the profits to roll into a bigger deal. I generally buy and hold, but I did sell one each of the past two years to move up the food chain. . --12.66.64.109 |
| Dave makes a good point and if you 1031 exchange you can reinvest your capital gains back and grow a little more. Remember though, this is a growth by wealth appreciation business more than a get there quick approach. --24.129.53.155 |
| I ditto what Landlordian said. --68.226.186.203 |
| Different than most probably but the way I got over "the hump" was to NOT quite my day job until I could afford it and until then spend every last cent on the house building. --66.76.130.112 |
| buy the fixer upper some of which can be financed by the seller or broker. Show a gain on your schedule E. I know people who try to maximize their expenses and minimize the income; however, then they show a loss even before depreciation. Banks are not going to like a negative cash flow. --68.159.73.89 |