Rich, Dad to be, cont'd... - Posted by Rich


#1

Posted by Jimbob on December 07, 1998 at 16:26:11:

Rich,

I would say complete the deal you’re in the middle of now, collect the $20,000 for repairs or whatever, then step back, take a deep breath and regain your composure. You’ll need to make sure you’ve got a firm footing on the house you’re closing on now, make the needed repairs, get it rented out, then go out and look for another deal.

Probably the reason your bank is giving you some hesitation is because you are appearing financially wreckless to them, don’t bite off more than you can chew, there’s plenty of time to become wealthy but take it one step at a time. It shows character to be able to secure a deal, get the numbers looking good, then go after your next one.

There’s an old saying in the business, “The best time to do a deal is right after you’ve just done a deal” your emotions are high and so is your confidence, just make sure you are making a smart financial decision.

Jimbob


#2

Rich, Dad to be, cont’d… - Posted by Rich

Posted by Rich on December 07, 1998 at 12:52:25:

I’m going to close on a property on Friday, and the bank is loaning me $20,000 more than the cost to do improvements (draw account). Is it possible to borrow against the draw to put toward another property that I’m trying to purchase for $10,000 cash? I have 2 mortgages with the bank already, and it’s going to be number 3 after Friday. They are hesitant to make it number 4 with this other property. Any ideas? Thanks. - Rich
(See “Rich Dad to be, Poor Dad to be”, further down the list for more details)