To be successful at investing in real estate you need to start out with a strategy to earn you more income and make you wealthier. Today we are sharing with you ways you can FIND & FUND real estate income-producing properties and ways to build your wealth quicker.
Host: #JoGarner #MortgageExpert (901) 482-0354
Co-host: #BrettBernard #investmentrealtor Stamps Real Estate Company -Investment Division
(901) 692-7401
Also featured: #CraigJennings #PrivateLender www.AvalonCapitalMemphis.com
SUBSCRIBE FOR WEEKLY REAL ESTATE MORTGAGE SHOPPE PODCASTS WITH SHOW NOTES AT WWW.JOGARNER.COM
#realestateinvestment #realestateinvestor #financinginvestmentproperties #findinginvestmentproperties #Realtor #hardmoneylender #DSCRfinancing
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Real Estate Investment Homes-How to Find It & How To Fund It
LET’S GET STARTED…(Jo) (Good morning, Memphis! Welcome to our internet listeners and podcast listeners across the 50 states! . You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Originator. You can connect with me at www.JoGarner.com. Our topic: Real Estate Investment Homes-How to Find It & How To Fund It
Today is March 1st, 2025 Call in to the live show at 901 535-9732
Introducing Brett Bernard of The Stamps Real Estate Company -The Investment Division
(Jo) In the Real Estate Mortgage Shoppe studio for the first time we have Brett Bernard, from The Stamps Real Estate Company -The Investment Division. Brett, you are a realtor and developer. Check out his podcasts called “Five O’Clock Somewhere Real Estate Podcast.”
(Brett has a couple of minutes to introduce himself and talk about what he does for his clients)
(Jo) If I asked everyone listening to this show why they were interested in buying real estate, when you sift through to the core, the common reasons are to earn an extra income and become wealthier. To be successful at investing in real estate you need to start out with a strategy to earn you more income and make you wealthier. If you don’t know how to do that yet, put people on your team who DO know how to find the right properties that can build wealth for you and I would like to sign up for your team to find the right FUNDING for your investments.
There are two basic categories of funding a residential investment property:
Traditional Qualified Mortgages backed by government funding. The income verification is stricter and these loans do not currently lend on Air-B-N-Bs and they don’t secure loans in the name of an LLC.
Non-Qualified Mortgages or Outside-the-Box financing programs, on the other hand, will loan on AirBNB’s and will do the loans in the name of an LLC. These are the most popular with investors right now. These include the most popular DSCR program that does not include full income verification from tax returns or paystubs. This is a business loan secured on rental property. It primarily prices based on the borrowers credit score, money down and how much more the rent income is compared to the mortgage payment.
Darrell Daeson- Less Paperwork-Quicker Closing
Darrell Daeson owned his home, his own business and was doing well as a landlord on two houses down the street. At a real estate investor meeting a friend told him about an opportunity to purchase a home at a good price where Darrell liked to buy. The house was in good condition and was bringing in good rent money. Darrell did some numbers in his head and realized this deal was too good to pass up.
Darrell’s challenge was his tax returns. His business did not show a lot of profit the past year due to some infrastructure shifts that would pay off later. Darrell had an excellent tax accountant who helped him to legally lower his taxable income. But he knew a bank or mortgage company would say he did not make enough money to buy another house. How could he buy
For Darrell I presented the DSCR (Debt Service Cash Return) mortgage program. This program would still require Darrell to have good credit, twenty percent or more down payment since it was investment propert. He would need to verify his funds to close, good title and an acceptable appraisal.
Darrell liked the DSCR program because the mortgage company would not require income documents. Instead, the mortgage company would simply make sure that Darrell’s new mortgage payment including taxes and insurance did not exceed the monthly rent income on that property. (Even if the rent was less than the payment, the DSCR loan still works but the rate would be higher than if the investment was starting out with a positive cash flow)
Darrell could buy this home he wanted and start getting the rent income right away without having to wait another year for his next tax return income to look better. Other advantages to the program included that he would not have to give to the bank or mortgage company mounds of paperwork from his other rental properties to establish income. The interest rate was higher than the rates on traditional mortgages, but it was fixed for 30 years. One day he could look at refinancing if it made sense. Using the non-traditional DSCR mortgage program saved Darrell Daeson time AND money.
Darrell also encountered bargain properties that needed lots of repairs. For these properties that Darrell planned to keep as rentals, Darrell’s first step would be to get a temporary hard money or private funding loan to buy and renovate the property. When the purchase is done and renovations completed, Darrell’s next step is to refinance with a permanent mortgage and pay off the hard money loan.
Call me today at 901 482-0354. I can help you find the right mortgage program and make the mortgage process easy for you. www.Jogarner.com
(Jo) Brett Bernard of the Investment Division at The Stamps Real Estate Company, you have some valuable information and insights to share with us after our 9:15 break. What will you be sharing in the next segment? (Brett has about 2-3 minutes until we go to 9:15 break and can continue following break)
OUTRO: You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Originator. What do YOU want to accomplish with YOUR mortgage? I can make the mortgage process EASY for you with the right mortgage. Connect with me at JoGarner.com When we come back, we will be hearing more from our real estate investment experts, Brett Bernard and Jeff McKnett of the the Investment Division at The Stamps Real Estate Company. We will also be hearing from Craig Jennings of Avalon Capital, a private investment lender. We will see you back in just a moment.
2nd segment 9:18 am – 9:30 am
2nd segment is after 9:15 break from about 9:18Am to 9:30 AM break
TALK SHOPPE BUSINESS TIP FOR REAL ESTATE PROS
2nd segment after 9:15 advertising break – (producer to start the song “Taking Care of Business” by Bachman Turner Overdrive –but bring the volume down before the lyrics start) It’s time to talk shop with Talk Shoppe’s Business Tip For Real Estate Professionals. Talk Shoppe is a marketing company offering free education and networking to anyone interested in real estate or in business. Talk Shoppe is made possible by the financial support of its sponsors and advertisers. For more about Talk Shoppe, go to www.TalkShoppe.com (shoppe) For our Talk Shoppe Business Tip today we have sponsor, Craig Jennings of Avalon Capital, private real estate investment lenders. Craig Jennings you are the magic formula for so many investors who need short term funds to buy and fix up homes to make them so they bring in a good income from tenants. What is our Talk Shoppe tip from the private lending desk?
(Craig shares a tip for about 1 minute)
Craig’s tip: Start with the end in mind. Know before applying for your hard money loan if you plan to buy the home, fix it up and keep if for rental of sell it. If you are buying a rental property that needs lots of repairs, already have lined up your construction crew, roofer, dumpster company and already be preapproved for the permanent mortgage you will use later.
Craig Jennings how do we contact you? (901) 417-8427
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TOPICS COVERED BY BRETT BERNARD & JEFF MCKNETT OF THE INVESTMENT DIVISION AT THE STAMPS REAL ESTATE COMPANY
- What’s unique about the Memphis rental investment market?
Distribution HUB
Good blue-Collar Jobs, competitive wages.
340,000 renters
MHA rent exceeds market rent
- What’s the best plan for investing in rentals- What strategy makes sense- retirement vs Cash flow?
Long Term portfolio building- reinvesting your cash flow to build asset wealth.
- How does your team assist investors wanting to invest in Memphis?
We are an A-Z team, we’re with you from the first call until you liquidate your assets.
- What type of investments are available?
New Construction-Turnkey-Rehab, rent and hold- Multi-family.
- What can an investor hope to gain in return?
1% rule or better.
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3rd SEGMENT 9:35 AM-9:45AM)
TOPICS COVERED BY JO GARNER, LICENSED MORTGAGE OFFICER
Financing Your Rental Property
In the first part of the show we looked at two very basic types of mortgages for investors;
Qualified Mortgages or traditional government backed loans and Non-Qualified, Outside-of-the-Box type mortgages.
Lately almost all of my investors are using the Outside-of-the-Box DSCR loan program.
The other day Brett Bernard and Jeff McKnett had me come and talk with them on their podcast “Five O’Clock Somewhere.” We looked at several homes here in the Memphis area and their ability to generate a positive cash flow with the right financing.
Brett and Jeff, Can we look at one of your turn-key properties and one of your new construction rental properties?
Turnkey showing a positive cash flow*
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New Construction Rental Home showing a positive cash flow*
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Credit Lines and Other Funding Sources
If you want to be able to swoop in the pick up bargains as soon as you find them, you need to develop credit lines that you can tap when you need them. Occasionally you will need sell one of your properties. You may need to refinance a property or two and use the cash out refinance to pay off these credit lines so you can use them again and again.
If you are buying a home to live in it, there are several programs that offer you the chance to buy a home with ZERO to VERY LITTLE DOWN PAYMENT.
But as an investor buying a home you are going to rent out to tenants, your down payment can be 15% to 20% or higher.
Places these investors go treasure hunting to get the funds to close:
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Borrowing against an stock or bond account or mutual fund.
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Borrowing against a 401k
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Getting a cash out refinance from a different property
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Cash value in a life insurance plan
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Get an equity line of credit secured on a different property other than the one you are buying.
These are just a few.—there’s more but you don’t want to use gift money to buy a rental property. You don’t want to borrow the funds unsecured.
Call me today about mortgage terms and options available to you. I am Jo Garner, your mortgage lender for life. (901) 482-0354 JoGarner.com
REAL ESTATE TIP OF THE WEEK
Craig Jenning’s tip for last part of show :
Tip: Don’t make the mistake of assuming, just because your rental property appraised at $200K that it will sell for $200k. The house will sell for the amount that someone is willing to pay for it.
If you want to succeed as a real estate investor, take a successful real estate investor to lunch and ask him or her what they did to bring their success.
Brett Bernard shares a tip.
You don’t have to know everything about real estate to get started. Put the right people on your team who are experienced at real estate investing. Brett has a one-stop shop team
Jo Garner’s tip : If you know you will need a permanent mortgage to buy a home or refinance to a permanent mortgage when you pay off the temporary financing, go ahead and get a “softpull” credit report that won’t hurt your credit score. This report will point out areas you may want to improve while you are repairing the home.
What do YOU want to accomplish with YOUR mortgage? I have the knowledge and experience. Let’s look at traditional mortgage products, alternative mortgage products and even combinations of products. I can help you get you what you need and make the mortgage process EASY. Jo Garner, Mortgage Loan Officer 901 482-0354 www.JoGarner.com
ANNOUNCEMENTS:
Talk Shoppe equips with education, engages by offering connection opportunities between business people and empowers businesses in a supportive community. Talk Shoppe meets every Wednesday 9A-10A CT at Independent Planning Group’s conference room 110 at Clark Tower 5100 Poplar Ave 1st floor Memphis, TN
(Thank you Manny Corless and Ben Hunter (615-601-0568) outstanding Financial Professionals at Independent Planning Group for being Talk Shoppe’s location sponsor)
Talk Shoppe on Wednesday March 5th, 2025 “Check Out Your Contractor” presented by Ed Hill of Masters Roofing in Memphis 901 273-6594
Join in person or online by clicking www.TalkShoppe.com and click the Events tab for the link to get into the event online.
Talk Shoppe could not offer the free educational networking events free to our community without some very giving sponsors. Thank you to Talk Shoppe sponsor Leah Anne Morse of All Things New (Organizing and Moving Company) Leah Anne and her team get lots of accolades from their customers because they organize the moving process and make it a POSITIVE experience. Are you planning to move across town or across the country? Contact Leah Anne Morse at 901 488-9133
Talk Shoppe is free to you because of the generosity of people like Brett Carter of ServiceMaster by Cornerstone. When you experience a fire, flood, or bio disaster in your home or office, don’t go it alone, call Brett Carter ServiceMaster by Cornerstone 901 832-6005
6. Subscribe today for weekly podcasts with show notes at www.JoGarner.com
Real Estate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.
SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE DOES NOT ENDORSE 100% OF THE CONTENT ON THIS EPISODE. REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL, LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ON ANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THE INFORMATION WE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANT FOR GENERAL EDUCATIONAL PURPOSES ONLY, AND NOT AN OFFER TO LEND. EXAMPLES GIVEN FOR ILLUSTRATION PURPOSES ON REAL ESTATE MORTGAGE SHOPPE AND MOST ARE BASED ON TRUE STORIES BUT WE USE FICTIONAL CHARACTERS AND DO NOT DIRECTLY REFLECT REAL PEOPLE OR EXACT DETAILS IN ANY OF THE SITUATIONS. JO GARNER IS A LICENSED MORTGAGE LOAN ORIGINATOR. (EQUAL HOUSING OPPORTUNITY)
QUOTE CORNER:
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Les Brown, motivational speaker- “You must be willing to do today the things others won’t do, in order to have the things tomorrow others won’t have.”
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“I will forever believe that buying a home is a great investment. Why? Because you can’t live in a stock certificate. You can’t live in a mutual fund.” Oprah Winfrey
REJOINDERS:
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Rob Draughon and Shelley Rothman of Griffin, Clift Everton and Maschmeyer (901) 752-1133
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Taylor Morse of Cartridge World of Collierville (recycled print cartridges & printers) 901 853 3134
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Troy and Lynn McDonald of Erin McDonald Insurance Agency 901 849-7101
Transitional Music: “If I Had A Million Dollars” by Bare Naked Ladies; “Money Song” by the Muppets; “Opportunities” by the Pet Shop Boys; “Taking Care of Business” by Bachman Turner Overdrive for the Talk Shoppe Business Tip
PICK UP YOUR COPY OF “CHOOSING THE BEST MORTGAGE-THE QUICKEST WAY TO THE LIFE YOU WANT” by: JO GARNER
An essential guide for real estate professionals and their customers.
On Amazon and Barnes and Noble
ABOUT BRETT BERNARD & JEFF MCKNETT OF
THE INVESTMENT DIVISION OF THE STAMPS REAL ESTATE COMPANY
Brett Bernard, Realtor and Developer
Brett Bernard
Realtor® & Developer
(901) 692-7401
Brett Bernard is an all purpose Realtor, serving mainly Real Estate Investors from all over the world. Brett has an amazingly keen eye for opportunities which he has been known to discover simply by speaking with neighbors and tenants in the same neighborhoods where he is currently working.
Brett quickly becomes aware of purchase opportunities through his organic boots on the ground approach and is an excellent resource for both NEW and REPEAT buyers. Brett can work in all parts of the city of Memphis, but has a real knack for finding purchases in middle class and blue collar neighborhoods. Having worked directly with tenants for years, he knows what communities make for a dependable and performing acquisition for buyers! Brett also has extensive experience in Residential Development as well as the acquisition and re-development of older areas.
Brett’s podcast: “5 O’Clock Somewhere Real Estate Podcast”
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ABOUT JO GARNER-MORTGAGE LOAN OFFICER:
www.JoGarner.com (901) 482 0354 jo@jogarner.com X @jogarner NMLS# 757308
(currently working with Everitt Financial dba Supreme Lending)
ONLINE LOAN APPLICATION : https://jogarner.supremelendingLO.com
“Whatever YOUR personal priorities are, my job is to help you get the mortgage terms that will give you bragging rights when you talk about it and help you score on hitting your goals .”
As a mortgage loan officer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help you find the financing terms that will help you get to what you want. What is your comfort level on a house payment? How much are you comfortable paying down,? What type of financing do you need to get the house you want to buy or refinance?
Different clients have different priorities in life—some are buying their first home with very little down payment funds. Some are recovering from medical challenges, divorces or preparing to send children to college and some are embarking on a long term goal of buying properties to build rental income.”
Jo Garner is a mortgage officer with extensive knowledge in helping her clients find the right mortgage program and making the refinance or home purchase mortgage process EASY. She offers conventional, FHA, VA or other loan programs for primary residences, second homes and investment properties.
Jo can help you look at rent vs buy, when it makes sense to refinance, how to get the best deal on your home purchase financing.
Jo Garner has been in the real estate/financing business for over 30 years. She grew up in West Tennessee and got her start in real estate in Portland, Maine where she first began her real estate career. She received her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen, author of Nothing Down, Creating
*Wealth and The Challenge.
On moving back to West Tennessee in 1987, she went into business buying and selling discounted owner-financed notes secured on real estate. In 1990 Jo went to work for a residential mortgage company and has been a mortgage loan officer for over 30 years.
In addition to her work in the mortgage field, Jo Garner is the primary sponsor and founder of Talk Shoppe in Memphis. www.TalkShoppe.com Jo Garner also host the radio show Real Estate Mortgage Shoppe airing on News Radio AM 600 WREC and iHeart Radio with podcasts and show notes published on www.JoGarner.com Pick up Jo Garner’s book on Amazon or Barnes Noble “Choosing the Best Mortgage-The Quickest Way to the Life You Want”