offshore savings

[lemonblazer]

How come no one mentioned diamonds?

You can stick $1,000,000 worth of diamonds under your ball sack.

You can mail them all over the world.

ummm....wouldn't it be hard to get your money back out of diamonds?....I mean from what I understand the "prices" of diamonds are somewhat sketchy....might have something to do with not being all the rare to begin with....


NYGENERAL
Sounds like your giving some true advice....but you are typing like a newyorker talks...no offense tho..its all appreciated man.

The only thing I don't understand about flipping investements is where the "extra" money comes in exactly.....I mean are you using cash to buy a Bar for example...and then using the profits from that to show the goverment? Wouldn't they want to know how you got the money to buy that bar in the first place?

 

[Trichome Toker]

No it isn't hard to sell diamond at all.

You can buy them & sell them for a stable price just like gold.

 

[litebuzz]

just for the record nygeneral...i'm as bad as you with the broken sentences...but i don't even use caps. i have no problem with your style. i even like it.

 

[dontcryout]

Ok NewYork General. Well if one was 22 years old and was a bartender that made few hundred a week and had good credit. Could this be enough leverage to get a loan on lets say a 200k house. And could he then deposit dirty money in bank each month to pay mortgage? what do you think about this?

 

[tragic1]

NY General is giving some great advice. I suggest you guys get a pen and pad ....Take notes.

 

[dontcryout]

So let me get this straight. I could purchase a house with no money down on a 200k house and then pay around 1k a month. This i understand. So could I pay the mortgage with "extra" money that I deposit each month that I could say came from bartending and then pay taxes on that money and be ok?
I would then hold the house for only a few months while doing improvement and then flip it for a profit. Could I do this?
Thanks for info you are most helpful person on here.

 

[Trichome Toker]

If you want a loan for a house you would have to report steady income for a decent amount of time.

No bank is going to give someone without steady income a loan.

If you have all ready been reporting income for a few years you should be able to get a loan no problem.

If you get busted the whole house of cards will come crashing down and you will lose everything in your bank accounts, your house, your cars etc.

That is why most people just hide their money until they are done with any illegal activities.

It is much harder to get caught laundering money if your done doing anything illegal before you start to report your income.

If you got busted growing, they would go through all your financial info with a magnifying glass.

So if your still involved with illegal activities don't report any income your not prepared to lose.

Also, don't just report enough income to cover your mortgage, that is a red flag right away.

No one is going to spend 90% of their income on a mortgage, and not have money for living expenses, so if you have a $1,000 a month mortgage you better report at least $3,000 a month or it will look highly suspect.

Also, the bank won't give you a loan unless they see that you have enough money to afford the mortgage, so you would have to be reporting at least $3,000 a month for a few years to even be considered for a mortgage loan for $1,000 a month.

They look for a bunch of things when considering you for a loan, not just your credit rating.

They will look at how long you have been at your current address, how long you have been at your current job, how much money you make and is that enough to afford the mortgage etc.

Also keep in mind, if you are caught growing in a house you have a mortgage on, the police will seize the house, auction it, and still make you pay off the rest of the house to the bank.

So you could make your first two mortgage payments, get busted, lose the house to the government, and still have to pay off the house for the next 15 years.

If you find a really good deal on a property, and tell the bank you are trying to flip it, they might consider it, but not for a 22 year old kid unless the deal was totally unbelievably too good to be true.

Your better of finding a partner with income who all ready has a few mortgages and trying to do a flip with him.

A 22 year old bartender walking into a bank to get a loan for a house flip is going to get laughed at.

 

[dontcryout]

gotcha! So if I were to bartended per say for the next year or two then I could report all my earnings (hopefully around 2k a month). After that I could prob get a loan? then pay mortgage with extra money while still reporting 2 or 3k month from bartending and "extra money"? does this sound right or no?

 

[Trichome Toker]

Well, if you report $3,000 a month for the next couple years, stay at the same address for the next couple years etc you would probably have a decent chance at getting a $1,000 a month mortgage yes.

If you report $2,000 a month I highly doubt any bank will give you a $1,000 a month mortgage just because they like you to make at least 3-4 times the cost of the mortgage.

Your occupation is a problem to, most banks don't see bar tending as a steady job/career, even if your bank records show you have had the job for 3 years they will think you could get fired at any time.

Not saying you can't get a loan, just saying don't be surprised if you get turned down, and keep improving your status in the eyes of the bank until you succeed.

Property is the easiest thing to get a loan for though, because the bank can always take it back if you miss your payments, and make their money back.

They won't want to waste their time with that though, unless they are sure you have steady income and are capable of paying off the mortgage.

The problem with most 22 year olds is they don't have steady income.

 

[dontcryout]

ok well what I scratched the 200k loan with the 1000/month mortgage and invested in a 100 -120k condo. Would this bring the eligibility for a loan down? Then would rent the condo out and pay most of the mortgage with it correct? Also what about setting up a business and then show the "extra" money as income through that?

 

[Trichome Toker]

Sure, the lower the amount of the loan, the better the chance you have of getting it with less income.

If you tell the bank you plan to rent it out and pay the mortgage with that income, that is just one more thing in your favor as far as the bank is concerned.

Most banks want land lords to show a copy of the lease, and they will want a photocopy of your renter's driver's license.

Owning a business would probably look better than being a bar tender, but the same deal, you would have to be operating the business profitably for a few years before it would help you out with getting a loan.

Also, starting a business takes at least 10K most times, and you would need to have clean money to begin with to start one.

120K should not be a problem though, if you have steady income for a few years.

If you get married that will help out a great deal too.

Growing up sucks huh?

 

[dontcryout]

Ok well I am in school and will be graduating with a Software Engineering degree in the next 2 years. I have no school loans. I am paying for my school with a 15k annuity account i was given. I deposit into bank. Pay off all bills with credit card and then pay credit card ontime. Since I had to pay taxes on the annuity which was around 17k to begin with. This was looked at as income right? So a condo priced at around 120k would be better than trying to get a loan for 200k house? in the beginning? So while I am waiting for my "extra" money to build up over a year or so what is the best thing to do with it? A friend siad i could put maybe like a few thousand in a bank a month and then move to a stock broker account or something. Would this thro flag or no? I have heard many responses on this matter throughout forums but you seem like most knoledagble person GENERAL to answer this question. My friend says he didnt trust banks in high school and so would deposit 5k at one time on many occasions into Lynch account. Whats your take on this? Or should I just sit on the "extra" money and suffer inflation until I am finished and then deposit or pay mortgage with it?

 

[Trichome Toker]

Lenders go by tax returns and score.

They have a general formula for sure, they want to see steady income, I all ready said that, but they go by whatever they want, and your occupation makes a difference.

If you don't think a Union electrician making $50,000 a year has a better chance of getting a loan than a stripper, or bar tender, making $50,000 a year you are not as knowledgeable as you think.

 

[krustytheclown]

They have a general formula for sure, they want to see steady income, I all ready said that, but they go by whatever they want, and your occupation makes a difference.

If you don't think a Union electrician making $50,000 a year has a better chance of getting a loan than a stripper, or bar tender, making $50,000 a year you are not as knowledgeable as you think.

You are correct to a point. Lenders want to see at least 2 years of tax returns. If your income fluctuates greatly, they may restrict the loan terms: Loan-to-value (how much you can borrow against the property), maximum house payment allowed, interest rate, etc.

It is rare for a lender to limit a borrower *solely* on their occupation.

BTW, for everyone reading this topic: most people can qualify for some type of financing. It's just a matter of whether or not you would find the terms acceptable.

 

[Trichome Toker]

Of course it is easier to get a loan for a house than a car.

A house doesn't lose half it's value after you buy it.

A car is probably one of the hardest things to get a loan for at a decent rate.

 

[NPK]

NYG, your posts are highly informative. Thank you for sharing all this information (and excellent advice).

 

[dontcryout]

Thanks again GENERAL. I def dont want to blow cash earnings on toys. I am trying to secure some substantial net worth in order to build upon for bigger real estate projects in the future. If i put money in broker i will def do long term. However I may just deposit in moneymarket or something with decent interest rate. What do you think would be better stocks or money market?
I think stocks, if I pick good ones (blue Chips). I assume your a day trader. I def dont know much about that although I have another friend who is trying to get into the FOREX currency market. Whats your take on that type of trading. How does it compare to day trading or any other investing you are expirienced in?

 

[Trichome Toker]

I don't think NY general is arrogant at all, seems like a cool guy.

I just disagree with you on certain issues, especially your dismissal of diamonds as a good way to store cash.

 

[Trichome Toker]

Are you sure the people your talking about bought strait up quality diamonds?

Did they just invest in over appraised jewelry?

You can buy diamonds, and sell them, getting your money back down the road, or more, just like gold.

Now a diamond crusted Rolex, you might take a loss on.

 

[Trichome Toker]

An expanded, detailed answer, explanation and commentary of gold and diamond markets is more then welcome......

Please......provide such.

I'm sure not a problem...you clearly have a very good understanding of them

(but, make sure explanation such that the layman....anyone, anytime, anywhere will readily grasp and understand........so, you know.....people can understand fully....)

(If anyone is interested, I would be glad to if TT cannot )

I just said that you can buy diamonds, and resell them years later, for the same or more than you originally bought them for.

If you have an explanation refuting this, I would be glad to hear it.

P.S.

Are diamonds worth more today than 10 years ago?