Updated over 7 years ago on . Most recent reply
Purchasing 14 Unit Apartment Question
I currently own 1 Duplex and 2 single family homes. I am under contract for another single family home and have a large sum of money set aside for this closing that is happening in mid-January. I recently have received an opportunity to purchase a 14 unit apartment building that needs some work. It is currently profitable,but not reaching its potential. I am currently strapped because of my other purchase and it is going to be a little difficult to obtain a large enough down payment on the commercial loan. The seller wants to close quickly. Is it possible to do both a Hard Money loan and Private money loan at the same time to cover the entire purchase? I was thinking about doing a 1 year balloon with the private lender or seller financing for the 1 year down payment. Does this even sound feasible? I appreciate your feedback.
Most Popular Reply
One issue that may pop up: When the single family is about to close, they will see the the commercial loan banker ran your credit. They will want to know what you are doing; and you have to tell the truth. It may be a non-issue or the single family banker may need to start from scratch and see if you qualify with the new information.