2 financed deals at the same time?

Question

Has anyone ever done two separate deals at the same time? When I've closed deals before using conventional financing the loan officer tells you not to open any new lines of credit, vehicle purchases, new mortgages, etc, and now I have 2 deals that I want to complete simultaneously.

About a month ago I submitted an LOI on a 14 unit and our offer was 2nd highest. Yesterday I signed a contract to invest with my good friend who owns a land development firm to purchase 18 lots. As he sells them I get paid back with a solid return. Today I find out the accepted offer on the 14 unit multifamily fell through and now they want to know if I'm still interested.

Assuming both deals are worth doing, can I finance both of them at the same time? My partners and I have the down payment for the 14 unit, and I also personally have the funds for the land deal down payment, but both need to be financed. I would appreciate any advice or suggestions from someone whose experienced this before. I haven't brought this question to my commercial loan officer yet. Looking for solutions before presenting it to him. Thanks.

Matthew Crivelli · Answer

You don't have to go conventional! Me and one thousand other lenders would love to take a look at your deals! Plenty of options my friend.

Theresa Harris · Answer

I've done two at once.  Make sure the bank (or whoever you are borrowing from) knows about both.  Stephanie is right as long as you are qualified for the total amount of money and have the down payment, there shouldn't be a problem.

Stephanie P. · Answer

You answered the question in your opening thread.  If you have the money and the numbers work, it doesn't matter how many deals you finance at the same time.  If the bank you're using says no to the 14 unit, but yes to the lots, let them do the lots and proceed with a different alternative lender that will close the 14 unit based on the strength of the property.  DSCR lenders seem to be everywhere these days.:)

Stephanie

Bonnie Griffin Kaake · Answer

I don't deal with the financing end of RE investments but I would be open with your loan officer and explain the situation. If he/she cannot do both deals at the same time, check with other lenders. If you have the downpayments and you have the ability to pay the loan, don't be shy. Sounds like both are great deals. You can do this, don't take no for an answer.

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2 financed deals at the same time?

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