What's My Strategy Approaching a Bank For My First Big Deal?
Here's the short version:
I'm a residential investor in New Jersey. I've begun looking in Chicago for bigger deals and have been very lucky to have found a great broker and an even more amazing (future) property manager. I have found an off-market deal that I think could work very well in the 500-550k range (final price TBD).
Now, I have to do the real hard part -- approach the bank for money. This is my first commercial deal, and quite honestly, I know I'm probably going to have to go to a few banks before I get what I need, but basically I just don't want to look too stupid on my first approach. So my question to you is: What is the best way to approach commercial lenders? How much, and what kind of info should I have with me, and what kinds of questions should I be prepared to answer?
I have the rent roll and expense sheets, as well as some market research I've done, and of course, money that will hopefully be enough for a downpayment. But I know this is not enough. I am going to be holding this building under an LLC, so I know not having a "resume" for this LLC may cause issues too. Should I expect to have to personally back this first deal?
Again, I just don't want to walk into this looking stupid so I'm hoping those of you with commercial experience will be willing to help me with the benefit of your experiences.