First deal. 22 unit apartment. Will lenders even say hello to me?
A guy bought a 22 unit class D apartment several months ago in a class C area from absentee owners. He's done the heavy lifting: evicted half the tenants, rehabbed 3/4 of the building, raised rent from 400 to 520, and signed new contracts and filled the building.
He paid 400k for the place and is wanting to flip it for 700k. I believe he bought from the previous owners with seller financing.
I asked him for tax returns, profit and loss statements, rent rolls etc. All he could give me were utility bills and gross rents. Since he's only owned the property a few months, it's understandable that he wouldn't have much in records yet, and apparently the previous owners didn't provide him with any records either.
How would I approach any lender with just some pro forma estimates from the seller? Since he bought it with seller financing, all those documents weren't required to do the deal.
Idk if this guy is just hoping for a cash buyer or what...