Investor · Cleveland, OH · Member since 2011 · 603 posts · 130 votes
After buying 12 single family homes - I have come to think the sooner I transition to apartment buildings the better. Economies of scale and bigger numbers make apartments seem more appetizing.
I have a commercial lender lined up who lends 80% LTV.
Its the 20% and the rehab costs I am confused on. Is it common to request seller financing on 15% of the remaining 20%? What would be some example financing terms so I can run some numbers on seller financing.
I have a nice income and a solid bank roll from 2 businesses - but I hear read about investors who have close to zero skin in some of these deals and that sounds better :) - how common is it? Who lends on rehab costs?
Mckinney, TX · Member since 2015 · 86 posts · 11 votes
11y
there are loan programs for rehabbing such as FHA and they do work with multis as far as the seller financing this isn't uncommon especially if they are a motivated seller like I always say just assess the deal run the numbers make sure it's profitable and yes in my opinion apartment building are amazing if not the best because of large cash flows they can provide over the mortgage payment . 1031 exchange your single family's to pay down payment for the apartment deal