New to obtaining financing.

5 Replies

I have a chance for a quad that is in a kind of very small city that is going through kind of a revitalization. The building seems to have been an old commercial warehouse or something similar. 2 units are pretty much done. the other 2 need complete renovation. needs to have about 80k in work to be rent able. Present owner says he gets 1000.00 a month for each unit but i am guessing around 750-800. They are asking 175k for the property and it doesn't assess for half that. Taxes and such are cheap, has ability to put in 4 separate electric meters. Is this a deal I have to walk away from because i do not have my own money to finance this deal? Didn't know if someone had gone through this before and maybe had some ideas on how to finance something like this if it is possible. Thanks in advance

Thanks for the reply. Is there funding that can be obtained in this situation? They are asking 165k for the property. Not sure it would even appraise for 200k. And it needs 65k ( conservative )  But it will bring in approx 3200 a month when finished.

@Jack Haskins If you think it's a good deal, I wouldn't give up on it so easily. Is there a chance you can partner with an investor in your area who can help finance this transaction.You guys maybe create a joint venture somehow? Search for all of your local REIAs in the area using meetup.com Go out and meet local investors in your area and tell them about your opportunity. This is a good way to find someone to partner with you

@Jack Haskins

Personally, I would jump at those numbers. But I’m in a different market. Just know your numbers and stick to them. There are many lenders out there.

You could also try owner financing.