Updated almost 4 years ago on . Most recent reply
Question about cash flow after delayed financing
I am new to delayed financing and am needing some guidance. Not sure if I am calculating everything correctly.
Property: SFH, in Chattanooga TN.
Purchase Price $114,000- originally planned to pay for using a HELOC
ARV $152,000 conservatively. $160,000 is likely.
Rehab: cosmetic $3000
Rents: $1200-1250/mo, it does have a detached garage with utilities that could be converted into an ADU with work.
Delayed Financing: 80% LTV, interest rate 5.13%, 30 year fixed
I'd like to keep as a buy and hold and it seems like it would cash flow after running quick numbers on the calculator. Am I missing anything with delayed financing? I believe there will be two closings, so I'll add those fees.