Financing for a Package Deal
Howdy ladies and gents,
I'm considering making an offer on my first multi-family property. It is a package deal in TX with 2 duplexes and a single family home; so, it contains a total of 5 units. The seller is willing to finance but only as a commercial loan. Financing will include a balloon payment. This has created a couple of questions
- What are the cons of commercial loans in seller-financed deals?
- When the balloon payment is due, will I be able to refinance it as a commercial loan? Since each property is considered a separate lot or plat, do I have to finance it as a residential loan?
Yolanda Columbus