Update: Need help raising money for RE deal
Hello BP,
A couple days back I wrote a post asking how to raise private money for RE ventures. My goal was to raise $30K. From the post, I got feedback to ask friends, families, etc. I took the feedback and strived. I currently have verbal commiments from investors of $25K and it's only been four days! Thanks for the input BP famly! With any newby investor there are always questions so here are mine:
1. In the structure of the deal, investors will own 25% of the property and I will own the other 75% of the property. The mortgage will be under my name. What is the best way to set up the deal so both sides are protected legally? I called a local title company and they mentioned a term call "Quick Claim" in which after my closing the lawyer will draw up a contract stating that the investors own 25% of the property. Is this the best route to go or is there another way to structure the deal?
Thanks in advance for any feedback.
Comments (5)
Need more information on your programs
janice, over 14 years ago
This may be a way to go. I have a loan program that can help people buy homes outright. It can also help those who are in foreclosure save their homes. It can be used to pay off bills, or invest in property. Whater ever your cash needs are. We have two programs at this time for people who have bad credit, no credit, or need funds for any reason. The first program restores credit in 6 weeks, builds credit worthiness, and then we apply for financing for you from $25,000 - $2.5 Million. We do everything for you, hands-on, from beginning to end. This program takes from 60 - 120 days depending on the amount of funding you desire. The best thing about it is there is never any out-of-pocket money needed to pay back the loans. The second program can get a borrower $200,000 in 6 weeks guaranteed. No credit restoration necessary. We apply for all of the funds for you. All of our services have a money back guarantee. If you feel this is something that could be of use to you, or your associates, email me for details. [email protected]
Elaine Morgan, about 15 years ago
Hi everybody ,Iam getting lines of credit with my corporation,somebody knows a broker to do it in california ??and what will be the fair fee????
ENRIQUE, about 15 years ago
Hey Andre - I just wanted to suggest posing any of your questions on our forums. You'll likely get much more feedback then you may here. I'd say to reserve questions for the forums and use this blog to share your story, thoughts, ideas, etc. Good luck!
Joshua D., over 15 years ago
Andre. great progress on raising funds. For simplicity's sake, I would look for debt financing rather than an equity split. Just create a note with the property as collateral. Give your investor the interest rate they are looking for, since it's not hard money with all its strict requirements. You should be able to pay out a healthy rate that satisfies your investors.
Jon Klaus, over 15 years ago