All Forum Posts by: Account Closed

Quote from @Clayton Collins:

Thanks @Jaycee Greene

rough terms are 450k refinance to first lien position resulting in 250 cash out. rates at 11% and about 15-25k in fees. no appraisal, but BPO was 650.

LTV seems to change per lender, I had one at 60% and one up to 75%

Hi Clayton, those terms seem to be fairly ballpark for the rates going right now. Some of the investors I work with put a lot of value on the FiCO as a secondary factor, but I'm sure its a case by case basis. Have you gotten this loan squared away.  If you'd like another pair of eyes, let me know.

Quote from @Dante Craig:

Quote from @Account Closed:

As some of my colleagues have already pointed out, the size and structure of the deal really do matter here. The way my team approaches these situations is by keeping the bigger picture in mind. We’re focused on building long-term, mutually beneficial relationships — and sometimes that means negotiating down… or even up, depending on what makes sense for all parties. At the end of the day, it’s always a case-by-case decision rooted in partnership and perspective. Out of curiosity, how do you define your mission when it comes to balancing relationships and transactions?

I couldn't agree more, Leo. You've hit the nail on the head that everything in our industry is ultimately case-by-case. If you're ever in the LA area, I'd love to grab a beer sometime.

 Buddy, if you golf, we JUST became best friends... lol.. but I'll keep you posted about that beer!

As some of my colleagues have already pointed out, the size and structure of the deal really do matter here. The way my team approaches these situations is by keeping the bigger picture in mind. We’re focused on building long-term, mutually beneficial relationships — and sometimes that means negotiating down… or even up, depending on what makes sense for all parties. At the end of the day, it’s always a case-by-case decision rooted in partnership and perspective. Out of curiosity, how do you define your mission when it comes to balancing relationships and transactions?

Appreciate you breaking that all down—it actually sounds like you’ve made some smart moves. The numbers on the property still work, but yes, bad tenants can kill a good deal.

A couple thoughts:

1. If you hold, maybe it’s time to tighten up the tenant screening or get a new property manager. Could also look at a cash-out refi if you want to pull some equity and reposition a bit.

2. If you sell, walking away with $15K each isn’t a loss—you can roll that into a cleaner, stronger deal. 

3. Or, we could look at using private capital to help you clean up this one or bridge into your next deal without getting stuck.

Let me know how you’re feeling—I’m happy to help you weigh it out or map out what a next step could look like.

Hi Tamar,

Just like others have said, finding a private lender—or better yet, a broker who works with private lenders—is your best move.

Think of it like buying a car. You’ve got rebates, inflated extras, and coverages that mostly pad the dealer’s profit. But if you work with someone who can negotiate on your behalf and act as your fiduciary, you cut through all the noise.

A good broker doesn’t just find you a loan—they help structure the right loan for your goals, whether that’s maximizing leverage, minimizing paperwork, or closing fast. It’s the difference between buying off the lot or custom-ordering exactly what fits your needs.

Hope this helps!

Quote from @Michael S.:

@Marcus Auerbach - I enjoy your posts, and you typically post really good information and insights.  However, your comment of "Only rookies don't do annual increases" is disappointing and shortsighted for new investors. I am definitely not a rookie.  But we have many tenants that we have not raised rent on.  Let me give you the rationale:

1.  I could care less about an additional $50 or $100/month if it means even one sooner turnover.  Very few turnovers cost less than $1000 to $2000, and throw in the loss of rents and cost of utilities during the turnover time.  For $50/month?  No thanks.

2.  I have several tenants who are clearly on a fixed budget.  If I raise their rent, it will be a significant challenge for them, whereas I could care less about a small bump in monthly revenue.  These are tenants who also take pride in their property, as they truly feel it is their home.  They are already paying my mortgage every month with positive cash flow.  Why put them in a crunch when it's already a favorable situation for both parties?

3.  If you need an additional $50/month to make your numbers work, you are already overleveraged and in trouble if a cap ex arises.  

Sure, I'd love to raise rent annually.  But to imply that I'm a "rookie" for not doing it universally...yeah, I take exception to that.  

Sustainability and stability can often outweigh squeezing every last dollar. It’s about context, not cookie-cutter rules, and dismissing that as a "rookie move" overlooks the nuance that experienced investors understand. You made very valid points, Michael.

Your offer is fair for someone who wants to be passive and believes in the long-term equity upside. But to appeal to a broader base, adding either:

A preferred return, A share of ongoing cash flow, or Security (like a lien)

It'll help make the structure more investor-friendly.

Hope that opinion helps.

There are positive reviews on their BBB, but I have heard of terms changing without updating their clients.

My company and I are brokers that work directly for investors and pooled money. If you'd like to get a quote let me know. we are completely transparent and have repeat business for good reason. 

You're right—many lenders shy away from smaller deals like $30K because the time, legal costs, and underwriting effort are nearly the same as a $200K loan, but with much less return. That said, if you have strong equity and clear exit strategies, there are private lenders who may still be open to it—especially if you're open to cross-collateralizing or creative terms.

Hi Art, I totally understand your frustration—delays at closing can be a real strain, especially when everything else is lined up. While I can’t speak to Park Place Finance directly, I can say that after 15 years in private lending, we’ve made on-time closings a top priority, particularly for experienced investors like yourself. We’ve helped many clients who’ve run into similar situations with other lenders mid-deal and were able to step in quickly with flexible, transparent terms. If things don’t pan out there and you need a reliable backup or long-term lending partner, I’d be glad to see if we’re a fit.