All Forum Posts by: Cee Williams

I found a 2-4 multifamily property in Brooklyn that I'm interested in purchasing via a mortgage. The problem is that one of the units is currently occupied by a difficult tenant. The tenant doesn't want to give access to the their unit. This is going to make it impossible for the appraiser to come do the appraisal. An all cash offer is not a possibility for me and I don't have the 10%-20% down payment amount to do a hard money loan. I'd like any insight on how to go about this purchase. Is the tenant required by law to give the access to their unit if the owner is selling and needs access to the unit for the appraiser to asses and conduct the appraisal for the buyer? Is this something that is only allowed if it was written in the lease? Does it make a difference if the tenant is on a lease, month to month, paying or nonpaying?

Any experienced real estate lawyers or real estate professional out there familiar with how to navigate this situation?

1 Vote

New York City, New York

Quote from @Allan Smith:

I've used hard money loans where I didn't hardly have to come up with a down payment so I could see that being possible, however all the commercial loans I've used typically want a down payment. There was one flip I bought and the bank financed 100% of the purchase and I didn't even realize it, but then my down payment essentially was me putting money into the flip rehab

if you are trying to get started without much down payment money, try to find Partners or private lenders. Otherwise, just use hard money lenders that can do 95% of cost or 100% of cost. They are usually expensive to use and will take up almost half your profit, but it allows you to get in the game. That is how I got started.

Thanks for the insight. Definitely a challenge finding partners. Any referrals for these 95%-100% finance lenders?

0 Votes

New York City, New York

Quote from @H. Jack Miller:

If its a good enough deal, you can get it done. I don't think I can self promote on here. But we do JV equity deals all the time where we put up the debt and the equity. It really all comes down to the deal

Sounds like we need to talk. It's NYC so the deal is reasonable given the location. What are typically the terms and rate of this type of financing?

0 Votes

New York City, New York

Quote from @Kushaal Malde:

Why not? Depends on each deal - who is the seller and is there a lender and will that lender approve? Can the seller finance?

Most traditional lenders will want to see track record or balance sheet. In fact, track record holds so much weight, some times you need not bring any of your money into a deal.

I think for a first time buyer with your profile, looking for a stabilized property is more appropriate than looking for a value add property. My assumption here is that your time is better spent at your salaried job and you're looking for extra cash flow (stable) instead of another job. Please correct me if I am wrong

This is news to me. Every commercial and hard money lender I spoke with wants atleast 15%-30% down. Some are even asking for additional savings or assets as collateral.

The properties I've found seller doesn't want to finance. Lender will approve if I have 20%. Some lenders are even asking that I have 2 years of experience dealing with tenants, and if not I need to bring on a partner who does.

Yes, first time buyer here. Stabilized or cash flow property is fine for now until I work up. I need to get my foot in the door. I'm fine with staying at my salaried job while working on this. Totally fine with a potential property becoming a "second job" as I find this enjoyable to be honest.

1 Vote

New York City, New York

Quote from @Ryan Howell:

@Cee Williams - It will be difficult. Most likely at that size property you need to carry personal liability which means you need assets. Most lenders want to see experience. Can it be done? Yes. Seller financing and getting creative, you can make this happen. My suggestion is to consider starting smaller...buy 1-4 units that is a good deal and start growing your net worth. Do that a couple times and you'll start looking more attractive to the bank. I did 6-7 BRRRR deals before I went beyond a 5 unit building. 6-7 good deals can build your assets quicker than you think and give you a lot of experience that banks will like. It begins to snowball quickly.

Totally agree that the 6-7 units can build assets quicker. This is why I'm aiming for more than 4 units for the first purchase but encountering the down payment and experience issue.

0 Votes

New York City, New York

This is news to me. Every commercial and hard money lender I spoke with wants atleast 15%-30% down. Some are even asking for additional savings or assets as collateral.

1 Vote

New York City, New York

Is it possible to acquire a 10+unit property (cash flowing) with $100k savings, a six figure salaried job, good credit but no assets nor cosigner?

I keep hearing in these BiggerPockets videos that these guys are acquiring 50+ units and saying "hey, you can do it too!" but how do you actually do this if you're not rich, don't have rich friends to partner with, etc.?

Am I missing something or are the videos misleading and not giving us the details? I've watched dozens of these videos over the years and still don't seem to get the answer how to move to the bigger properties with more doors. Anyone have any solid insight on this?

1 Vote

New York City, New York

I'm interest in finding a 6+unit property but the hurdle is getting the 20%-30% down payment required for these commercial loans despite a property having good rental income.

Was checking out this BiggerPocket's video:

Guy mentioned he didn't have to pay a down payment, only closing costs because the appraisal versus his accepted offer amount left $30k equity in the property.

Typically these commercial and hard money loans want 20% down. Any insight?

I've heard of seller's contingency on FHA for closing costs, but not for the down payment. Is this a commercial financing thing?

1 Vote

New York City, New York

Six figure earner in Brooklyn, NY who has been learning about real estate for the past few years, pre-approved and ready to start buying. Looking to find others in similar boat to meet and brainstorm. Also would be great to meet those who have experience. I'd like to do a 3-4+ unit building in Brooklyn or Harlem, but rental cashflow is tough here so I'd be open to out of state buying if I could cashflow around $10k+/month. Maybe that's too much to ask for but that's my goal for now. I'm thinking a REO and BRRRR is the best route. Would anyone be willing to meetup to discuss? Anyone else out there trying to stick out buying a multi-family in Brooklyn? It's rough, but I'm relentless!

1 Vote

New York City, New York

All Forum Posts by: Cee Williams

Cee Williams has started 4 posts and replied 9 times.

Post: Multi-fam property. Difficult tenant. How to get appraiser access

Post: How'd this guy get a commercial loan without paying down payment?

Post: 50+ units without being rich or partnering?

Post: 50+ units without being rich or partnering?

Post: 50+ units without being rich or partnering?

Post: 50+ units without being rich or partnering?

Post: 50+ units without being rich or partnering?

Post: How'd this guy get a commercial loan without paying down payment?

Post: Brooklyn Six Figure Earner Ready to Buy and Looking for Buddies