All Forum Posts by: Curt Neider

Following to hear the answers. 

Looking for a rehab loan on Maui as well... 

Is anyone lending anything on long term SFR investment real estate right now? Please send me actual contact info if so...

Not enough info to answer! 

@Tyler Caglia

Super thorough review. You’ll be running a sizable portfolio quickly!

If you are worried about price, you need to be outside of potential development areas. Once the locals start hearing "after developed" land prices, the farming game is over. Landandfarm.com, landsofamerica.com, lots of other farm and ranch sites. If you are targeting Utah, KSL.com is an anomaly classified site that far outpaces Craigslist (also good) locally. 

Private / bridge lenders are going to be less concerned with occupancy when it comes to a bridge or stabilization product. It could have 0% occupancy, for example if it needed some rehab. You would likely need to get it stabilized and then refinance into some better permanent terms.

It depends on how much risk you are willing to take...

I've had a few interactions recently that I think are typical of any industry but add to the argument for getting started with your first equity deal ASAP. 

We have all heard people gripe about the amount of effort and brain power they put in at work without any credit. In some cases their manager or business takes all the credit leaving them with little recognition. I call this "trading time for money."

I see the same thing from time to time in real estate. Real estate agents, property managers, contractors, etc. that are frustrated by the lack of money they are making on each project or that are tired of being pushed around by equity partners. The conversation I had this week was with a frustrated individual who has a development deal that is ready to go, has no cash to invest, and is annoyed that he hasn't been able to get it financed yet. He acted like the world has conspired to keep in the consultant position! 

I don't point this out as a rant, or to poke fun. I only throw it out there as an extra push to get your first or subsequent deal done. Get started. Be patient. Save and invest! If you don't get that nest egg started, it can never help itself accumulate and grow over time. 

I broke even on cash in the first flip I ever attempted. However, I gained experience negotiating a deal, getting a loan, going through a closing, understanding titlework and fees, hiring contractors, weighing D.I.Y., marketing and selling the property, etc. I also enjoyed the thrill and mantle of being an owner. The next property worked out much better. 

Don't swing for the fence. Looks for single base hits. You can do it! 

Short term direct funds for fix/flip/bridge real estate projects in UT, AZ, and CA.

Non-owner occupied, up to 80% LTV. No funds for rehab at this rate.

1% Fee/11% Interest, up to 6 months. $500 doc fee. 

Other financing options, including rehab funds nationwide available at different rates. 

@Seth Myers

Both Mark and Darryl put together great lists.

The other thing to consider about commercial loans compared to residential is that there is much more opportunity to sell yourself. All of the numbers matter, but it is important to be prepared with numbers about the project, numbers about the borrowers, AND a story. Who are you, what is your experience, why are you a good fit for this investment? Make it easy for an underwriter to say yes, by sending in a FULL package the first time.