All Forum Posts by: Nathan Eberly

That is shocking to hear.  I'm an investor and a realtor.  I love taking on new investor clients to assist.  Easy work.  Much easier than owner occupant buyers.  

Surprising you are having such issues in your market.  Certainly hope you can find someone (or get your own license...could be well worth it).

Risk tolerance differs for many banks.  I agree with an earlier poster stating go for smaller community banks.  They can't compete with some commercial projects, but may have some open liquidity to help for smaller projects up to $1MM to $2MM.  

That said, under performing assets scare off lenders, unless outside income can help cover debt service.  Generally, they would want to know that income from the building would cover debt service 1.25x.  If lower, and it is a distressed property (under performing), it may require additional consideration.  A solid relationship with a lender would help most, as they would go to bat for you for approval.  

I work in a small community bank in NW Ohio. CRE is sometimes more tough than a start up company (as at least with start ups, you can go SBA financing).

Now, if net operating income is enough to cover debt service at least 1.25x, if it is distressed or under performing at the time, it wouldn't matter.  

As others have said, at this point, the best will be to speak with a lender(s) directly.  

It all depends on the lender.  Some lenders would want to see anything from 10 to 25% down payments, but generally, it doesn't matter where it comes from, so long as it is seasoned.  If it is in your account for a month or so, as to be reflected on your account, generally you will be fine.

As well, a concern with some lenders will be reserves. Generally, major lenders may seek to hope you have 6 months of reserves for CRE deals. The biggest item will be that you have some ability to service the debt outside of rental income.

Again, commercial lending is a different game, as there aren't the major regulatory hurdles that you have with residential/personal lending.  Lenders have more leeway, and thus their policies are what govern the transaction.

Sorry, forgot about links.  Look up Lease Runner (I am not affiliated or receive any compensation for such recommendation) ;-)

Its something I have used for a while now.  Plus side is background checks, etc.  Online applications.  Good stuff.

Look into ***********.com.  Good online software.  It does cost $4 per transaction, but if you have solid volume, and you bake in your costs as well as you can into your market rents, not that big of a deal.  Plus side is all the other items that come along with it.  I'm still exploring Point2 Property manager, but haven't seen tenant online payment capability yet.

Dan - Included in the Code of Ethics are certain things regarding how Realtors interact with each other.  Making a remark as you did regarding my character and my ethics, in such a bold statement, is most certainly a violation, especially given my explanations above and clarity I provided in regards to the item in question.

I ask that you remove your comment.

• Standard of Practice 15-1

REALTORS® shall not knowingly or recklessly file false or unfounded ethics complaints. (Adopted 1/00)

• Standard of Practice 15-2

The obligation to refrain from making false or misleading statements about other real estate professionals, their businesses and their business practices includes the duty to not knowingly or recklessly publish, repeat, retransmit, or republish false or misleading statements made by others. This duty applies whether false or misleading statements are repeated in person, in writing, by technological means (e.g., the Internet), or by any other means. (Adopted 1/07, Amended 1/12)

• Standard of Practice 15-3

The obligation to refrain from making false or misleading statements about other real estate professionals, their businesses, and their business practices includes the duty to publish a clarification about or to remove statements made by others on electronic media the REALTOR® controls once the REALTOR® knows the statement is false or misleading. (Adopted 1/10, Amended 1/12)

@Dan Mikolajczyk

All I can offer to you is for you to speak to any one that has done business with Ohio Cashflow.  Please note that I have been working with the team at Ohio Cashflow after their purchase, rehab, and sale of Loxely.  As I assist them with the sourcing and purchase of properties, I can only speak to that with new properties which may come forward.  I do not work on any aspect of their sales to their investors (who have very high satisfaction rates from my discussions with them), and do not have any discussion in their marketing, comparables, or other aspects of their sales to investors.

Based on the information provided by Engelo, and their due diligence, the pricing of their unit seems to be in line. As for expenses, given their volume of transactions over the years and track record (and again happy investors), I doubt their have been significant fluctuations which have caused any material changes to their estimates.  

It should be noted that I have NOT been compensated by Ohio Cashflow.

 Ay Ziggy Zoomba!  

I've lived in BG since 2003.  Had a brother and sister graduate from BG City schools (brother graduated in 2002, sister in 2008).  Didn't have direct relatives at BGCA though.  

But its great to see someone else on here from BG!  How's the Columbus market doing for you?  Definitely in my sights.

Ohio has several good markets, including Toledo, OH (my base market).  Dayton and Columbus provide great opportunities.  Cleveland would be a next market.  Cincinnati has pockets of good items.  I'm a little biased to NW Ohio.  However, my tops would be Dayton and Columbus.