All Forum Posts by: Patsy Waldron

A promissory note should work in this case. You can have one drafted by an attorney or get a generic one online personalized with your guys' particular arrangement. It should specify how much money is being transferred, for what period, how the money is to be paid back (interest only, principal + interest), at what intervals (monthly, quarterly, annually), and whether pre-payment is allowed, etc. RocketLawyer has templates on their websites and you get a document free (I am not affiliated with them but have used their services before). You guys can have the document notarized for extra protection.

Thank you, Darren! I  appreciate your input. 

I haven't talked to anyone yet, I was just researching whether it existed. Clayton actually has a commercial section that does multifamily of various sizes (duplex all the way to large apartment buildings). Another one that I looked at was Westchester Modular Homes, which also does duplex to large multis (I really liked their styles). If you just Google "prefab apartment buildings" or "modular apartment buildings", you'll get a whole list of them. I don't know whether they specifically serve the Columbus market, though, as I haven't gotten that far into my research on it. If you do find out more, I'd be interested in hearing what you find!

Interesting. I was thinking of doing something along the same lines with a property I have in Columbus. I have a quadplex with two vacant plots next to it. I know construction costs are atrocious, so I thought of pre-fab, but wasn't sure whether pre-fab multis exist. It turns out there ARE companies that make pre-fab multistory buildings (specifically apartment buildings, office buildings, etc)! Now to convince the owners to sell me their land. :)

Wow, what an amazing difference! Love the transformation, and love the new look! Best of luck selling it for what you want.

BRRRR allows you to add value and repeat through refinancing. You can in theory continue to expand as long as you want to with it, whereas with TK you stop when you run out of available cash (until you save up enough for the next down payment). The trade-off is the convenience- with TK, you don't have to do a thing, whereas if you buy a property that needs work you have to go through the process of rehabbing. Both have their advabtages, you just have to decide what works for your situation and goals.

Hi Brenda, chin up! First, you need to stop the negative self-talk, like "I am not creative... I am so stuck... I am totally retarded" (which, as an aside, is a term I suggest you stop using, as it is offensive to those of us who have relatives with actual retardation). This kind of attitude will not lead you to solutions. Frame your issue as "Where can I find funding?" Call, e-mail, message everyone you can find who could possibly lend you money, here on BP or in your circle or your local investor group. Maybe this deal is an opportunity for a newbie to partner with you, bringing money to the table in exchange for training from you and a share of profit. 

I don't know what the best exit is for this property, since we don't have the details of the property, info on the area or your personal financial situation and goals. But it would be helpful for you to write down a list of the possibilities and then list the pros and cons of each. Writing things down may help you work through the mental block. Good luck!

Actually, I have read on BP that if a property is a duplex (which you could argue yours is), you can count 75% of the potential or actual rental income when applying for a loan. Search the blogs for the article that explained this.

@Tristam Griffith

Tagging you to make sure you see the message above.

Appraisals for 2 to 4 units are based on comps, like SFR. The appraiser will take into account your updates in comparison with what is usual in your area- If your updates are usual for like units, your duplex will appraise for equal values as other duplexes in the area, even if you spent quite a bit bringing it into the 21st century.