All Forum Posts by: Phil G.

Lied about what??

And sometimes people do just make an honest mistake.  Never made one?  The evil mastermind listing agent lied about $500 why, so that she can make another $8 in commission?  Why always assume the worst about someone.

I used 221(d)(4) to fund a historic mill reuse market-rate project some years ago.  We developed really nice loft apartments rented by qualified professionals with rents near the top of the MSA sub-market we were in.   The program can also be used to develop low income housing, say in combination with LIHTC or mixed-income.  So the mortgage program alone doesn't necessary tell you what the project is about.  If its a for-profit developer, as Wayne suggested, they're likely to be trying to build for highest and best use.

Forget "Rich Dad, Poor Dad".   How about "Flipping with Ma Barker"?

18 USC 1344 - Bank Fraud

Whoever knowingly executes, or attempts to execute, a scheme or artifice—

(1)  to defraud a financial institution; or

(2)  to obtain any of the moneys, funds, credits, assets, securities, or other property owned by, or under the custody or control of, a financial institution, by means of false or fraudulent pretenses, representations, or promises;

shall be fined not more than $1,000,000 or imprisoned not more than 30 years, or both.

Ethically challenged, much?

@Rene Brodowsky

In May of this year, new federal FinCEN regulations went into affect requiring banks to get a certificate from each beneficial owner for new accounts for legal entities.  Last week, I opened additional accounts for one of my LLCs and for my 401(k), both have been banking at the same financial institution for a decade and I had to sign the paperwork.   It's an attempt to prevent money-laundering and other financial crimes.

@Lolita Matthews  There are thousands of investors hungry for buy & hold deals on biggerpockets.  Invest in a Pro or Plus account and post detailed information about your deal in the marketplace.  

Not to be flip, but why are you there?

I would do one loan.

There's also Fannie Mae's Homestyle loan which also combines purchase with rehab. If you're purchasing a single family, you can do a loan with LTV of 95% (97% if first time buyer). Two units 85% LTV and 3-4 units 75%.