All Forum Posts by: Stan Jackson

I'm working with a buyer looking to purchase one or two commercial properties; specifically multi-tenant type buildings for medical businesses.

The buyer is interested in two particular buildings on MLS.

I've asked the listing agent for financials to get the ball rolling and eventhough she has twice communicated yes on sending the financials, the documents still have not arrived.

On the second listings, the listing agent asked for a capability letter since the purchase is going to be financed.

First question, how would you proceed if the financials aren't provided. I know not to rely too heavily on the information, even if it is certified etc. I'm tempted to advise my buyer to pass. What could be the problem?

Second question, while speaking with the commercial loan officer for the national lender(who is my buyers' lender), she said that this particular bank and most banks she knows do not provide proof of funds or viability letters for their clients when it comes to commercial property purchases. Have you heard of this before? Is this one of the differences between commercial and residential? Could it be because the actual commercial property carries a lot more weight that than the creditworthiness of
the buyer?

Thanks in advance!

Florida has an addendum that reads something like.....:"all times for performance such as inspection, finance and closing do not begin until the seller has received third party approval."

Welcome David and Ted to BP.

There's a lot of information for the novice and experience here!

David, how's the life in Ontario? Last time I was there (military in New York) was in the mid 80's, hope to get back one day.

Well, before I head to bed, I would like to a make post and congratulate BiggerPockets and its' members on reaching such a milestone!

Thanks for helping me understand real estate from an investors' standpoint.

Has anyone used "NestVest Lite" for quick analysis of a prospect property?

It's appears to be easy to use, but I'm a little skeptical of the results.

Without the safety net of Fannie and Freddie, I’m thinking the banks are going to have such stringent guidelines for obtaining loans, investors had better learn the in’s and out’s of a HML’s. It’s going to be harder for investors to get monies for acquisitions and harder for end-users to purchase.

20% down did not curtail the past market and would not have had much of an impact considering some areas had value increases that exceeded 37%-44% only to have those same values plummet in reverse.

Vik,

I gave you a vote for the first sentence of your post only,lmao!

As I said in my original post on this subject, the length of the listing contract is neogtiable and can be cancelled at any time.

With that said, I suggest realtors/brokers to not look toward their listing agreement as some guaranteed time period to perform.

I've done listing agreements for 7 days, two months and even for one day because I knew what was involved with getting the property under contract.

Bryan, thanks for the links.

Now, I’m totally confused! Almost all mortgages I originated were to the standards of Fannie or Freddie. Are the standards not sufficient? Were the standards the cause of this calamity?

If you get rid of the GSE’s, thereby getting rid of government involvement, who does the regulating across this diverse country?

How well are private institutions performing in this market? Do private institutions have a different set of underwriting guidelines which far exceeds those Fannie and Freddie?
I’m thinking the problems may not actually be Fannie and Freddie but what forces that drives them….WALL STREET!

Sorry for the all question post, but as I said, I’m totally confused. 10,20 or 30 years ago, I did not hear anything about getting rid of Fannie and Freddie and as far as I know the standards have basically remained the same. So, another question, what changed? WALL STREET!

Bryan,

When you have a moment, can you post links? I've been watching some official from up north spouting he wants do do away with the GSE's or at least minimize their roles.

I want to see how this is argued between the powers to be.

John,

Years ago you could have paid that $111.00 and an additional $32 or so for a Rapid Rescore. A Rapid Rescore usually only took 3-7 days. Unfortunately, I'm not sure about today's process, but you may want to ask. Make sure you are asking someone with at least 10 years of experience or if the person doesn't know, is willing to ask some else.