All Forum Posts by: Shalante Davis

The purchase price is $115k ARV is $220K

@Bob Langworthy @Charlie MacPherson @Autumn Webb @David Weintraub @Youdo Thirakul @Stan Hill @Nghi Le @Sam Bates @Michael Gessner @Brian Garrett  @John Thedford

Here are the results of my inquiry, let me know what you think!

Are there any orientation fees? we collect a commitment fee once the loan is approved and you move forward ($500-1000)

What percentage of the ARV can be funded? depends on the property anywhere from 55%-60% typically

What is the annual percentage rate? no interest on our fixed cost program

Are there any points? no points on our fixed cost program- we charge a flat fee of 10% of the total loan and add it to your payoff

What are the draw schedule fees? $250/draw

Do you provide initial upfront money to start construction? no

Are there any other fees (i.e. application fees, document fees, underwriting fees, loan closing fee, services fees etc)? doc prep fee of $475

How long does it take to close a deal? once you submit the full loan package and it's reviewed and approved we can close once title is clear. We have approved title companies you need to use, however we do not order title until the loan is approved and you have committed to it. Title takes 7-10 business days.

@Cody Evans the good thing is I am a realtor, so the numbers look good. The wholesaler is an agent at my former brokerage where we were all taught the same strategies of wholesaling. I asked for the assignment contract so I can see what is specified.

Hello BP,

I am working on securing my first rehab. I will be purchasing from a wholesaler, who wants to use their title company. I use that particular title company before with no issues, but as a realtor, I created a relationship with another title company who is offering me discounts on all my rehabs. The wholesaler stated that the title work had already been started and I have to use their title company or buy them out. As a realtor, my buyers have the option to use whatever title company they choose. Is it customary that I have to use their title company?

Should I have the inspection done before the I begin the rehab or wait until it is finished to have the inspector come?

@Nghi Le the application is based on the property itself. Once an application is received they look at my numbers, run their own comps, and send an evaluation specialist out to the property. 

Thanks @Stan Hill . I have a list of question to ask tomorrow. I will definitely add this to my list. Thanks, everyone, I appreciate all your feedback.

@Sam Bates I will continue to do my research. I may be new but I know your money is made in the Buy and knowing your numbers. Do you have any recommendations on HML you had used in the passed?

@Micheal Gessner Commercial Lending, LLC

Thanks, Brian and John I appreciate your feedback!

Hello Masterminds!!! I am a new investor, I have completed a JV project lately that turned into a fiasco, but I was able to get out with some profit. Every deal is a new learning experience and I am ready to pull the trigger on my own. I decided to go with a hard money lender that my broker had recommended to me. I would like an unbias opinion of their terms, she stated since I am under by broker she can offer me a good deal. I called several HML and think this sounds good. 0 pt, 10% annual, 65% ARV, and $75 draw fee. Are there any other questions, I should be asking her at this point?