All Forum Posts by: Shane Bishop

@Zach Berry Thank you for the comment! The part we are struggling with the most is the capital for the down payment but if we are able to solve that problem, we'll definitely keep your team in mind!

your way to premature to be shopping for a lender you need a capital partner first and foremost there are 100 lenders that will do the deal if you have the proper capital up front. Your wasting your time trying to interview all these different lenders that all say no problem they can do it for you.. when in fact most are brokers not direct lenders and all of them will require experience and capital before your going to get a loan. CAPITAL FIRST then go shopping . Other wise your going to be frustrated.. Or try to find a unicorn Sub to deal or owner finance with minimal down thats where i would be spending your time right now.

Just sayin at 50 years at this.. And talking to hundreds of folks just like you.. I fund a really good broker over in Aiken SC and she does a little consulting you might want to ping me and I would be happy to refer her to you.. She will give you the straight scoop.. instead of the ra ra we can do a loan for you when I know these guys that are posting what their requirements are.

I appreciate the advice. Honestly, I feel fortunate to have so many folks willing to talk and discuss options, even if those options don't pan out. Every conversation I've had to this point, I've learned something so I take that as a win. You are right in that we would benefit from a capital partner and that is what we are hoping to find. When I made this post, we were hoping that it would lead us to someone that would be open to building a relationship and working with us, but instead of just asking for a capital partner, I thought it would be more beneficial for us to learn how to build those relationships, which I feel I've already been able to do with several folks that have reached out. If you are willing to share your contact's information, I would love to speak to her as well, especially if she can offer some insight on partnerships! Thanks again for the advice!

1 Vote

Greenville, South Carolina

@Amir Khan I sent you a DM! Would love to connect and ask questions!

0 Votes

Greenville, South Carolina

@Alex Hunt Thank you for the advice! Doing my best to build relationships and talk to as many folks as I can! Always happy to connect and get to know someone new!

0 Votes

Greenville, South Carolina

@Zach Berry Thank you for the comment! The part we are struggling with the most is the capital for the down payment but if we are able to solve that problem, we'll definitely keep your team in mind!

1 Vote

Greenville, South Carolina

Quote from @Jeff S.:

The last thing you want, @Shane Bishop, is to make an aggressive offer on a property—perhaps a 10-day non-contingent close—and then scramble to find the money, all while worrying about your EMD.

Similarly, spending a lot of time preparing various financial statements, business plans, applications, and lists of every property ever owned could turn into a waste of time. After you’ve spoken to a handful of private/hard money lenders, you’ll find that, unlike conventional lenders with standardized minimum requirements, they will be as varied as fingerprints. Don’t invest time in this yet.

Call a handful of P/HML's and ask them about their loan criteria. Will they lend on STRs and under what terms? What are their physical and financial expectations of the property? What do they expect of you in terms of your background and experience? What documents do they want to see from you? Appraisals? Credit? POF requirements? How long do they typically take to fund? This list goes on, but you'll see that everyone's process will be different.

Lastly, since this is a business based on relationships, getting to know your lender will go a long way toward the potential accommodations you might need to obtain a loan. We meet and get to know every borrower. You might consider inviting potential lenders to lunch.

I appreciate the feedback! Thank you! In terms of speaking with several different P/HMLs, I know that BP offers suggestions on HMLs, but where is the best place to start finding PMLs to start building those relationships? Outside of family and friends, I'm not sure where to look.

0 Votes

Greenville, South Carolina

Quote from @Jay Hinrichs:

I would get your lending lined up.. most sellers want a proof of funds or proof your approved for a loan if you not paying cash.

So recommendation would be to have a thorough analysis of a potential deal to present to the lender, build that relationship, then work on getting the property under contract?

2 Votes

Greenville, South Carolina

Quote from @Chris Seveney:

Quote from @Shane Bishop:

Hello! My wife and I are current real estate investors looking to expand our portfolio into the STR market and we have identified a potential opportunity in the upstate of SC. Capital is always a major hurtle though, so I wanted to ask if anyone had any recommendations on how to build relationships with private lenders or knew anyone that would be willing to walk us through the private lending process. Any advice would be greatly appreciated! We haven't done anything outside of conventional lending so this would be a new journey for us, but we're excited to learn!

Private lender relationships really boil down to knowing what to provide and doing it in a timely manner and having conversations to understand the guidelines.

Having your personal financial statement, statement of real estate owned, an application and financial information handy goes a very long way. Just reaching out to a lender saying "what types of loans you offer is like going to a shoe store asking for what types of shoes they have".

Start with I am purchasing a $300k property located at XYZ main St in AAA, SC. We want to make it a STR, we have X to put down and we anticipate it having annual rent of X and annual expenses of Y.

Thank you for the advice! We'll start putting that list together. In your experience, is it better to go ahead and try to get the property under contract before finding a private lender or find the private lender and then get the property under contract? This is the boat we're in at the moment! Haha

2 Votes

Greenville, South Carolina

2 Votes

Greenville, South Carolina

Quote from @John Underwood:

Quote from @Shane Bishop:

Hello BP Community!

My wife and I are current real estate investors house hacking a duplex that we have been renting out as a furnished rental for almost two years and it has been very successful for us! We are looking to get into the STR market, but wanted to see if anyone had recommendations for cleaners that specialized in STRs and handymen that work in the Greenville, SC area! We would love to get a list together and start forming relationships!

Thanks,

Shane and Emily

I can help you with a handyman if you message me.

Your not in the Greenville city limits are you? I'm sure you know STR's are illegal in the city

Thanks for the response! According to Greenville's website, it appears that STRs are allowed in certain zones within the city limits with the appropriate permits, unless my interpretation of the website is incorrect. For the house we are looking at in particular, it is outside of the city limits anyways, thankfully!

1 Vote

Greenville, South Carolina

Hello BP Community!

Thanks,

Shane and Emily

0 Votes

Greenville, South Carolina

All Forum Posts by: Shane Bishop

Shane Bishop has started 15 posts and replied 37 times.

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: Private Lenders - Where to start?

Post: STR Cleaners and Handymen

Post: STR Cleaners and Handymen