All Forum Posts by: Francis Louis Vogel Jr

Great question

Sam,

Great post. We work with many commercial real estate investors that rent to people with a criminal history. If you have a uniform policy for the most part a tenant with a Felony history you may be able to deny as a tenant. However not renting to someone with a misdemeanor that may an issue. If you're making a decision about a future tenant based on what's on the Internet. This can become problematic and lead to a Federal Fair Housing claim.

Use your best business practices when considering a future tenant and understand that people make mistakes. Good tenants are hard to find. If the prospective tenant has been leading a life of stable employment and staying out to trouble with the law.

You may end up with a great tenant.

Enjoyed reading your post.

Check to see if the EV manufacturer has charging stations for home use and what the requirements are concerning installation. And state and local fuel tax laws. Here is Michigan there is a fuel tax for EV's.

Great question.

Originally posted by @Lee Hampton:

Mike is spot on. Your main challenge is your DTI, even though the asset is in name of LLC, you will likely need to personally guarantee the loan which will ultimately lead to your credit and DTI. If tenants have paid two months rent, you may be able to use that rent to increase documented income.

I'll inbox you a couple of local/community banks that might be willing to lend.  It would be helpful if it is a lower income community which will help their CRA rating.  Also, if there is a community bank in close proximity to the property, you should speak with them as well.   Do not waste time with the Large/National banks.

Great Comment.

The commercial underwriting / lending process takes time.

Omid,

Commercial mortgage rates are trending upward nationwide.

All great comments. Sounds like a winner!

Dan,

Sounds like the seller knows the property will not be able to obtain conventional loan based on the condition of the property based on the post. Do your due diligence a non cash flowing property with this type of repairs does not have much value. It's for sale for a reason. At best a hard money lender would on give you 50% LTV or less of the "as is value", which is a few cents on the dollar. Drive around and check the area comps. Don't pay for future value of the property.

Congrats on expanding your business empire. Only in America!

Well written Q&A post.