All Forum Posts by: Account Closed
Account Closed has started 2 posts and replied 97 times.
Post: Limiting management of 100 door apartment complex
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Hi Tracey,
I read your post and really all you are looking for is a property management company. If you have no intention of selling the property then a master lease option is not a viable option.
Master LO just says that someone has the right but not the obligation to buy a property at a pre-agreed price before a certain term. If you don't sell, it's a breach.
Property mgmt companies for properties of this size usually have on-site managers and charge a management % fee, plus leasing and late fees and truthfully make most of their money by marking up the maintenance.
I have never heard of a NNN arrangement on a multifamily property structured this way.
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Correct.
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Yes, as long as they close in the name of your entity instead of you just quit claiming them into the entity after closing.
LLC loans are available from portfolio lenders NOT conventional lenders.
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
You will always personally guarantee the LLC loans (unless you have a non-recourse loan which is rare on residential) but the 4 prop max doesn't apply because it still won't report to your personal credit report.
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Wachovia does originate in the name of an LLC, though...
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Two words ... portfolio lenders. Try going to Wachovia or BankUnited direct (they do not work with mortgage brokers anymore) OR here's a site to find credit unions in your area creditunionaccess.com
Post: Refinance Immediately?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Originally posted by Ben Carmona:
Originally posted by Susan Lassiter Lyons:
Even after 6 mos you will be limited to the amount of cash you can get AND the LTV will be a lot lower than you are expecting often leaving 30-40% of your cash locked in that house.
Always have a note and deed of trust on a prop when you purchase - not one of your companies but maybe a friend or colleague - so that when you are refinancing you are paying off debt.
Susan,
Feel like we've been here before. Just wanted to express my thoughts that your advice is not sound for every scenario. You say paying cash is the biggest mistake. While I agree that under certain circumstances this may be true, paying cash for a property can have major advantages in time sensative deals. Not too mention strengthening potential offers. Of course permanent financing needs to be accessible.
What I really hold issue to though is last part of your post. It appears that you're advocating borderline fraud by having investors create a fictitous lien to circumvent the this being cash out instead of a rate/term refinance. Maybe you should clarify this so readers know they really need to obtain funds from that friend or colleague. They cant just claim to have had a lien recorded.
I think you're reading too much into my posts. I said you're paying off debt. How did you get to fraud? Interesting assumption.
Paying cash is fine if you don't want the money back anytime soon. I guess I just assume that most investors are like me and don't want to keep their money tied up in the house. Hey I have an idea - use somebody else's cash. Oh, wait, that's what I said! :D
Post: New corporation lending, credit card?
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
This sounds more like an SBA loan oppty to me. Why are you going the credit card route? If you have assets and the buisness is making money it should be a slam dunk.
Post: Local Indy Banks
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
You can try going direct to Wachovia or Bank United. They will refi in LLC's (conventional lenders won't anymore) and won't work with brokers but will work with you direct.
Other than that try portfolio lenders. I like credit unions and a great source is www.creditunionaccess.com
Post: Stated Investor loans
- Real Estate Investor
- Rancho Mirage, CA
- Posts 109
- Votes 56
Originally posted by Dawn Vought:
I like credit unions. They'll usually have to be in the same area as the subject property. Try http://www.creditunionaccess.com