All Forum Posts by: Scott Wolf

 Hi Taylor, I'm actually still looking into Data Centers and syndications of them.  It's taking a lot more legwork to find, as a lot of these are deep pocketed institutional guys.  But I know I'll get there!

@Marvin Bobb Henry Graham of Cooper Paroof is great. A Google Search will turn up his contact info.  You can let him know I sent you.

@Ken Nyczaj spectacular job!  Can't believe that's the same house!

I look for multi-family, industrial or data center deals.  For most, you need to be an accredited investor.  I also look at the syndicators track record, and references. As for deal specifics, I like a 8% return with at least a 2x equity multiple and a favorable waterfall (at least 70/30 hopefully better).

@Forrest Faulconer, I'd invest in a syndication.

@M T Naughton where is the property, and how many lenders have you contacted?

@Julio Cruz I echo @Abel Curiel's sentiment about talking to a lender for financing options.  If you need recommendations, feel free to reach out.  

You should also run the numbers to make sure it will be a good investment.  I'm not sure about your parents financial situation, but if they can hold onto it your family will benefit further by them willing it to you & your siblings upon their passing (hopefully in the very distant future).  You will get a stepped-up basis, and will be able to use the money you currently have to invest in other properties.  Good trust & estate planning is very important for building generational wealth.

@Julio Cruz, why do you want to buy it? Is it a good investment for you, or just for them to get out of it?  If it's the latter, then just let them sell.  

@Barry Wallace, aside from all the other points made by previous posters,

1) will the seller accept the low offer? 8% discount on a property they just updated.

2) What private lender is giving a 98% loan and a 5% interest rate? (and that assumes zero closing costs) If you actually know that person, please do share their info.

3) Why a private lender and not a lower rate with a traditional bank with a lower interest rate.

Originally posted by @Richard McCaig II:

Originally posted by @Scott Wolf:

Originally posted by @Richard McCaig II:

Billy,

My overall goal was to try to pay down the loan asap by using the cashflow from the property to make extra payments, which if my research was correct isnt the best if I had a commercial loans as theres typically fees associated with doing that. Just to clarify, my first couple years my plan is to save all cashflow in order to have a nest egg for cap-ex, etc. Then make extra payments. The cashflow, dependent on a few factors should be between 200-450 a month. The biggest factor of that is property taxes, which I cant predict but I have done the numbers from way too high to what I think they should be, and that's where I lie.

With all that being said, I dont have to do that of course. I have not done much research at all towards the commercial loan aspect of things, but will dig in today to see how it looks. Never too many options to look at

 Have you looked into a 203k loan?  It lets you roll the reno (upt to 85K I believe) into the loan.  Matt Porcaro is an expert in this.

 Not until you mentioned it. But after researching it today I found the attached pics which won't work for me it seems... unable to rent for 12 months, unless this is old znd maybe it changed? Have you used them before?

You mentioned an FHA loan in your original post, which also has a 1 year primary residence requirement. So that won't work for you either.