All Forum Posts by: Scott Wolf

@Deonte Watkins, you can take the money to a reputable local private lender, and lend it out.  

You can also try to find a seller-financed deal so you don't need to deal with a traditional bank.

@Dakota Fleming, I'd proceed carefully, as 5% sounds like a too good to be true deal from a private lender.  You can ask him for references as well, or ask in the FB group where you met him.  DO NOT PAY ANY UPFRONT FEES!

 Aaron, John is right.  You should 100% get an attorney to draft both for you.  A good attorney will protect you better than any template found online.  Good luck!

@Kyle Baxter a LOI is a letter of intent. It spells out exactly what your offer is.

For example: purchase price, financing contingency, inspection contingency, closing time frame, etc.

You can put in that you're trying to reduce the price by 3% based upon a brokers commission.

Additionally, most brokers contracts state the commission they collect if they sell it without an agent representing the buyer, so unless you're a licensed broker, you not using a buyers agent won't really affect the commission that's already been agreed upon.  

That I say.

@Kyle Baxter. why not just send an LOI, and have the seller's agent draw up the P&S?

@Giancarlo Sarmiento, I have someone the can help.  PM me your email, and I can connect you.

@Obed Bermudez my firm provides title quotes nationally if you'd like to get the true closing costs on the title insurance side of the transaction.

@Arron Paulino, to make a private lender comfortable, show them your track record, and show them your plan. If they're in position at 75% LTV, they should feel secure in their position with a lien. Good luck!

@Eric Berkner, even if the interest rates are higher, you will have greater equity in the property, even if property values stayed the same.

For example, you got a $1MM loan on a 30 year amort schedule at 4% interest. After 10 years, the loan balance will be about $790,000. This means the if the property value stays the same ($1,250,000 based of 80% LTV), you will have another $210,000 or 16.8%(210,000/1,250,000) in equity your tenants have paid down.

@Yanni Mans, if you can find a PE fund that is real estate related, that should offer your best salaried opportunity.  Otherwise a sales role in RE brokerage, mortgage brokerage, or title insurance will offer your best potential earnings, as well as connecting you with investors and attorneys that know investors to help grow your knowledge and capital base.