All Forum Posts by: William D.

BP!!!

How do I find out how many units are occupied in an apartment building?

BP!

New guy here, so please bear with me.

There’s a multi family for 1.2 mil. The seller is very motivated and is willing to do seller financing. Was thinking of putting no money down, then taking out a loan on the property to pay the seller a little something. While collecting rent from the tenants. Haven’t thought it out at al really. Just spitballing here. What you guys think?

BP!

I work with a large and experienced contracting company based in the NYC area. We have all the knowledge, insurance, man power, and network to build and develop homes, multi families, commercial properties etc. We have built and developed all types of properties. We are looking to expand and are searching for investors to collaborate with. Where do we find them? Is anyone out there?

Investment Info:

Single-family residence buy & hold investment in Staten Island.

Purchase price: $228,000
Cash invested: $30,000

Just purchased a 1 bedroom condo around the block from me for 228k. Market value is 275k at the minimum. Needs a full rehab. Very excited considering it is my first investment. Will not cashflow anything at the moment. Buy and hold strategy.

What made you interested in investing in this type of deal?

The price was much lower than the comps in the area and building. It is also very close to my home.

How did you find this deal and how did you negotiate it?

I save homes on realtor and Zillow and have the price drop alerts. As soon as the price dropped I had my agent reach out to the sellers agent.

How did you finance this deal?

Conventional

How did you add value to the deal?

Full rehab

BP! There’s an awesome deal I cannot pass up on that I just got an accepted offer on. However I was just laid off Monday. What a dilemma! I am trying to get my mother and her fiancé to purchase the home, however neither of them would qualify by themselves. They would need both their incomes to qualify. How does this work? I need to make this deal happen there’s no way around it.

@Nathan Gesner How can you apply for a traditional loan? Will the property be under your name at the time or the sellers? What are the conditions and criteria that needs to be met for that loan? Am I refinancing a home I own or am I acting like it is a whole new property?

"However, the "balloon payment" is due after three years. After paying $1,933 a month for three years, I'll still have an unpaid balance of $343,000. I will go to a traditional bank and apply for a traditional loan. The bank pays off the balance of $343,000 and then I start making payments to the bank."

Thumbs Up! Thanks for that explanation.

@Nathan Gesner

"I gave him 10% down and he will finance it for three years. At the end of three years, I'll have to obtain regularly financing."

Can you explain that more in-depth? What is the interest rate for the 3 years? What does the seller get after 3 years? What will you have to do to obtain regular financing? 

@Nathan G. That is what I am hoping for. I am meeting with the owner tomorrow to discuss the property in more details. I would much rather go that route. Is there usually a standard amount of years the loan is held? Or does it just depend on what both parties agree on.