Posted by Gil Wigington on December 07, 2005 at 18:00:47:
I guess I was under the idea that I had to have a maximum of 25 years because of federal law and this amount of money. it is just under $700,000. I really appreciate the info from everyone.
Gil Wigington
Multi Unit Investment - Posted by Gil Wigington
Posted by Gil Wigington on December 05, 2005 at 21:02:11:
I am looking for some help on an investment. I have the option to purchase 33 unit property. I can come up with 68K for the down payment (aproximately 10%), but need an additional 68K to close the deal. If I remember correctly for my last investment property (two months ago) the bank said my credit score was 728. The property is in Nebraska. I intend to talk to the owners about a carry-back, but am looking for a option “B” if that falls through.
Can you say “Need hard Money”??
Thanks,
Gil
Re: Multi Unit Investment - Posted by Don Dion
Posted by Don Dion on December 07, 2005 at 11:24:24:
The lender I use for these deals is not hard money at all. They have a 2yr, 3yr or 7yr fixed based on 15, 20 or 30yr amort and will do a 75% first and a 15% second for a CLTV of 90% at the same rate and term as long as it debt services.
Re: Multi Unit Investment - Posted by wes
Posted by wes on December 06, 2005 at 14:01:35:
If you are looking for options:
With your credit score, and as long as the you and the property qualifies for the financing (I assume you do since you state you did an investment loan approx. 2 months ago), you can get a 90% Loan for this type property, in the form of an 80% 1st and 10% second (without the need for a seller held second). You need a middle credit score of at least 680 which appears to be no problem.
In the event your seller will hold a second, the same lender will allow the seller to hold up to a 20% second while providing 75% giving you a potential 95% CLTV loan (combined).
Your choice of 15, 20 or 30 year amortization.
If the bank doesn’t work out or you want to explore other options and compare, feel free to contact us.
Wes,
wesloans@earthlink.net
800,611,8421
Re: Multi Unit Investment - Posted by John Corey
Posted by John Corey on December 06, 2005 at 07:14:08:
Gil,
I can say hard money as I provide hard money. What you are asking for is not hard money. Hard money will not work for a 10% second @ 90% LTV.I doubt you want to pay hard money rates for the loan if it was in 1st and the LTV would still be too low.
Many sellers of a multi expect to have to carry back or otherwise work with you. Let the seller know they have no choice in this if they want to get the deal done with you.
Other options you can consider is to get an equity partner, pull cash out of another property if possible, sell an option, factor in the deposits and other closing costs or trade equity in another property (straight trade) with the seller. You can use a mix of the above and might be able to place a loan on something else with the seller holding the note rather than a second on this specific property.
Or the deal is not a good deal and it was not meant to be.
John Corey
Re: Multi Unit Investment - Posted by Arun
Posted by Arun on December 14, 2005 at 23:44:25:
Hi Don
Could you please email me some contact info for these lenders. I am looking for multi family properties and would appreciate it very much.
What kind of rates would these loans be? How are they able to offer the same rate for 1st and 2nd. usually the 2nd mortgage rate is higher right? I am really curious how they do it. I have a couple of properties I am considering and would appreciate your help.
Re: Multi Unit Investment - Posted by Razi
Posted by Razi on December 07, 2005 at 18:31:31:
Don, if you don’t mind, would you please share with us what the rates look like? What part of the country do they lend in (I am in Dallas, TX) and what product type (s)?
Thank you in advance for your reply.