Posted by dmanipole on August 09, 2009 at 22:26:45:
Sorry for the mistype. I offered her $389K not $359K.
need note buyer for commercial real estate - Posted by dmanipole
Posted by dmanipole on August 09, 2009 at 10:32:54:
Looking for a note buyer to structure a note in
Syracuse New York. It is a commercial building with
5000 sq ft on first level and another 5000 sq ft on the
second level. The building also includes a nightclub
business.
Owner is asking $459K but I offered her $359K and she
will accept the offer if I can cash her out within 30-
45 days. She has owned the place since 1995 and wants
to retire. My wife and I have credit in 650-700 range.
I think the owner still has an $80K mortgage on the
building.
note buyer terms - Posted by Matthew G
Posted by Matthew G on August 10, 2009 at 17:41:14:
Dman,
On a typical note structure heres how it would look.
389,000 Sale Price
38,900 10% Down from you ( maybe less but standard)
38,900 10 % Seller Held note - you’ll be paying
311,200 That’s The note you’ll be paying on at say 9% 30 yr amm with a 5 year balloon
Then 80% of that is 248,960 which the seller will be cash out in 30-45 days + she got 38,900 cash from you and a 38,900 note = $326,760 , that is light soo if you go back to the original sale price and do the same you’ll get closer $385,560.
again this is an estimate but standard for the industry. If you were thinking this is a no money down deal good luck with that.