About to make offer on 15 units …Any holes in this plan? (kinda long) - Posted by Glenn(OK)
Posted by Glenn(OK) on April 13, 2000 at 23:34:16:
Finally got up the nerve to call and discuss a small house with an OUT of state owner…only to find out he has 15 total units to sell…his opening figure was 125,000…I am seeing the potential here…Offered finance with 17% (loves those odd ## ) down and 7% APR…units are mainly 1 and 2 bedroom…older , ranging from dilapidated to newly rehabbed about half of them ARE occupied.
10 units are all on one city block…1 deed and same utils so they are basically separated apartments…
4 units are in the form of 2 duplexes…needing cleaned up
1 is a SFH 2 bedroom…also needing clean up but is occupied
my initial thoughts after conferring with another investor were to…plan to keep the 10 that are all on 1 city block…tie them up with a contract and flip the SFH and the 2 duplexes for the down payment $$
I am starting with NO cash and MARGINAL credit…yes i do have a J.O.B.
my biggest challenge at this point is…trying to find a funding source for this project. and accurately estimating rehab costs…this would be my FIRST choice rather than trying to sell parts of this package to meet the down payment requirement. I would like to cash out the seller with 100 percent funds…maybe enticing him to take less…
any thoughts? one more ? how hard is it to split up units that are deeded together? is this a good or bad thing?
Thanks for all who take the time to read my ramblings:)