Posted by Ed Garcia on September 19, 2003 at 10:16:05:
First of all using your numbers, your LTV is approximately 76% not counting cost, which is high for Hard Money. Most hard Moneylenders lend at 65 to 70%.
Secondly if the units are not individually deeded, then this deal can only be recognized as a 7-unit apartment building.
So I can see why you?re having problems. Unless you have a private investor with the money to do the deal, or are financially strong enough to cross collateralize the deal with another property and go to a small bank not a broker, which I don?t think you can do, I have no advise for you at this time that would work in the remaining time frame.
If the seller would give you time to get the property individually deeded then you might be able to piece meal buying and selling the deal. You could have leased optioned the entire 7 units, got individual deeds on each unit and bought them as you sold them. I think we both know that it?s to late for that now. Since you haven?t performed, and the seller has already lost a previous sale, chances are that you have lost creditability with the seller.