Re: Financing a special condo deal - Posted by Ed Garcia
Posted by Ed Garcia on December 31, 2000 at 09:28:50:
Here is my opinion on your questions:
- If I do go after a conventional mortgage, is there a well-known, national appraisal company that I should use.
The Answer is, only if you are going to use a National lender. Most lenders prefer to choose their own appraisers. By the way, the condo association financing the condos in the building, have nothing to do with comps. Comps are based on recorded sales. You can go down to the county recorder to pull comp as well as the MLS. An appraiser in Missouri should know that. If there is a problem pulling up comps in the immediate building, they can use another complex in the area.
- Do I even need to “buy” the property? Is there some easier way to transfer ownership with incurring all of the expenses of closing, etc. since I have POA for my mother?
According to you, in another post you made to Nate, the loan on the condo is coming due on Feb 15th. So I would say that if you want to keep the condo, you’re going to have to refinance it.
- What is the best route for finding financing on such a small loan (32K). It is so small I would imagine most lenders wouldn’t want to bother with it.
Tom, you’re right. Because of the size of the loan, this deal is not exactly a lenders dream. You mention how when your mother purchased the condo, it was in terrible condition. You mention how you pay the condo association on time, when others don’t. This building sounds like it’s had its share of problems. My suggestion is to go to a local small bank. They make loans in the community, and should be able to accommodate you. I wouldn’t rule out a mortgage co. either. It appears to me, that if you want to keep this condo, the answer is obvious. You mention that you have cash to pay it off but you don’t want to tie it up. So why don’t you just go to the bank, and put down 20%? That’s only $6000, the moneys going to your mom anyway. She put $9,000 in the deal to begin with. For sure I would try to see if I could get the condo association to discount the note.
Tom I want to wish you and your family a Happy New Year,