Posted by Nancy on July 28, 2005 at 10:05:23:
Thanks Wes!
I know, the numbers don’t look good at current occupancy, but this property is in a great area and has great upside potencial. rent per units can be increase by $100 -150 after doing the repairs. I’ve approached some local banks that lend for community redelopment projects, hope it’ll work out.
Nancy
funding for 9 Units in Dallas, 15-20% down - Posted by Nancy
Posted by Nancy on July 26, 2005 at 18:08:20:
I’m purchasing a 9 units in Dallas, Texas, I can put down 15-20%, the house have 3 vacancies right now, need some cosmetic update. it is slightly cashflowing now at below market rents, once all units get rented out, it’ll cash flow by around 12K a month.
I want a lender with competitive rates and reasonable fee, I’m self employed, perfer stated income, can show tax returns if necessarry.
It’ll be great to get some money for repairs as well.
thanks
Nancy
EliteRES@gmail.com
214-206-1850
Re: funding for 9 Units in Dallas, 15-20% down - Posted by E
Posted by E on July 28, 2005 at 17:12:06:
Nancy,
I have program that will go 80% and stated. Loan will be base on the appraisal.
Re: funding for 9 Units in Dallas, 15-20% down - Posted by Commercial Investor
Posted by Commercial Investor on July 27, 2005 at 17:41:35:
Your property cashflows quite nicely. With only nine units and a cashflow of 12k a month, rents must be in excess of $1400/month and that’s not accounting for expenses. This must be a pretty nice property for those kind of rents. Where in Dallas is your property located? Are these luxury suites?
Re: funding for 9 Units in Dallas, 15-20% down - Posted by wes
Posted by wes on July 26, 2005 at 19:20:59:
You have alot working against you!
9 units means it is a Commercial loan.
Putting 15-20% down, means you need approx. 80-85% financing (without a seller holding a second). Since “most” commercial lenders will not lend more than 80%, you are already asking for about the maximum loan amount you could expect.
To be able to qualify for the maximum loan amount, most lenders require at least 80% occupancy of which this property is at 66.66%. That means that since the property does not meet the qualifications of most lenders, you are not going to get the the best rates or terms.
Then there is the fact that there appears to be almost no positive cashflow, the property needs some repair work and you want a Stated income loan…
Wow!
Most likely you are going to get few real offers and you will probably not be satisfied with the rates and terms offered.
But, if you truely believe the property can actually turn out to be a good investment, you should basically take what you can get as long as you can get the property in your name.
Later, if you are successful in turning it around and stablizing, you will then have options.
This does not appear to be an easy loan and in fact I doubt I could get it done for you as stated.
Therefore, my best advise is Do Not Pay anyone an advanced fee that “says” they can get this loan done for you.
Talk to everyone but be diligent in trusting anyone…
Good Luck!
Re: funding for 9 Units in Dallas, 15-20% down - Posted by Nancy
Posted by Nancy on July 27, 2005 at 18:12:25:
I’m sorry, it was a typo, its 1200/month cash flow, not 12K.
They are not cashflowing well now with 60% occupancy, but once it gets filled up, it’ll cash flow for 1200/month at current rent. The property had bad management and rents are below market by 150/unit.