Posted by Monica on April 22, 1999 at 14:50:32:
Carmen: Thankyou for the reply. This post was made in sheer frustration. Without writing a novel I will explain.
I know what I am trying to do can be done. Just how is the problem. I do not wish this to be one of those “ifidas” in our lives. Already done that and passed up 2.2 million.
We have 10.26 acres that is our principal residence. We have been here 11 years. We are caught in the middle of a municipal development plan. They will not let us rezone to 2.50 acre parcels yet will not yet allow us to rezone to R1 which would give us 50 residential lots. Work for us has not been consistant. This is a familiar problem with the 90’s, not just ourselves but many people. My husband and myself made a concious decision to take equity out of the land to prepay the mortgage . We had assumed that the municipality would stick to there time frame with planning. Well, now that you are on the floor laughing
the school of hard knocks is not an easy one. When we entered into this our mortgage broker assured us that another lender would be found or they would enter into the joint venture. Needless to say that did not happen. I am NOT blaming anyone else. It is our problem and except full responsibility.
Conventional financing is not an option. LTV, service debt ratio etc. etc. Future value is not considered. Lending practices have become very tight even with private lenders. They know the business and putting myself in their shoes understand. Therefore I started looking for a participation mortage, or joint venture partner. These people do not exactly advertise. I would not ask anyone to do what I was not prepared to do myself. We are looking for the WIN / WIN solution. This property will increase in value substancially. I know better than to say exactly when. Seems that most are only looking for the fast buck these days. Understandable.
So, what do I need? First of all we are Canadian and that narrows perspective greatly. Can not find any Canadian sites such as this one.
I was looking for a participation mortgage, or joint venture partner. I must be wrong.
I have come across many lenders that start at 2 or 3 million. If we were rezoned that would not be a problem. It is the additional holding time.
Now that I have wrote the novel, sorry about that. What are your suggestions other than give up. This is my families chance to get ahead. We need that break.
Thanks for listening.