Is this Possible? - Posted by Zito

Posted by Matt on April 16, 2007 at 13:08:31:

Just understand they are going to lien your primary regardless of the equity. so b4 you close make sure your homstead is not in need of refiing

Is this Possible? - Posted by Zito

Posted by Zito on April 14, 2007 at 12:15:44:

Hello all. Thanks for reading this and providing any feedback.

I’m pursuing a deal on two apartment buildings. My partner and I have worked with the seller in the past; the buildings are COMPLETELY remodeled and fully rented. We have only 3-4% cash to put up, but the seller has agreed to carry ~17%. We need to borrow the other 80%. ~2 million purchase price.
I had a broker quote me terms for this financing that almost sounded too good to be true, so I hope some of you out there can give me your thoughts - before I pursue the loan much further. Apparently the lender is a private individual.
Loan amount = ~1.6 million
30-year term and 30-year am
low 6% for entire loan
Interest only for first two years, then converts to p/i for remainder of loan.
No prepayment penalties
Willing to accept seller financing in second position

This deal represents a great opportunity for my partner and I to take our business a step up, and we don’t want to screw it up! Your help is greatly appreciated.

Re: Is this Possible? - Posted by Bronson

Posted by Bronson on April 14, 2007 at 12:28:27:

Sounds like a good deal. Hope they can deliver.

Re: Is this Possible? - Posted by Zito

Posted by Zito on April 14, 2007 at 12:33:39:

Whether they can deliver is my question. Should I go ahead and complete the application, send in all of the required docs, and “hope”? I’d hate to waste the time, but I guess there’s no other way to find out. Thanks for the response.