Posted by Randy on September 03, 2003 at 13:45:21:
You have a very difficult if not impossible situation here. Unlikely you could find a source to lend the rehab cost?s in a 2nd lien position. A HML would go 65% LTV in a new first lien if your seller would subordinate to the new lien. What is the purchase price? Rehab costs? Holding costs? ARV? There may be sources if the deal is structured right.
Owner financing question - Posted by Aaron
Posted by Aaron on September 03, 2003 at 13:31:22:
Help,
I have gotten an owner to agree to take back financing on a gut rehab commercial property. I still need a large loan to rehab the property. How much down payment is typical to the owner in a situation like this (10% will be my offer), who holds the deed? how can i get loans to rehab the property if they hold the deed? how long should i ask for before a balloon payment is made (18 months i was thinking). I plan on converting and selling the units. Would hard money lend against this for the rehab costs? any other thoughts and ideas would be really appreciated. Thank you,
Aaron