Need Help Fast! -First Deal-

[Eve H.]

Hi All,

Thanks for reading this. -First let me just say that this would be my very first deal ever and I would like to hold this property and also occupy one of it's units. Also know, the location is in close proximity to NYC -Westchester, NY (20 mins by train - 30 by express bus.)

Okay, so here is the scenario.

There is a (Legal) 4-family which I am very interested in purchasing and believe it is an excellent investment. The seller has already received multiple offers, one being an all cash offer slightly above the asking price. -Numbers shown below. I am willing to go as far as $100k above "that" offer, but have initially only offered $50k above to pique their interest and get my foot in the door, since I have not yet personally seen the property as they have stopped showing it. -They will let me know tomorrow if/when I can go see it.

We had been in the process of searching for and purchasing our first home and have already been pre-approved for a $360k mortgage. (Not very much for NYC, but figured we'd find a fixer-upper.) Anyway, being that this property is much more appealing all around, I need to think and act quickly.

I am figuring, WE will NEED to find a hard money lender QUICKLY. I would like to come to the seller with an all cash offer, above the other offer, as I am certain that the property is worth WELL ABOVE the asking price. (And... maybe even $100k+ above what I am willing to purchase at.)

Although I am only initially estimating and going by the small amount of research I've done and what I know of the area, etc... here is what it all looks like:

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- 4 Family
- Each unit has: ENTRY HALL, LIVING ROOM, EAT IN KITCHEN, FULL BATH, BR, BR, BR, MBR
- Each unit sits on its own floor AND has it's own back balcony. (Pretty Rare)
- From what I've heard, each of the 4 units need minor updating (I'll of course have to verify this and estimate.)
- I definitely do know the property is located in a very good area (quiet neighborhood, plenty of street parking, easily accessible, close to -transportation -schools -shops, etc...)
- Each unit can rent for $1300-1500 (Fully vacant right now)

FYI: I do have family-tenants lined up already. Also, I have an uncle who is a city inspector which I am going to try and have visit the property with me and I already have a good RE lawyer.

275,000 - Asking Price
375,000 - Price I am willing to negotiate up to
10,000 - Cash on hand
20,000 - Estimated Updating Costs (Need to verify)

$3900-4500 - Estimated Monthly Income
This is *Excluding the 1 unit which I would be occupying.
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So, with all that said, I need some "solid advice" here.

1. I should try to get them into contract ASAP, correct? We can work out the exact details later, yes?
2. Can anyone recommend a good hard money lender (in NY) and maybe even give me a quick rundown on the process?
3. Will my cash on hand suffice in this deal?
4. How do I transition from the hard money borrowed to a bank loan? Just borrow the hard money until the bank loan goes through? Am I even on the right track here?
5. Can anyone recommend a good, lower priced appraiser here in NY?

I need to move quick on this, so any/all comments, questions, 2 cents from those who have done this before will be greatly appreciated.