Denied Because I'm Out Of State

[Michael Glaser]

Doing an off-market deal in Kansas City. I've been working with Arvest Bank's Overland Park business loan branch for a little over a month. They said my yearly income is great, credit report is great, but informed me only today that the houses are not in an area they see good rent potential. 

Three out of the four houses are currently rented. One is on the MLS, but ready to rent.

BP Calc Numbers *conservative estimates: 

Monthly Cashflow: $714.02	Pro Forma Cap Rate: 9.37%
NOI: $20,619.60	Total Cash Needed: $39,400.00	Cash on Cash ROI: 21.75%	Purchase Cap Rate: 11.65%

One of the banks has a good relationship with the seller whom I've already talked to early last month, but went with Arvest instead. I'm going to be calling them in the morning along with another bank I cued up early last month.

I'm wondering if it's good to do two business loans at the same time in case another falls through?

My closing is November 16th, which I won't make now and I'd like to get this thing to the finish line. The seller has more property we're going discuss next year about owner financing, but he's not there yet.