OPM to buy an off market deal

OPM to buy an off market deal

Leo MaldonadoPro Member
Rental Property Investor · Miami Beach, FL · Member since 2016 · 52 posts · 2 votes

Hi Everyone!

I am a current multifamily investor doing it the old school way. (ie. Saving income for a downpayment)

Now I think ive come across a nice 2% deal that i'd like to take a look at from a local wholesaler. It's not commercial as its a 4 plex, but still very promising. 

The question I have is typically this is an all cash purchase. If I use a private investor to purchase the deal. How would I be able to pay him back the full amount + interest?

Banks are doing 75% LTV around here.

Curious...

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  • Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
    8y

    Not sure I understand your question.  You'd pay a private investor just like you would pay a bank.

  • Fremont, CA · Member since 2015 · 289 posts · 63 votes
    8y
    depends do you want to give him debt or equity?
  • Specialist · Riverside, CA · Member since 2015 · 6k+ posts · 3k+ votes
    8y

    It would be a private loan and you would pay the investor just as you would the bank.

  • Leo MaldonadoPro Member
    OP
    Rental Property Investor · Miami Beach, FL · Member since 2016 · 52 posts · 2 votes
    8y

    I am wondering what that would look like. What is a standard for this type of loan ? terms? 

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