Difficult Multifamily Funding.

[Kyle Varga]

I've had difficulty finding funding for this deal because my net worth isn't 2X the bank loan amount. I've found the always talked about but nearly impossible deal of nearly 0 money down in multifamily. 

I have 100K I'm using for the small amount of rehab there is left the property is 50% occupied and going up even through COVID.

I also have $150K in stock for emergencies but am trying to not to liquify in the down market. 

I can make this work with 65% LTC but would be in a better position against anything not going to plan at 70% LTC. 

My plan is to refinance as soon as it's stabilized and hold long term.

I have experience working in multifamily for the last 4-5 years. This is the first deal I'm trying to buy as the sponsor/hopefully without partners but understand if that is the only way.

47 Units in a small town.

ARV & Stabilized $3,600,000

Purchase $2,461,540

Bank Loan $1,600,001***

SF@3% $861,539 - 2nd lean position

Closing Costs $40,000 - from seller

Vacancy Escrow $71,540 - from seller