So how to get past the 50k appraisal fee

[Obin Olson]

So, I am looking at a SFR bundle that cash flows well, however the lender needs to get some value on the deal. the problem is from my basic comps, and square foot prices etc it is very close to being a "no go" situation for the lender.

Problem is. I have to spend 50k on SFR appraisals to get to the step that the lender will say yes.

How do you guys get around putting down that type of cash when you don't even know what the answer is going to be. And in my situation it's really close so I feel it could fall the wrong way really easily.

Please advise any smart way to play this.

[Derek Daun]

Deals this size are way above my pay grade, but were I to find myself in that situation, I'd pull a random sample of houses, maybe 10% of the total, and get them appraised. Then get the lenders opinion on the sample?