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Updated about 7 years ago on . Most recent reply

User Stats

121
Posts
674
Votes
Abraham Anderson
  • Investor
  • Sevierville, TN
674
Votes |
121
Posts

Invest in Property LLC Using Leverage?

Abraham Anderson
  • Investor
  • Sevierville, TN
Posted

I'm looking at a commercial multifamily property that's owned by another investor. Property was purchased at ~$1M and is valued at ~$1.5M. This investor has debt on the property around $650K. The property is in an LLC.

I have the option to invest in the property at cost up to 50% (i.e. I could buy half the property for what the other investor paid, 500K = 50% even though it's worth more). 

Is there a way to get a commercial loan (i.e. 20% down) to buy into the LLC? I.e. come up with $100K (20%) and the bank supplies the other 80%.

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