Trying to be creative

[Andrew Lax]

In the process of selling some of my less desirable properties and still working on creative financing ideas;

Do you think the following would be of interest to investors.

• -ARV - 500k
• -Purchase Price - 400k (needs full renovation set 50k)
• - Down Payment - 20%
• -1st Hard Money Loan - 250k interest only 3 year term
• -2nd - Hard Money Loan - 70k interest only (interest accrues to earlier of end of term/sale/refinance)
• -Rate TBD but assume around 10%

Investor would get a discount on ARV and be cash flow positive during the holding period.

My other options appear to be limited and would most likely renovate, sell at ARV , pay cap gains and then reinvest the proceeds into hard money deals or commercial RE…

Thanks again guys ….